H. B. 2961
(By Delegates Warner and Shelton)
[Introduced March 21, 2001; referred to the
Committee on the Judiciary then Finance.]
A BILL to amend and reenact sections one, two, four, six, eight,
ten, fifteen and eighteen, article six, chapter seventeen-a of
the code of West Virginia, one thousand nine hundred
thirty-one, as amended; and to further amend said article by
adding thereto a new section, designated two-a, all relating
to licensing of dealers, wreckers or dismantlers and to
special plates, temporary plates or markers, and specifically
to the establishment of a dealer recovery fund.
Be it enacted by the Legislature of West Virginia:
That sections one, two, four, six, eight, ten, fifteen, and
eighteen, article six, chapter seventeen-a of the code of West
Virginia, one thousand nine hundred thirty-one, as amended, be
amended and reenacted; and that said article be further amended by
adding a new section, designated section two-a, all to read as
follows:
ARTICLE 6. LICENSING OF DEALERS, WRECKERS OR DISMANTLERS; SPECIAL
PLATES; TEMPORARY PLATES OR MARKERS.
§17A-6-1. Definitions.
(a) Unless the context in which used clearly requires a
different meaning, as used in this article:
(1) "New motor vehicle dealer" means every person (other than
agents and employees, if any, while acting within the scope of
their authority or employment), engaged in, or held out to the
public to be engaged in, the business in this state of selling five
or more new motor vehicles or new and used motor vehicles in any
fiscal year of a type required to be registered under the
provisions of this chapter, except, for the purposes of this
article only, motorcycles.
(2) "Used motor vehicle dealer" means every person (other than
agents and employees, if any, while acting within the scope of
their authority or employment), engaged in, or held out to the
public to be engaged in, the business in this state of selling five
or more used motor vehicles in any fiscal year of a type required
to be registered under the provisions of this chapter, except, for
the purposes of this article only, motorcycles.
(3) "House trailer dealer" means every person (other than
agents and employees, if any, while acting within the scope of
their authority or employment), engaged in, or held out to the
public to be engaged in, the business in this state of selling new or used house trailers, or both, or new or used, or both, house
trailers and trailers or new or used, or both, manufactured homes
and mobile homes.
(4) "Trailer dealer" means every person (other than agents and
employees, if any, while acting within the scope of their authority
or employment), engaged in, or held out to the public to be engaged
in, the business in this state of selling new or used trailers.
(5) "Motorcycle dealer" means every person (other than agents
and employees, if any, while acting within the scope of their
authority or employment), engaged in, or held out to the public to
be engaged in, the business in this state of selling new or used
motorcycles.
(6) "Used parts dealer" means every person (other than agents
and employees, if any, while acting within the scope of their
authority or employment), engaged in, or held out to the public to
be engaged in, the business in this state of selling any used
appliance, accessory, member, portion or other part of any vehicle.
(7) "Wrecker/dismantler/rebuilder" means every person (other
than agents and employees, if any, while acting within the scope of
their authority or employment), engaged in, or held out to the
public to be engaged in, the business in this state of dealing in
wrecked or damaged motor vehicles or motor vehicle parts for the
purpose of selling the parts thereof or scrap therefrom or who is
in the business of rebuilding salvage motor vehicles for the purpose of resale to the public.
(8) "New motor vehicles" means all motor vehicles, except
motorcycles and used motor vehicles, of a type required to be
registered under the provisions of this chapter.
(9) "Used motor vehicles" means all motor vehicles, except
motorcycles, of a type required to be registered under the
provisions of this chapter which have been sold and operated, or
which have been registered or titled, in this or any other state or
jurisdiction.
(10) "House trailers" means all trailers designed and used for
human occupancy on a continual nonrecreational basis, but may not
include fold down camping and travel trailers, mobile homes or
manufactured homes.
(11) "Trailers" means all types of trailers other than house
trailers, and shall include, but not be limited to, pole trailers
and semitrailers but excluding recreational vehicles.
(12) "Sales instrument" means any document resulting from the
sale of a vehicle, which shall include, but not be limited to, a
bill of sale, invoice, conditional sales contract, chattel
mortgage, chattel trust deed, security agreement or similar
document.
(13) "Sell," "sale" or "selling," in addition to the ordinary
definitions of the terms, includes offering for sale, soliciting
sales of, negotiating for the sale of, displaying for sale or advertising for sale, any vehicle, whether at retail, wholesale or
at auction. "Selling," in addition to the ordinary definition of
that term, also includes buying and exchanging.
(14) "Applicant" means any person making application for an
original or renewal license certificate under the provisions of
this article.
(15) "Licensee" means any person holding any license
certificate issued under the provisions of this article.
(16) "Predecessor" means the former owner or owners or
operator or operators of any new motor vehicle dealer business or
used motor vehicle dealer business.
(17) "Established place of business" means, in the case of a
new motor vehicle dealer, a permanent location, not a temporary
stand or other temporary quarters, owned or leased by the licensee
or applicant and actually occupied or to be occupied by him or her,
as the case may be, which is or is to be used exclusively for the
purpose of selling new motor vehicles or new and used motor
vehicles, which shall have space under roof for the display of at
least one new motor vehicle and facilities and space therewith for
the servicing and repair of at least one motor vehicle, which
servicing and repair facilities and space is adequate and suitable
to carry out servicing and to make repairs necessary to keep and
carry out all representations, warranties and agreements made or to
be made by the dealer with respect to motor vehicles sold by him or her, which is easily accessible to the public, which conforms to
all applicable laws of this state and the ordinances of the
municipality in which it is located, if any, which displays thereon
at least one permanent sign, clearly visible from the principal
public street or highway nearest the location and clearly stating
the business which is or shall be conducted thereat, and which has
adequate facilities to keep, maintain and preserve records, papers
and documents necessary to carry on the business and to make the
business available to inspection by the commissioner at all
reasonable times: Provided, That each established place of
business shall have a display area which may be outside or inside
or a combination thereof of at least twelve hundred square feet
which is to be used exclusively for the display of vehicles which
are offered for sale by the dealer, office space of at least one
hundred forty-four square feet and a telephone listed in the name
of the dealership. Each established place of business shall be
open to the public a minimum of twenty hours per week at least
forty weeks per calendar year with at least ten of those hours
being between the hours of nine-thirty a.m. and eight-thirty p.m.,
Monday through Saturday: Provided, however, That the requirement
of exclusive use is met even though: (A) Some new and any used
motor vehicles sold or to be sold by the dealer or sold or are to
be sold at a different location or locations not meeting the
definition of an established place of business of a new motor vehicle dealer, if each location is or is to be served by other
facilities and space of the dealer for the servicing and repair of
at least one motor vehicle, adequate and suitable as aforesaid, and
each location used for the sale of some new and any used motor
vehicles otherwise meets the definition of an established place of
business of a used motor vehicle dealer; (B) house trailers,
trailers or motorcycles are sold or are to be sold thereat, if,
subject to the provisions of section five of this article, a
separate license certificate is obtained for each type of vehicle
business, which license certificate remains unexpired, unsuspended
and unrevoked; (C) farm machinery is sold thereat; (D) accessory,
gasoline and oil, or storage departments are maintained thereat, if
the departments are operated for the purpose of furthering and
assisting in the licensed business or businesses; and (E) the
established place of business has an attached single residential
rental unit with an outside separate entrance and occupied by a
person or persons with no financial or operational interest in the
dealership where the established place of business has space under
roof for the display of at least three new motor vehicles and
facilities and space therewith for the concurrent servicing and
repair of at least two motor vehicles and otherwise meets the
requirements set forth in this subdivision.
(18) "Farm machinery" means all machines and tools used in the
production, harvesting or care of farm products.
(19) "Established place of business," in the case of a used
motor vehicle dealer, means a permanent location, not a temporary
stand or other temporary quarters, owned or leased by the licensee
or applicant and actually occupied or to be occupied by him or her,
as the case may be, which is or is to be used exclusively for the
purpose of selling used motor vehicles, which shall have facilities
and space therewith for the servicing and repair of at least one
motor vehicle, which servicing and repair facilities and space
shall be adequate and suitable to carry out servicing and to make
repairs necessary to keep and carry out all representations,
warranties and agreements made or to be made by the dealer with
respect to used motor vehicles sold by him or her, which is easily
accessible to the public, conforms to all applicable laws of this
state, and the ordinances of the municipality in which it is
located, if any, which displays thereon at least one permanent
sign, clearly visible from the principal public street or highway
nearest the location and clearly stating the business which is or
shall be conducted thereat, and which has adequate facilities to
keep, maintain and preserve records, papers and documents necessary
to carry on the business and to make the business available to
inspection by the commissioner at all reasonable times: Provided,
That each established place of business shall have a display area
which may be outside or inside or a combination thereof of at least
twelve hundred square feet which is to be used exclusively for the display of vehicles which are offered for sale by the dealer,
office space of at least one hundred forty-four square feet and a
telephone listed in the name of the dealership. Each established
place of business shall be open to the public a minimum of twenty
hours per week at least forty weeks per calendar year with at least
ten of those hours being between the hours of nine-thirty a.m. and
eight-thirty p.m., Monday through Saturday: Provided, however,
That if a used motor vehicle dealer has entered into a written
agreement or agreements with a person or persons owning or
operating a servicing and repair facility or facilities adequate
and suitable as aforesaid, the effect of which agreement or
agreements is to provide the servicing and repair services and
space in like manner as if the servicing and repair facilities and
space were located in or on the dealer's place of business, then,
so long as the agreement or agreements are in effect, it is not
necessary for the dealer to maintain the servicing and repair
facilities and space at the place of business in order for the
place of business to be an established place of business as herein
defined: Provided further, That the requirement of exclusive use
is met even though: (A) House trailers, trailers or motorcycles
are sold or are to be sold thereat, if, subject to the provisions
of section five of this article, a separate license certificate is
obtained for each type of vehicle business, which license
certificate remains unexpired, unsuspended and unrevoked; (B) farm machinery is sold thereat; (C) accessory, gasoline and oil, or
storage departments are maintained thereat, if the departments are
operated for the purpose of furthering and assisting in the
licensed business or businesses; and (D) the established place of
business has an attached single residential rental unit with an
outside separate entrance and occupied by a person or persons with
no financial or operational interest in the dealership where the
established place of business has space under roof for the display
of at least three motor vehicles and facilities and space therewith
for the concurrent servicing and repair of at least two motor
vehicles and otherwise meets the requirements set forth herein.
(20) "Established place of business," in the case of a house
trailer dealer, trailer dealer, recreational vehicle dealer,
motorcycle dealer, used parts dealer and wrecker or dismantler,
means a permanent location, not a temporary stand or other
temporary quarters, owned or leased by the licensee or applicant
and actually occupied or to be occupied by the licensee, as the
case may be, which is easily accessible to the public, which
conforms to all applicable laws of this state and the ordinances of
the municipality in which it is located, if any, which displays
thereon at least one permanent sign, clearly visible from the
principal public street or highway nearest the location and clearly
stating the business which is or shall be conducted thereat, and
which has adequate facilities to keep, maintain and preserve records, papers and documents necessary to carry on the business
and to make the business available to inspection by the
commissioner at all reasonable times.
(21) "Manufacturer" means every person engaged in the business
of reconstructing, assembling or reassembling vehicles with a
special type body required by the purchaser if the vehicle is
subject to the title and registration provisions of this code.
(22) "Transporter" means every person engaged in the business
of transporting vehicles to or from a manufacturing, assembling or
distributing plant to dealers or sales agents of a manufacturer, or
purchasers.
(23) "Recreational vehicle dealer" means every person (other
than agents and employees, if any, while acting within the scope of
their authority or employment), engaged in, or held out to the
public to be engaged in, the business in this state of selling new
or used recreational vehicles, or both.
(24) "Motorboat" means any vessel propelled by an electrical,
steam, gas, diesel or other fuel propelled or driven motor, whether
or not the motor is the principal source of propulsion, but does
not include a vessel which has a valid marine document issued by
the bureau of customs of the United States government or any
federal agency successor thereto.
(25) "Motorboat trailer" means every vehicle designed for or
ordinarily used for the transportation of a motorboat.
(26) "All-terrain vehicle" (ATV) means any motor vehicle
designed for off-highway use and designed for operator use only
with no passengers, having a seat or saddle designed to be
straddled by the operator, and handlebars for steering control.
(27) "Travel trailer" means every vehicle, mounted on wheels,
designed to provide temporary living quarters for recreational,
camping or travel use of such size or weight as not to require
special highway movement permits when towed by a motor vehicle and
of gross trailer area less than four hundred square feet.
(28) "Fold down camping trailer" means every vehicle
consisting of a portable unit mounted on wheels and constructed
with collapsible partial sidewalls which fold for towing by another
vehicle and unfold at the camp site to provide temporary living
quarters for recreational, camping or travel use.
(29) "Motor home" means every vehicle, designed to provide
temporary living quarters, built into an integral part of or
permanently attached to a self-propelled motor vehicle, chassis or
van including: (1) Type A motor home built on an incomplete truck
chassis with the truck cab constructed by the second stage
manufacturer; (2) Type B motor home consisting of a van-type
vehicle which has been altered to provide temporary living
quarters; and (3) Type C motor home built on an incomplete van or
truck chassis with a cab constructed by the chassis manufacturer.
(30) "Snowmobile" means a self-propelled vehicle intended for travel primarily on snow and driven by a track or tracks in contact
with the snow and steered by a ski or skis in contact with the
snow.
(31) "Recreational vehicle" means a motorboat, motorboat
trailer, all-terrain vehicle, travel trailer, fold down camping
trailer, motor home or snowmobile.
(32) "Major component" means any one of the following
subassemblies of a motor vehicle: (A) Front clip assembly
consisting of fenders, grille, hood, bumper and related parts; (B)
engine; (C) transmission; (D) rear clip assembly consisting of
quarter panels and floor panel assembly; or (E) two or more doors.
(33) "Factory-built home" includes mobile homes, house
trailers and manufactured homes.
(34) "Manufactured home" has the same meaning as the term is
defined in section two, article nine, chapter twenty-one of this
code which meets the National Manufactured Housing Construction and
Safety Standards Act of 1974 (42 U.S.C. §5401 et seq.), effective
on the fifteenth day of June, one thousand nine hundred
seventy-six, and the federal manufactured home construction and
safety standards and regulations promulgated by the secretary of
the United States department of housing and urban development.
(35) "Mobile home" means a transportable structure that is
wholly, or in substantial part, made, fabricated, formed or
assembled in manufacturing facilities for installation or assembly and installation on a building site and designed for long-term
residential use and built prior to enactment of the federal
manufactured housing construction and safety standards institute
(ANSI) - A119.1 standards for mobile homes.
(36) "Vehicle leasing company" means every person other than
agents and employees, if any, while acting within the scope of
their authority or employment, engaged in, or held out to the
public to be engaged in, the business of leasing new or used
vehicles, or both, titled and registered in this state to
residents of this state. Such business shall be subject to the
appropriate provisions and sanctions of this article and rules of
the division.
(37) "Daily passenger rental car business" means every person
other than agents and employees, if any, while acting within the
scope of their authority or employment, engaged in, or held out to
the public to be engaged in, the business in this state of renting
on a daily basis new or used motor vehicles, or both, intended
for passenger use. Such business shall be subject to the
appropriate provisions and sanctions of this article and rules of
the division.
(38) "Motor vehicle dealer advisory board" means the board
created in accordance with the provisions of section eighteen-a of
this article.
(39) "Loan value" means the value of a vehicle as set by a nationally accepted used car guide.
(40) "Dealer recovery fund" and "dealer recovery fund control
board" pertains to the program prescribed in section two-a of this
article.
(b) Under no circumstances whatever may the terms "new motor
vehicle dealer," "used motor vehicle dealer," "house trailer
dealer," "trailer dealer," "recreational vehicle dealer,"
"motorcycle dealer," "used parts dealer" or "wrecker/dismantler/
rebuilder" be construed or applied under this article in such a way
as to include a banking institution, insurance company, finance
company, or other lending or financial institution, or other
person, the state or any agency or political subdivision thereof,
or any municipality, who or which owns or comes in possession or
ownership of, or acquires contract rights, or security interests in
or to, any vehicle or vehicles or any part thereof and sells the
vehicle or vehicles or any part thereof for purposes other than
engaging in and holding out to the public to be engaged in the
business of selling vehicles or any part thereof.
(c) It is recognized that throughout this code the term
"trailer" or "trailers" is used to include, among other types of
trailers, house trailers. It is also recognized that throughout
this code the term "trailer" or "trailers" is seldom used to
include semitrailers or pole trailers. However, for the purposes
of this article only, the term "trailers" has the meaning ascribed to it in subsection (a) of this section.
§17A-6-2. Legislative findings, declaration of public policy and
dealer recovery fund.
(a) The Legislature hereby determines and finds that in the
past some few persons engaged in the business of selling new or
used motor vehicles, house trailers, trailers, recreational
vehicles, motorcycles, or used motor vehicle parts, and in the
business of wrecking or dismantling motor vehicles, have not had
the necessary qualifications, staff, equipment or facilities to
adequately serve the public; that some few persons engaged in said
businesses have made false and deceptive claims and advertisements
to the public and have engaged in fraud and other illegal conduct;
that certain citizens of this state have sustained financial losses
as a result thereof; and that in some of said cases there has been
no adequate means to prevent said conduct or protect the interests
of the citizens of West Virginia. It is, therefore, declared to be
the public policy of this state that the business of new motor
vehicle dealer, used motor vehicle dealer, house trailer dealer,
trailer dealer, recreational vehicle dealer, motorcycle dealer,
used parts dealer, or wrecker or dismantler, affects the general
welfare of this state and its citizens; that persons without the
necessary qualifications, staff, equipment or facilities to
adequately serve the public, and persons not of good character or
who have or are likely to attempt to misrepresent their product or engage in fraudulent or other illegal conduct should not engage in
such businesses; and that such evils may best be prevented and the
interests of the public best served by requiring persons in such
businesses to meet the qualifications set forth in this article and
to be licensed by the commissioner of motor vehicles as provided in
this article.
(b) The Legislature further determines and finds that there
exists a significant problem when a motor vehicle dealer goes out
of business or engages in such fraudulent business practices so as
to cause citizens of the affected community, as well as this state
substantial financial loss. It is, therefore determined, that the
creation of a dealer recovery fund is necessary to allow both the
state and the citizens of this state to recover any taxes which
have not been properly remitted to the state and to provide
financial relief to citizens and other motor vehicle dealers who
have suffered financial harm through the failure of a motor vehicle
dealer to properly release liens and deliver clear title in motor
vehicle transactions.
(c) The provisions of this article relating to recreational
vehicles and recreational vehicle dealers shall become effective on
the first day of July, one thousand nine hundred eighty-nine.
§17A-6-2a. Dealer recovery fund created.
(a) There is hereby created a special fund in the state
treasury which shall be designated the "dealer recovery fund." The fund shall consist of certain moneys received from persons engaged
in the business of selling new or used motor vehicles, new or used
motorcycles, trailers, semi-trailers and recreational vehicles.
The fund shall not be treated by the auditor and treasurer as part
of the general revenue of the state. The fund shall be a special
revolving fund paid out upon order of the commissioner of motor
vehicles based on the recommendation of the dealer recovery fund
control board created in this section, solely for the purposes
specified in this section. The commissioner may use funds drawn
from the dealer recovery fund for the administrative expenses of
operating the dealer recovery fund program. Payment of
administrative costs cannot exceed one percent of the available
fund.
(b) The dealer recovery fund control board shall consist of
the commissioner of motor vehicles or designee, attorney
general's designee representing the office of consumer protection
and one representative selected by the motor vehicle dealer's
advisory board. The commissioner of motor vehicles or designee
shall serve as chair and the board shall meet once every quarter
and as required by the commissioner. The commissioner may
promulgate such rules as necessary to effectuate the provisions of
this section. The commissioner may employ the necessary staff
needed to operate the program. The board shall have the authority
to prorate the amount paid on claims when the amount of valid claims submitted would exceed thirty-three percent of the fund.
However, claims presented by the division of motor vehicles for
taxes and fees will be paid in full. The board shall have the
authority to purchase stop loss insurance or a bond to cover
extraordinary claims from the fund not to exceed one percent of the
fund.
(c) Every applicant for either an original dealer license or
renewal of an existing dealer license of the type enumerated in
subsection (a) of this section shall pay, in addition to any other
license fee, an annual dealer recovery fund fee of one hundred and
fifty dollars. All dealers must continue to maintain a performance
bond as required by this article and the dealer recovery fund
payment unless exempt by one of the following requirements:
(1) Any dealer who, for the three years immediately preceding
assessment of the fees, has not had a claim paid against their
bond or against the dealer recovery fund, whose license has not
been suspended or revoked or who has not been assessed any civil
penalties is not required to continue to keep the bond required by
this article. However, no dealer can submit a claim against the
fund unless it has contributed to the fund for at least three
years.
(2) At any time the dealer recovery fund reaches or exceeds
the amount of three million dollars, a dealer who meets the
requirements of subdivision (1) of this subsection, is exempt from payment of the annual dealer recovery fund fee. However, if the
fund should, as of the first day of April of any year, drop below
three million dollars, all dealers, regardless of any previous
exemption shall be required to pay the annual dealer recovery fee
of one hundred fifty dollars. The exemption prescribed in
subdivision (1) of this subsection shall remain in effect
regardless of the status of the fund.
(d) On or after the effective date of this section, when the
fund reaches at least two hundred fifty thousand dollars, the board
shall consider claims for payment if the claim has been submitted
within six months from the date of sale. The board shall pay
claims in the following order submitted by:
(1) The division of motor vehicles for unpaid taxes and fees;
(2) A retail purchaser of a vehicle from a dealer covered by
the fund with an undisclosed lien or a retail purchaser of a
vehicle from a dealer covered by the fund who finds that the lien
on the vehicle traded in has not been satisfied by the selling
dealer if such lien satisfaction was a condition of the purchase
agreement;
(3) A motor vehicle dealer participating in the fund, which
has purchased a vehicle or vehicles from another dealer covered by
the fund with an undisclosed lien. However, no lending institution
will be paid from the fund for any vehicles in dealer inventory
covered under a floor plan type agreement; and
(4) The division of motor vehicles for unpaid civil penalties
assessed for failure to comply with dealership regulations.
(e) The maximum claim against the fund for any unpaid lien of
a used vehicle is the unpaid balance of the lien up to the loan
value of the vehicle. The maximum claim against the fund for any
new or unused vehicle is the amount of the invoice. Any financial
institution, agrees to accept payment from the dealer recovery fund
must release the lien and the title, if applicable, prior to
receiving payment. Any dealer or consumer that agrees to accept
payment from the dealer recovery fund must release the title prior
to receiving payment.
(f) On payment by the board to a claimant from the fund, the
board shall immediately notify the licensee against whom a claim
was paid and request full reimbursement within thirty days of
notification. If a dealer fails to fully reimburse the board
within the specified period of time, the commissioner shall
immediately and without prior hearing revoke the dealer license of
dealer against whom the claim was paid. No applicant with an
unpaid claim is eligible for renewal or relicensure until the full
amount of the reimbursement plus interest as determined by the
board is paid to the fund. Nothing in this section shall limit the
authority of the commissioner to suspend, revoke or levy civil
penalties against a dealer, nor shall full repayment of the amount
owed to the fund necessarily nullify or modify the effect of any action by the commissioner.
(g) Nothing in this section shall limit the right for any
person to seek relief though civil action against any other person.
§17A-6-4. Application for license certificate; insurance; bonds;
investigation; information confidential
.
(a) Application for any license certificate required by
section three of this article shall be made on a form prescribed by
the commissioner. There shall be attached to the application a
certificate of insurance certifying that the applicant has in force
an insurance policy issued by an insurance company authorized to do
business in this state insuring the applicant and any other person,
as insured, using any vehicle or vehicles owned by the applicant
with the express or implied permission of the named insured,
against loss from the liability imposed by law for damages arising
out of the ownership, operation, maintenance or use of the vehicle
or vehicles, subject to minimum limits, exclusive of interest and
costs, with respect to each vehicle, as follows: Twenty thousand
dollars because of bodily injury to or death of one person in any
one accident and, subject to the limit for one person, forty
thousand dollars because of bodily injury to or death of two or
more persons in any one accident, and ten thousand dollars because
of injury to or destruction of property of others in any one
accident.
(b) In the case of an application for a license certificate to engage in the business of new motor vehicle dealer, used motor
vehicle dealer or house trailer dealer, the application shall
disclose, but not be limited to, the following:
(1) The type of business for which a license certificate is
sought;
(2) If the applicant is an individual, the full name and
address of the applicant and any trade name under which he or she
will engage in the business;
(3) If the applicant is a copartnership, the full name and
address of each partner therein, the name of the copartnership, its
post-office address and any trade name under which it will engage
in the business;
(4) If the applicant is a corporation, its name, the state of
its incorporation, its post-office address and the full name and
address of each officer and director thereof;
(5) The location of each place in this state at which the
applicant will engage in the business and whether the business is
owned or leased by the applicant;
(6) Whether the applicant, any partner, officer or director
thereof has previously engaged in the business or any other
business required to be licensed under the provisions of this
article and if so, with or for whom, at what location and for what
periods of time;
(7) Whether the applicant, any partner, officer, director or
employer thereof has previously applied for a license certificate
under the provisions of this article or a similar license
certificate in this or any other state, and if so, whether the
license certificate was issued or refused and, if issued, whether
it was ever suspended or revoked;
(8) A statement of previous general business experience and
the past history of the applicant; and
(9) Any other information that the commissioner may reasonably
require which may include information relating to any contracts,
agreements or understandings between the applicant and other
persons respecting the transaction of the business, and any
criminal record of the applicant if an individual, or of each
partner if a copartnership, or of each officer and director, if a
corporation.
(c) In the case of an application for a license certificate to
engage in the business of new motor vehicle dealer, the application
shall, in addition to the matters outlined in subsection (b) of
this section disclose:
(1) The make or makes of new motor vehicles which the
applicant will offer for sale in this state during the ensuing
fiscal year; and
(2) The exact number of new and used motor vehicles, if any,
sold at retail and wholesale by the applicant or his or her predecessor, if any, during the preceding fiscal year, and if no
new and used motor vehicles were sold at retail and wholesale by
the applicant or his or her predecessor, if any, during the
preceding fiscal year, the number of new and used motor vehicles
the applicant reasonably expects to sell at retail and wholesale
during the ensuing fiscal year.
(d) In the case of an application for a license certificate to
engage in the business of used motor vehicle dealer, the
application shall in addition to the matters outlined in subsection
(b) of this section, disclose the exact number of used motor
vehicles, if any, sold at retail and wholesale by the applicant or
his or her predecessor, if any, during the preceding fiscal year,
and if no used motor vehicles were sold at retail and wholesale by
the applicant or his or her predecessor, if any, during the
preceding fiscal year, the number of used motor vehicles the
applicant reasonably expects to sell at retail and wholesale during
the ensuing fiscal year.
(e) In the case of an application for a license certificate to
engage in the business of trailer dealer, recreational vehicle
dealer, motorcycle dealer, used parts dealer or wrecker/
dismantler/rebuilder, the application shall disclose any
information that the commissioner may reasonably require.
(f) The application shall be verified by the oath or
affirmation of the applicant, if an individual, or if the applicant is a copartnership or corporation, by a partner or officer thereof,
as the case may be. Except as provided in section two-a of this
article, the application must be accompanied by a bond of the
applicant in the penal sum of ten thousand dollars, in the form
prescribed by the commissioner, conditioned that the applicant
will not in the conduct of his or her business practice any fraud
which, or make any fraudulent representation which, shall cause a
financial loss to any purchaser, seller or financial institution or
agency, or the state of West Virginia, with a corporate surety
thereon authorized to do business in this state, which bond shall
be effective as of the date on which the license certificate sought
is issued.
(g) Upon receipt of any fully completed application, together
with any bond required under subsection (f) of this section, the
certificate of insurance as aforesaid and the appropriate fee
provided for in section ten of this article, the commissioner may
conduct any investigation as he or she considers necessary to
determine the accuracy of any statements contained in the
application and the existence of any other facts which he or she
deems
(h) Any application for a license certificate under the
provisions of this article and any information submitted with the
application is confidential for the use of the division. No person
shall divulge any information contained in any application or any
information submitted with the application except in response to a
valid subpoena or subpoena duces tecum issued pursuant to law.
§17A-6-6. Refusal or issuance of license certificate; license
certificate not transferable.