§ 41-3-702 — Civil penalty for violation.

(1) The following are civil violations under this chapter and are in addition to criminal violations under this chapter:

(1)(a) Level I:
(1)(a)(i) failing to display business license;
(1)(a)(ii) failing to surrender license of salesperson because of termination, suspension, or revocation;
(1)(a)(iii) failing to maintain a separation from nonrelated motor vehicle businesses at licensed locations;
(1)(a)(iv) issuing a temporary permit improperly;
(1)(a)(v) failing to maintain records;
(1)(a)(vi) selling a new motor vehicle to a nonfranchised dealer or leasing company without licensing the motor vehicle;
(1)(a)(vii) special plate violation;
(1)(a)(viii) failing to maintain a sign at a principal place of business; or
(1)(a)(ix) failing to store a salvage vehicle purchased at a motor vehicle auction in a secure location until the purchaser or a transporter has provided the proper documentation to take possession of the salvage vehicle.
(1)(b) Level II:
(1)(b)(i) failing to report sale;
(1)(b)(ii) dismantling without a permit;
(1)(b)(iii) manufacturing without meeting construction or vehicle identification number standards;
(1)(b)(iv) withholding customer license plates;
(1)(b)(v) selling a motor vehicle on consecutive days of Saturday and Sunday; or
(1)(b)(vi) failing to record and report the sale of a salvage vehicle at a motor vehicle auction as described in Section 41-3-201.
(1)(c) Level III:
(1)(c)(i) operating without a principal place of business;
(1)(c)(ii) selling a new motor vehicle as a dealer who is not a direct-sale manufacturer without holding the franchise;
(1)(c)(iii) crushing a motor vehicle without proper evidence of ownership;
(1)(c)(iv) selling from an unlicensed location;
(1)(c)(v) altering a temporary permit;
(1)(c)(vi) refusal to furnish copies of records;
(1)(c)(vii) assisting an unlicensed dealer or salesperson in sales of motor vehicles;
(1)(c)(viii) advertising violation;
(1)(c)(ix) failing to separately identify the fees required by Title 41, Chapter 1a, Motor Vehicle Act;
(1)(c)(x) encouraging or conspiring with unlicensed persons to solicit for prospective purchasers;
(1)(c)(xi) selling, offering for sale, or displaying for sale or exchange a vehicle, vessel, or outboard motor in violation of Section 41-1a-705; or
(1)(c)(xii) a violation of Subsection 41-3-211(1)(d).
(2) (2)(a) The schedule of civil penalties for violations of Subsection (1) is:
(2)(a)(i) Level I: $25 for the first offense, $100 for the second offense, and $250 for the third and subsequent offenses;
(2)(a)(ii) Level II: $100 for the first offense, $250 for the second offense, and $1,000 for the third and subsequent offenses; and
(2)(a)(iii) Level III: $250 for the first offense, $1,000 for the second offense, and $5,000 for the third and subsequent offenses.
(2)(b) When determining under this section if an offense is a second or subsequent offense, only prior offenses committed within the 12 months before the commission of the current offense may be considered.
(3) Knowingly selling a salvage vehicle, as defined in Section 41-1a-1001, without disclosing that the salvage vehicle has been repaired or rebuilt is a civil violation in addition to a criminal violation under Section 41-1a-1008.
(4) The civil penalty for a violation under Subsection (3) is:

(4)(a) not less than $1,000, or treble the actual damages caused by the person, whichever is greater; and
(4)(b) reasonable attorney fees and costs of the action.
(5) A civil action may be maintained by a purchaser or by the administrator.

Legislative History

Amended by Chapter 63, 2023 General Session