§ 47-583 — License required - Application - Fees - Specifications and

display - Bond - Liability insurance. A. 1. It shall be unlawful and constitute a misdemeanor for any person to engage in business as, or serve in the capacity of, or act as a used motor vehicle dealer, wholesale used motor vehicle dealer, manufactured home dealer, restricted manufactured home park dealer, manufactured home installer, or manufactured home manufacturer selling directly to a licensed manufactured home dealer in this state without first obtaining a license or following other requirements therefor as provided in this section. 2. a. Any person engaging, acting, or serving in the capacity of a used motor vehicle dealer, a manufactured home dealer, restricted manufactured home park dealer, a manufactured home installer, or a manufactured home manufacturer, or having more than one place where any such business, or combination of businesses, is carried on or conducted shall be required to obtain and hold a current license for each such business, in which engaged. b. If after a hearing in accordance with the provisions of Section 585 of this title, the Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission shall find any person installing a mobile or manufactured home to be in violation of any of the provisions of Section 581 et seq. of this title, such person may be subject to an administrative fine not more than Five Hundred Dollars ($500.00) for each violation. Each day a person is in violation of Section 581 et seq. of this title may constitute a separate violation. All administrative fines collected pursuant to the provisions of this subparagraph shall be deposited in the fund established in Section 582 of this title. Administrative fines imposed pursuant to this subparagraph may be enforceable in the district courts of this state. 3. Any person, except persons penalized by administrative fine, violating the provisions of this section shall, upon conviction, be punished by a fine not to exceed Five Hundred Dollars ($500.00). A second or subsequent conviction shall be punished by a fine not to exceed One Thousand Dollars ($1,000.00); provided that each day such unlicensed person violates this section shall constitute a separate offense, and any vehicle involved in a violation of this subsection shall be considered a separate offense. B. 1. Applications for licenses required to be obtained under the provisions of the Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission shall be verified by the oath or affirmation of the applicant and shall be on forms prescribed by the Commission and furnished to the applicants, and shall 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 license or licenses applied for. The Commission shall require in the application, or otherwise, information relating to: a. the applicant’s financial standing, b. the applicant’s business integrity, c. whether the applicant has an established place of business and is engaged in the pursuit, avocation, or business for which a license, or licenses, is applied for, d. whether the applicant is able to properly conduct the business for which a license, or licenses, is applied for, and e. such other pertinent information consistent with the safeguarding of the public interest and the public welfare. 2. All applications for license or licenses shall be accompanied by the appropriate fee or fees in accordance with the schedule hereinafter provided. In the event any application is denied and the license applied for is not issued, the entire license fee shall be returned to the applicant. 3. All bonds and licenses issued under the provisions of Section 581 et seq. of this title shall expire on December 31, following the date of issue and shall be nontransferable. All applications for renewal of licenses shall be submitted by November 1 of each year of expiration, and licenses for completed renewals received by November 1 shall be issued by January 10. If applications have not been made for renewal of licenses, such licenses shall expire on December 31 and it shall be illegal for any person to represent himself or herself and act as a dealer thereafter. Tag agents shall be notified not to accept dealers’ titles until such time as licenses have been issued. Beginning January 1, 2016, all licenses shall be issued for a period of two (2) years and the appropriate fees shall be assessed. The Commission shall adopt rules necessary to implement the two-year licensing provisions. 4. A certificate of registration shall permit the registered person to engage in the activities of a used motor vehicle salesperson. A salesperson shall be deemed to be temporarily approved and allowed to sell vehicles when applications and fees are on file with the Commission. C. The schedule of license and inspection fees to be charged and received by the Commission for the licenses and inspections issued hereunder shall be as follows: 1. For each used motor vehicle dealer’s license and each wholesale used motor vehicle dealer’s license, Six Hundred Dollars ($600.00). If a used motor vehicle dealer or a wholesale used motor vehicle dealer has once been licensed by the Commission in the classification for which he or she applies for a renewal of the license, the fee for each subsequent renewal shall be Three Hundred Dollars ($300.00); provided, if an applicant holds a license to conduct business as an automotive dismantler and parts recycler issued pursuant to Section 591.1 et seq. of this title, the initial fee shall be Two Hundred Dollars ($200.00) and the renewal fee shall be Two Hundred Dollars ($200.00). If an applicant is applying simultaneously for a license under this paragraph and a license under paragraph 1 of Section 591.5 of this title, the initial application fee shall be Four Hundred Dollars ($400.00). For the reinstatement of a used motor vehicle dealer’s license after revocation for cancellation or expiration of insurance pursuant to subsection F of this section, the fee shall be Two Hundred Dollars ($200.00); 2. For a used motor vehicle dealer’s license, for each place of business in addition to the principal place of business, Two Hundred Dollars ($200.00); 3. For each holder who possesses a valid new motor vehicle dealer’s license from the Oklahoma Motor New Vehicle Commission, Two Hundred Dollars ($200.00) shall be the initial fee for a used motor vehicle license and the fee for each subsequent renewal shall be Two Hundred Dollars ($200.00); 4. a. For each manufactured home dealer’s license or a restricted manufactured home park dealer’s license, Six Hundred Dollars ($600.00), and for each place of business in addition to the principal place of business, Four Hundred Dollars ($400.00), and b. For each renewal of a manufactured home dealer’s license or a restricted manufactured home park dealer’s license, and renewal for each place of business in addition to the principal place of business, Three Hundred Dollars ($300.00); 5. a. For each manufactured home installer’s license, Four Hundred Dollars ($400.00), and b. For each renewal of a manufactured home installer’s license, Four Hundred Dollars ($400.00); 6. a. For each manufactured home manufacturer selling directly to a licensed manufactured home dealer in this state, One Thousand Five Hundred Dollars ($1,500.00), and b. For each renewal of a manufactured home manufacturer’s license, One Thousand Five Hundred Dollars ($1,500.00); 7. Any manufactured home manufacturer who sells a new manufactured home to be shipped to or sited in this state shall pay an installation inspection fee of Seventy-five Dollars ($75.00) for each new single-wide manufactured home and One Hundred Twenty-five Dollars ($125.00) for each new multi-floor manufactured home; and 8. A used manufactured home inspection fee of Seventy-five Dollars ($75.00) shall be paid by the installer at or before the time of installation of any used manufactured home sited and installed in this state. D. 1. The license issued to each used motor vehicle dealer, each wholesale used motor vehicle dealer, each restricted manufactured home park dealer and each manufactured home dealer shall specify the location of the place of business. If the business location is changed, the Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission shall be notified immediately of the change and the Commission may endorse the change of location on the license. The fee for a change of location shall be One Hundred Dollars ($100.00), and the fee for a change of name, Twenty-five Dollars ($25.00). The license of each licensee shall be posted in a conspicuous place in the place or places of business of the licensee. 2. The license issued to each manufactured home installer and each manufactured home manufacturer shall specify the location of the place of business. If the business location is changed, the Oklahoma Used Motor Vehicle, Dismantler, and Manufactured Housing Commission shall be notified immediately of the change and the Commission may endorse the change of location on the license without charge. The license of each licensee shall be posted in a conspicuous place in the place or places of business of the licensee. 3. Every manufactured home installer shall have the license available for inspection at the primary place of business of the licensee. This license shall be valid for the licensee and all of the employees of the licensee. Any person who is not an employee of the licensee must obtain a separate manufactured home installer license regardless of whether such person is acting in the capacity of a contractor or subcontractor. E. 1. a. Each applicant for a used motor vehicle dealer’s license shall procure and file with the Commission a good and sufficient bond in the amount of Twenty-five Thousand Dollars ($25,000.00). Each new applicant for a used motor vehicle dealer’s license for the purpose of conducting a used motor vehicle auction shall procure and file with the Commission a good and sufficient bond in the amount of Fifty Thousand Dollars ($50,000.00). An applicant who intends to conduct a used motor vehicle auction who provides proof that the applicant has check and title insurance in an amount not less than Fifty Thousand Dollars ($50,000.00) shall only be required to have a bond in the amount of Twenty-five Thousand Dollars ($25,000.00). b. Each new applicant for a used motor vehicle dealer license for the purpose of conducting a used motor vehicle business which will consist primarily of non- auction consignment sales which are projected to equal Five Hundred Thousand Dollars ($500,000.00) or more in gross annual sales shall procure and file with the Commission a good and sufficient bond in the amount of Fifty Thousand Dollars ($50,000.00). The Commission shall prescribe by rule the method of operation of the non-auction consignment dealer in order to properly protect the interests of all parties to the transaction and to provide sanctions against dealers who fail to comply with the rules. c. Each applicant for a wholesale used motor vehicle dealer’s license shall procure and file with the Commission a good and sufficient bond in the amount of Twenty-five Thousand Dollars ($25,000.00). d. Any used motor vehicle dealer who, for the purpose of being a rebuilder, applies for a rebuilder certificate, as provided in Section 591.5 of this title, whether as a new application or renewal, shall procure and file with the Commission a good and sufficient bond in the amount of Fifteen Thousand Dollars ($15,000.00), in addition to any other bonds required. e. Each applicant for a manufactured home dealer’s license or a restricted manufactured home park dealer’s license shall procure and file with the Commission a good and sufficient bond in the amount of Thirty Thousand Dollars ($30,000.00). f. Each manufactured home manufacturing facility selling directly to a licensed manufactured home dealer or restricted manufactured home park dealer in this state shall procure and file with the Commission a good and sufficient bond in the amount of Thirty Thousand Dollars ($30,000.00). In addition to all other conditions and requirements set forth herein, the bond shall require the availability of prompt and full warranty service by the manufacturer to comply with all warranties expressed or implied in connection with each manufactured home which is manufactured for resale or use in this state. A manufacturer may not sell, exchange, or lease-purchase with an option to own in any form a manufactured home to a person in this state directly or indirectly through a distributor or third party who is not a licensed manufactured home dealer or a restricted manufactured home park dealer. g. The bond shall be approved as to form by the Attorney General and conditioned that the applicant shall not practice fraud, make any fraudulent representation, or violate any of the provisions of Section 581 et seq. of this title in the conduct of the business for which the applicant is licensed. One of the purposes of the bond is to provide reimbursement for any loss or damage suffered by any person by reason of issuance of a certificate of title by a used motor vehicle dealer, a wholesale used motor vehicle dealer, a restricted manufactured home park dealer or a manufactured home dealer. 2. The bonds as required by this section shall be maintained throughout the period of licensure. Should the bond be canceled for any reason, the license shall be revoked as of the date of cancellation unless a new bond is furnished prior to such date. F. Any used motor vehicle dealer or wholesale used motor vehicle dealer is required to furnish and keep in force a minimum of Twenty-five Thousand Dollars ($25,000.00) of single liability insurance coverage on all vehicles offered for sale or used in any other capacity in demonstrating or utilizing the streets and roadways in accordance with the financial responsibility laws of this state. G. Any manufactured home dealer or restricted manufactured home park dealer is required to furnish and keep in force a minimum of One Hundred Thousand Dollars ($100,000.00) of garage liability or general liability with products and completed operations insurance coverage. H. Any manufactured home installer is required to furnish and keep in force a minimum of Twenty-five Thousand Dollars ($25,000.00) of general liability with products and completed operations insurance coverage.

Legislative History

Added by Laws 1980, c. 85, § 18, eff. Jan. 1, 1981. Amended by Laws 1980, c. 273, § 17, eff. Jan. 1, 1981; Laws 1989, c. 57, § 3, operative July 1, 1989; Laws 1992, c. 242, § 1, eff. July 1, 1992; Laws 1992, c. 373, § 10, eff. July 1, 1992; Laws 1996, c. 332, § 2, eff. Nov. 1, 1996; Laws 1997, c. 2, § 8, emerg. eff. Feb. 26, 1997; Laws 1999, c. 155, § 3, eff. July 1, 1999; Laws 2000, c. 150, § 3, eff. July 1, 2000; Laws 2000, c. 334, § 4, eff. July 1, 2000; Laws 2001, c. 60, § 1, eff. July 1, 2001; Laws 2005, c. 298, § 3, eff. Nov. 1, 2005; Laws 2006, c. 213, § 3, eff. Nov. 1, 2006; Laws 2013, c. 145, § 2, eff. Nov. 1, 2013; Laws 2014, c. 4, § 11, emerg. eff. April 2, 2014; Laws 2015, c. 386, § 1, eff. Nov. 1, 2015; Laws 2019, c. 79, § 5, eff. Nov. 1, 2019; Laws 2020, c. 161, § 24, emerg. eff. May 21, 2020; Laws 2021, c. 379, § 2, eff. Nov. 1, 2021; Laws 2021, c. 444, § 3, eff. Nov. 1, 2021; Laws 2022, c. 107, § 3, eff. Nov. 1, 2022; Laws 2023, c. 29, § 19, eff. Nov. 1, 2023. NOTE: Laws 1992, c. 140, § 3 repealed by Laws 1992, c. 373, § 22, eff. July 1, 1992. Laws 1996, c. 249, § 8 repealed by Laws 1997, c. 2, § 26, emerg. eff. Feb. 26, 1997. Laws 2000, c. 75, § 1 and Laws 2000, c. 126, § 1 repealed by Laws 2000, c. 334, § 8, eff. July 1, 2000. Laws 2013, c. 164, § 1 repealed by Laws 2014, c. 4, § 12, emerg. eff. April 2, 2014. Laws 2013, c. 196, § 1 repealed by Laws 2014, c. 4, § 13, emerg. eff. April 2, 2014. Laws 2019, c. 221, § 1 repealed by Laws 2020, c. 161, § 25, emerg. eff. May 21, 2020.