Section 903 - [Effective 8/9/2024] Grounds for denying, suspending, revoking or modifying dealer license1.Grounds. The Secretary of State may deny, suspend, revoke or modify a dealer license for any of the following reasons: A. A material misstatement in the application for a license; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]B. Failure to comply with this subchapter, a rule of the Secretary of State, a provision of this Title related to sales or service of a motor vehicle, or a violation of Title 17-A or this Title; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]C. For a dealer licensed under this chapter, failure to have an established place of business; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]D. Failure to notify the Secretary of State in writing at least 30 days prior to moving the location of an established place of business; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]E. Failure to maintain a surety bond; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]F. Defrauding of a retail buyer to the buyer's or another's damage; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]G. Conviction of any fraudulent act in connection with the business of selling motor vehicles or parts or being held liable by a civil judgment involving fraud, misrepresentation or conversion; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]H. Violation of the Maine Unfair Trade Practices Act, or Title 17, section 3203; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]I. Submission of a check, draft or money order to the Secretary of State that is dishonored or refused upon presentation; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]J. Certification by the State Tax Assessor that a tax, other than property tax, deemed final under Title 36 remains unpaid in an amount exceeding $1,000 for a period greater than 60 days after notice of the finality of the tax and that the person has refused to cooperate with the Bureau of Revenue Services in complying with a reasonable plan for meeting that liability; [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF); 1997, c. 526, §14(AMD).]K. Failure to appear at a hearing required by the Secretary of State , failure to appear in court to answer a summons or failure to pay fines or fees for a violation of this chapter; orL. Failure to comply or to maintain compliance with section 1612. [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).] [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF); 1997, c. 526, §14(AMD).]
2.Procedures for hearing; appeals. The procedures of chapter 23, subchapter III, article 3 apply to a suspension. [1995, c. 65, Pt. A, §97(AMD); 1995, c. 65, Pt. A, §153(AFF); 1995, c. 65, Pt. C, §15(AFF).]
3.Plate reduction. Upon renewal of a dealer license, the number of plates allowed a motor vehicle dealer who fails to sell at least 12 vehicles within a 12-month period must be reduced to 2 dealer plates, and the motor vehicle dealer may not be issued a dealer plate under section 1002, subsection 1, paragraph B. Upon a 2nd application for renewal of a dealer license, a motor vehicle dealer must be denied renewal if the Secretary of State determines that the dealer sold fewer than 4 vehicles in the previous license year, at which time all dealer credentials issued previously must be returned to the Secretary of State. A reduction in the number of plates under this subsection must be based on rules adopted by the Secretary of State. A dealer shall maintain a surety bond adequate to cover the number of sales indicated by that dealer's plates.
A motor vehicle dealer who is denied a license renewal under this subsection may not reapply until the license has been expired at least one year.
A motor vehicle dealer who holds a vehicle auction business license under section 1051 is exempt from this subsection.
A motor vehicle dealer who engages primarily in the sale of vehicles more than 15 years old, emergency vehicles or industrial or farm equipment or who sells only trucks with a gross vehicle weight rating of more than 26,000 pounds is exempt from this subsection.
Sales of vehicles to dealerships under the same ownership must be excluded when determining total sales.
[2021, c. 216, §23(AMD).]
4.Continuing business. A person may not continue to engage in the business of buying or selling of vehicles after suspension or revocation of the dealer license. A person is guilty of a Class E crime if that person continues in business after suspension or revocation. That crime is punishable by a fine of not less than $200, which may not be suspended. [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]
5.Refusal to surrender. A dealer who fails or refuses to surrender a license, plates, registration certificates or temporary plates on demand of the Secretary of State following the suspension, revocation or nonrenewal of a dealer license commits a Class E crime. [1993, c. 683, Pt. A, §2(NEW); 1993, c. 683, Pt. B, §5(AFF).]
Amended by 2024, c. 634,§ 12, eff. 8/9/2024.Amended by 2021SP1, c. 216,§ 23, eff. 10/18/2021.1993, c. 683, §A2 (NEW) . 1993, c. 683, §B5 (AFF) . 1995, c. 65, §§A153,C15 (AFF) . 1995, c. 65, §A97 (AMD) . 1997, c. 526, § 14 (AMD) . 2003, c. 496, § 1 (AMD) . 2003, c. 544, § 1 (AMD) . 2005, c. 433, § 12 (AMD) . 2005, c. 433, § 28 (AFF) . 2009, c. 435, § 14 (AMD) .This section is set out more than once due to postponed, multiple, or conflicting amendments.