SENATE DOCKET, NO. 516        FILED ON: 1/16/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 154

The Commonwealth of Massachusetts

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PRESENTED BY:

James E. Timilty

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act relative to Class 2 motor vehicle licensees.

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PETITION OF:

SENATE DOCKET, NO. 516        FILED ON: 1/16/2013

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 154

The Commonwealth of Massachusetts

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In the Year Two Thousand Thirteen

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An Act relative to Class 2 motor vehicle licensees.

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1.  Section 58 of  Chapter 140 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting after clause (8) of subsection (c) the following:

(9) The dealer’s business is situated within a permanent building or permanently affixed structure, owned or leased by the dealer for the dealer’s exclusive use. Except for a dealer who exchanges vehicles or trailers solely on a wholesale basis, the dealer shall be open to the public. The building, structure, shall have adequate office space to conduct the business and hours of operation shall be posted. If more than one business is located within the same building or structure, the dealer shall maintain a separate and exclusive entrance. Subject to any municipal regulation, ordinance or bylaw, and except for a dealer who exchanges motor vehicles or trailers solely on a wholesale basis, the dealer shall display a permanently affixed exterior sign of sufficient size and design to give the general public notice of the name, telephone number and nature of the business. Except for a dealer who exchanges motor vehicles or trailers solely on a wholesale basis, the dealer shall have an area to display the vehicles offered for sale, which cannot be shared with any other business unless a clear physical separation exists. Vehicles cannot be offered for sale at any other location; however, this shall not prohibit a dealer from transporting and offering vehicles for sale at a recognized automobile auction facility, or a combined dealer special sale event. A municipal licensing authority shall issue only one Class 2 license for a building at a specific street address.

SECTION 2. Notwithstanding any general or special law to the contrary the Registry of Motor Vehicles is hereby directed to establish a standard application form for applicants for a Class 2 license pursuant to Section 58 of Chapter 140 which shall be utilized by all licensing authorities issuing said Class 2 license. The application shall include, but not be limited to, the name and address of the applicant, the name and address of the motor vehicle dealership, a box to be checked confirming evidence of a $25,000 bond and its certificate number or equivalent certificate of deposit or irrevocable letter of credit, a box to be checked confirming compliance with Class 2 licensee education requirements including the education certificate number, a box to be checked for wholesale dealer which shall include the following text “a checkmark in this box shall prohibit such licensee from selling motor vehicles to the retail public”. The municipal licensing authority shall clearly indicate on the Class 2 license for wholesale only. A Class 2 licensee with a wholesale only license who sells at retail shall be subject to a fine of $5000 payable to the municipal licensing authority and immediate revocation of the Class 2 license by the licensing authority. The municipal licensing authority shall transmit a copy of said completed application to the Registrar of Motor Vehicles and to the Department of Revenue.