§ 39-22-22 — Operators of motor vehicle display lots - Permit required - Fee - Records required - Penalty

required - Penalty.
1. A person not licensed as a motor vehicle dealer may operate display lots on which the
owner of a vehicle may display the vehicle for sale. The display lot must be located on
property zoned or otherwise approved for this purpose by the appropriate zoning
authority. The display lot operator must obtain an annual permit from the department to
operate the lot. The annual fee for the permit is fifty dollars.
2. The display lot operator must provide the department with proof of a liability insurance
policy with a minimum coverage of three hundred thousand dollars. The display lot
must have a prominent sign identifying the business and the telephone number of the
business owner. The sign must be at least thirty-two square feet [2.97 square meters]
in size, contain the name of the display lot operator in letters at least ten inches [25.4
centimeters] high, and be clearly visible from the street.
3. The display lot operator, before providing space to a vehicle owner, must verify that the
person renting the space is the owner of the displayed vehicle and keep records for at
least one year after the rental of a space verifying compliance with this requirement. A
licensed motor vehicle dealer may not operate a display lot on property that is part of
the licensed dealership. The department may inspect the records of the display lot
operator related to any complaint made against the operator.
4. The department may assess a person violating this section a one hundred dollar fee
for a first violation, a two hundred dollar fee for a second violation within two years of
the first violation, or a fee of at least five hundred dollars but not more than two
thousand dollars for a third or subsequent violation within five years of the first
violation.