When a producer violates regulations and a cease and desist order is issued, the producer is still liable to fulfill obligations to clients.
When a producer is found guilty of violating regulations and a cease and desist order is issued by the Commissioner, the producer is still liable to fulfill obligations to the clients. The producer remains responsible for their actions and commitments despite the legal consequences. It is not the company's responsibility to take over the producer's liabilities, nor are the liabilities transferred to the Commissioner.
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