{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/56-549.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/56-549.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/56-549.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/56-549.html"}],"law_id":370576,"edition_id":2,"section_id":370576,"structure_id":52778,"section_number":"56-549","catch_line":"Default","history":"1988, c. 649; 1991, c. 272.","full_text":"In the event of material and continuing default in the performance of the operator’s construction or operation duties or failure of the operator to comply with the terms of its agreement with the Department, in either case, after notice thereof and an opportunity to cure, or in the event that construction has not begun within two years of the issuance of a certificate, the Commission, after a hearing in which the applicant or operator has notice and opportunity to participate, may revoke the certificate of authority for the roadway, declare a default in the construction or operation of the roadway, and make or cause to be made the appropriate claim or claims under any completion or performance bonds, or take such other action as it may deem appropriate under the circumstances. The Department may participate in or initiate such proceedings. In case of revocation of a certificate, the applicant or operator shall thereafter be without any authority to construct or operate the roadway, and the Department may take over construction and operation of the roadway, and may proceed thereafter to take any steps which are in the public interest, including completion of construction or additions to the roadway, closing the roadway, or any intermediate step. The Department shall receive the full proceeds of any payments due to claims against bonding companies or sureties for this purpose. In addition, in such event, the operator shall grant to the Department all of its right, title and interest in the assets of the operator. Nothing herein shall be construed to limit the Department’s exercise of the power of eminent domain. In either case, the operator may obtain compensation from the Department for such assets, except that the Department shall first deduct from the value of such assets all of its costs incurred in connection with completion or fulfillment of the unperformed obligations of the operator including the payment of any obligations assumed by the Department, and any other costs associated with the events contemplated in this section. The Department shall take into account moneys received from the proceeds of any payment or completion bond in calculating the amount due the operator.\n\n","order_by":null,"text":{"0":{"id":1382109,"text":"In the event of material and continuing default in the performance of the operator’s construction or operation duties or failure of the operator to comply with the terms of its agreement with the Department, in either case, after notice thereof and an opportunity to cure, or in the event that construction has not begun within two years of the issuance of a certificate, the Commission, after a hearing in which the applicant or operator has notice and opportunity to participate, may revoke the certificate of authority for the roadway, declare a default in the construction or operation of the roadway, and make or cause to be made the appropriate claim or claims under any completion or performance bonds, or take such other action as it may deem appropriate under the circumstances. The Department may participate in or initiate such proceedings. In case of revocation of a certificate, the applicant or operator shall thereafter be without any authority to construct or operate the roadway, and the Department may take over construction and operation of the roadway, and may proceed thereafter to take any steps which are in the public interest, including completion of construction or additions to the roadway, closing the roadway, or any intermediate step. The Department shall receive the full proceeds of any payments due to claims against bonding companies or sureties for this purpose. In addition, in such event, the operator shall grant to the Department all of its right, title and interest in the assets of the operator. Nothing herein shall be construed to limit the Department’s exercise of the power of eminent domain. In either case, the operator may obtain compensation from the Department for such assets, except that the Department shall first deduct from the value of such assets all of its costs incurred in connection with completion or fulfillment of the unperformed obligations of the operator including the payment of any obligations assumed by the Department, and any other costs associated with the events contemplated in this section. The Department shall take into account moneys received from the proceeds of any payment or completion bond in calculating the amount due the operator.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":52778,"edition_id":2,"name":"Virginia Highway Corporation Act of 1988","identifier":"20","label":"chapter","depth":2,"order_by":39,"parent_id":52702,"metadata":{"child_laws":18,"child_structures":0},"date_created":"2026-08-02 03:04:30","date_modified":"2026-08-02 12:35:45","permalink":{"id":1477409,"object_type":"structure","relational_id":52778,"identifier":"20","token":"56\/20","url":"\/56\/20\/","edition_id":2,"permalink":0,"preferred":1}},{"id":52702,"edition_id":2,"name":"Public Service Companies","identifier":"56","label":"title","depth":1,"order_by":121,"parent_id":null,"metadata":{"child_laws":710,"child_structures":93},"date_created":"2026-08-02 03:03:25","date_modified":"2026-08-02 12:35:34","permalink":{"id":1475475,"object_type":"structure","relational_id":52702,"identifier":"56","token":"56","url":"\/56\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":370556,"structure_id":52778,"section_number":"56-535","catch_line":"Title","url":"\/56-535\/","token":"56\/20\/56-535","metadata":false},{"id":370557,"structure_id":52778,"section_number":"56-536","catch_line":"Definitions","url":"\/56-536\/","token":"56\/20\/56-536","metadata":false},{"id":370558,"structure_id":52778,"section_number":"56-537","catch_line":"Construction of highways and use of public funds in the public interest","url":"\/56-537\/","token":"56\/20\/56-537","metadata":false},{"id":370559,"structure_id":52778,"section_number":"56-538","catch_line":"Prerequisite for construction and operation","url":"\/56-538\/","token":"56\/20\/56-538","metadata":false},{"id":370560,"structure_id":52778,"section_number":"56-539","catch_line":"Certificate of authority","url":"\/56-539\/","token":"56\/20\/56-539","metadata":false},{"id":370567,"structure_id":52778,"section_number":"56-540","catch_line":"Application","url":"\/56-540\/","token":"56\/20\/56-540","metadata":false},{"id":370568,"structure_id":52778,"section_number":"56-541","catch_line":"Eminent domain","url":"\/56-541\/","token":"56\/20\/56-541","metadata":false},{"id":370569,"structure_id":52778,"section_number":"56-542","catch_line":"Powers of the Commission","url":"\/56-542\/","token":"56\/20\/56-542","metadata":false},{"id":370570,"structure_id":52778,"section_number":"56-543","catch_line":"Powers and duties of roadway operator","url":"\/56-543\/","token":"56\/20\/56-543","metadata":false},{"id":370571,"structure_id":52778,"section_number":"56-544","catch_line":"Board approval; inspection agreement with Department","url":"\/56-544\/","token":"56\/20\/56-544","metadata":false},{"id":370572,"structure_id":52778,"section_number":"56-545","catch_line":"Insurance; sovereign immunity","url":"\/56-545\/","token":"56\/20\/56-545","metadata":false},{"id":370573,"structure_id":52778,"section_number":"56-546","catch_line":"Local approvals","url":"\/56-546\/","token":"56\/20\/56-546","metadata":false},{"id":370574,"structure_id":52778,"section_number":"56-547","catch_line":"Utility crossings","url":"\/56-547\/","token":"56\/20\/56-547","metadata":false},{"id":370575,"structure_id":52778,"section_number":"56-548","catch_line":"Highway and roadway crossings","url":"\/56-548\/","token":"56\/20\/56-548","metadata":false},{"id":370576,"structure_id":52778,"section_number":"56-549","catch_line":"Default","url":"\/56-549\/","token":"56\/20\/56-549","metadata":false},{"id":370578,"structure_id":52778,"section_number":"56-550","catch_line":"Police powers; violations of law","url":"\/56-550\/","token":"56\/20\/56-550","metadata":false},{"id":370579,"structure_id":52778,"section_number":"56-551","catch_line":"Termination of certificate; dedication of assets","url":"\/56-551\/","token":"56\/20\/56-551","metadata":false},{"id":370580,"structure_id":52778,"section_number":"56-552","catch_line":"Improvement Fund","url":"\/56-552\/","token":"56\/20\/56-552","metadata":false}],"previous_section":{"id":370575,"structure_id":52778,"section_number":"56-548","catch_line":"Highway and roadway crossings","url":"\/56-548\/","token":"56\/20\/56-548","metadata":false},"next_section":{"id":370578,"structure_id":52778,"section_number":"56-550","catch_line":"Police powers; violations of law","url":"\/56-550\/","token":"56\/20\/56-550","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/56-549\/","history_text":"

This law was first created in 1988. The record of its establishment is cataloged in chapter 649 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1988 \u201cActs\u201d aren\u2019t available online. It has been modified 1 time. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. That modification is as follows: in 1991, chapter 272.<\/p>","references":false,"refers_to":false,"permalink":{"id":1477467,"object_type":"law","relational_id":370576,"identifier":"56-549","token":"56\/20\/56-549","url":"\/56-549\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/56-549\/","token":"56\/20\/56-549","dublin_core":{"Title":"Default","Type":"Text","Format":"text\/html","Identifier":"\u00a7 56-549","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

In the event of material<\/span> and continuing default<\/span> in the performance of the operator<\/span>’s construction or operation<\/span> duties or failure of the operator<\/span> to comply with the terms of its agreement with the Department<\/span>, in either case, after notice thereof and an opportunity to cure, or in the event that construction has not begun within two years of the issuance of a certificate<\/span>, the Commission<\/span>, after a hearing<\/span> in which the applicant or operator<\/span> has notice and opportunity to participate, may revoke the certificate<\/span> of authority for the roadway<\/span>, declare a default<\/span> in the construction or operation<\/span> of the roadway<\/span>, and make or cause to be made the appropriate claim or claims under any completion or performance bonds<\/span>, or take such other action as it may deem appropriate under the circumstances. The Department<\/span> may participate in or initiate such proceedings. In case of revocation<\/span> of a certificate<\/span>, the applicant or operator<\/span> shall thereafter be without any authority to construct or operate the roadway<\/span>, and the Department<\/span> may take over construction and operation<\/span> of the roadway<\/span>, and may proceed thereafter to take any steps which are in the public interest, including completion of construction or additions to the roadway<\/span>, closing the roadway<\/span>, or any intermediate step. The Department<\/span> shall receive the full proceeds of any payments due to claims against bonding companies or sureties for this purpose. In addition, in such event, the operator<\/span> shall grant to the Department<\/span> all of its right, title and interest in the assets<\/span> of the operator<\/span>. Nothing herein shall be construed to limit the Department<\/span>’s exercise of the power of eminent domain. In either case, the operator<\/span> may obtain compensation from the Department<\/span> for such assets<\/span>, except that the Department<\/span> shall first deduct from the value of such assets<\/span> all of its costs incurred in connection with completion or fulfillment of the unperformed obligations of the operator<\/span> including the payment of any obligations assumed by the Department<\/span>, and any other costs associated with the events contemplated in this section. The Department<\/span> shall take into account moneys received from the proceeds of any payment or completion bond<\/span> in calculating the amount due the operator<\/span>.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nDEFAULT (\u00a7 56-549)\n\nIn the event of material and continuing default in the performance of the\noperator’s construction or operation duties or failure of the operator to\ncomply with the terms of its agreement with the Department, in either case,\nafter notice thereof and an opportunity to cure, or in the event that\nconstruction has not begun within two years of the issuance of a certificate,\nthe Commission, after a hearing in which the applicant or operator has notice\nand opportunity to participate, may revoke the certificate of authority for the\nroadway, declare a default in the construction or operation of the roadway, and\nmake or cause to be made the appropriate claim or claims under any completion or\nperformance bonds, or take such other action as it may deem appropriate under\nthe circumstances. The Department may participate in or initiate such\nproceedings. In case of revocation of a certificate, the applicant or operator\nshall thereafter be without any authority to construct or operate the roadway,\nand the Department may take over construction and operation of the roadway, and\nmay proceed thereafter to take any steps which are in the public interest,\nincluding completion of construction or additions to the roadway, closing the\nroadway, or any intermediate step. The Department shall receive the full\nproceeds of any payments due to claims against bonding companies or sureties for\nthis purpose. In addition, in such event, the operator shall grant to the\nDepartment all of its right, title and interest in the assets of the operator.\nNothing herein shall be construed to limit the Department’s exercise of\nthe power of eminent domain. In either case, the operator may obtain\ncompensation from the Department for such assets, except that the Department\nshall first deduct from the value of such assets all of its costs incurred in\nconnection with completion or fulfillment of the unperformed obligations of the\noperator including the payment of any obligations assumed by the Department, and\nany other costs associated with the events contemplated in this section. The\nDepartment shall take into account moneys received from the proceeds of any\npayment or completion bond in calculating the amount due the operator.\n\nHISTORY: 1988, c. 649; 1991, c. 272.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}