(a)Applications for licenses required to be obtained under the provisions of this chapter shall:
(1)Be verified by the oath or affirmation of the applicants;
(2)Be on forms prescribed by the Arkansas Motor Vehicle Commission and furnished to the applicants; and (3) Contain such information as the commission deems necessary to enable it to fully determine the qualifications and eligibility of the several applicants to receive the licenses applied for.
(b)The commission shall require that there be set forth in each application:
(1)Information relating to:
(A)The applicant's business integrity;
(B)Whether the applicant has an established place of business in the State of Arkansas and is primarily engaged in the pursuit, avocation, or business for which licenses are applied for; and (C)
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(a) Applications for licenses required to be obtained under the provisions of this chapter shall: (1) Be verified by the oath or affirmation of the applicants; (2) Be on forms prescribed by the Arkansas Motor Vehicle Commission and furnished to the applicants; and (3) Contain such information as the commission deems necessary to enable it to fully determine the qualifications and eligibility of the several applicants to receive the licenses applied for. (b) The commission shall require that there be set forth in each application: (1) Information relating to: (A) The applicant's business integrity; (B) Whether the applicant has an established place of business in the State of Arkansas and is primarily engaged in the pursuit, avocation, or business for which licenses are applied for; and (C) Whether the applicant has the proper facilities and is able to properly conduct the business for which licenses are applied for; and (2) Other pertinent information consistent with the safeguarding of the public interest and public welfare. (c) (1) (A) In addition to the provisions of subsections (a) and (b) of this section, applications for licenses as: (i) New motor vehicle dealers, must also be accompanied by the filing with the commission of a corporate surety bond in the penal sum of fifty thousand dollars ($50,000) on a bond form approved by the commission; and (ii) New motorcycle dealers, new all-terrain vehicle dealers, new low speed vehicle dealers, and motor vehicle lessors, shall also be accompanied by the filing with the commission of a corporate surety bond in the penal sum of twenty-five thousand dollars ($25,000) on a bond form approved by the commission. (B) In each instance that a branch license is applied for, each application shall be accompanied by the filing with the commission of a corporate surety bond in the penal sum of twenty-five thousand dollars ($25,000) on a bond form approved by the commission. (C) Motor vehicle dealers shall also provide proof of liability insurance coverage on all vehicles to be offered for sale in an amount equal to or greater than the amount required by the Motor Vehicle Safety Responsibility Act, § 27-19-101 et seq. (2) The bond shall be in effect upon the applicant's being licensed and shall be conditioned upon the applicant's complying with the provisions of this chapter. (3) The bond shall be an indemnity for any loss sustained by any person by reason of the acts of the person bonded when those acts constitute grounds for the suspension or revocation of his or her license. (4) The bond shall be executed in the name of the State of Arkansas for the benefit of any aggrieved party. (5) The aggregate liability of the surety for all claimants, regardless of the number of years this bond is in force or has been in effect, shall not exceed the amount of the bond. (6) The proceeds of the bond shall be paid upon receipt by the commission of a final judgment from an Arkansas court of competent jurisdiction against the principal and in favor of an aggrieved party. (d) (1) In addition to the provisions of subsections (a)-(c) of this section, applications for licenses as motor vehicle dealers in new motor vehicles must also be accompanied by the filing with the commission of a bona fide contract or franchise then in effect between the applicant and a manufacturer or distributor of the new motor vehicles proposed to be dealt in. (2) However, if the contract or franchise has already been filed with the commission in connection with a previous application made by the applicant, the applicant, in lieu of again filing the contract or franchise, shall identify the contract or franchise by appropriate reference and file all revisions and additions, if any, which have been made to the contract or franchise. (e) The applicant for a license as a new motor vehicle dealer shall furnish satisfactory evidence that the applicant: (1) Maintains adequate space in the building or structure wherein the applicant's established business is conducted for the display of new motor vehicles or will have the facilities within a reasonable time after receiving a license; (2) Has or will have adequate facilities in the building or structure to perform repair and service work on motor vehicles and adequate space for storage of new parts and accessories for the motor vehicles; and (3) Will perform repair and warranty services on a motor vehicle at the licensed location. (f) (1) Every licensed dealer shall maintain for three (3) years after the date of purchase records of each vehicle transaction to which the dealer was a party. (2) Dealers shall maintain copies of all documents executed in connection with any transaction, which may include bills of sale, titles, odometer statements, invoices, affidavits of alteration, and reassignments, and shall be open to inspection by the Executive Director of the Arkansas Motor Vehicle Commission or a commission representative acting in an official capacity during reasonable business hours and upon execution of a subpoena. (g) (1) The licensee applying for a branch license shall not utilize any portion of a franchise name or product nameplates. (2) A licensee applying for a branch license shall remain in the relevant market area, as defined in the franchise or selling agreement approved by the franchiser and franchisee and on file in the commission office or as defined in this chapter pertaining to relevant market area, whichever is greater.