43-47-8. Application for used motor vehicle or used motor vehicle parts dealer licenses; bonding and insurance requirements; supplemental licenses; renewal.

Any person desiring a license to be a used motor vehicle dealer or a used motor vehicle parts dealer in this state shall submit an application on a form and in such manner as may be prescribed by the board, which shall be accompanied by any applicable fees and evidence satisfactory to the board that the applicant:#

1. (1)

   Maintains an established place of business;#

2. (2)

   Has, within the preceding 12 months, attended a board approved training and information seminar, which shall not exceed one day in length, or passed a board approved examination, either of which shall relate to the requirements of licensees provided in this chapter, including books and records to be kept, requirements of the Department of Revenue applicable to licensees, and such other topics as in the opinion of the board promote good business practices of licensees;#

3. (3)

   Has applied for or obtained a certificate of registration, Department of Revenue Form ST-2;#

4. (4)

   Has posted or has made provision for the posting of the bond required under subsection (d) of this Code section; and#

5. (5)

   Maintains any liability and property damage insurance required under subsection (e) of this Code section.#

Applications for a used motor vehicle dealer license or a used motor vehicle parts dealer license shall be made under oath and shall state the applicant’s full name; date and place of birth; date and place of any conviction or arrest for any crime, including the plea of nolo contendere or a plea entered pursuant to Article 3 of Chapter 8 of Title 42 or other first offender treatment; and such additional information as the board may require to investigate the qualifications, character, competence, and integrity of the applicant. Each applicant shall submit with his or her application photographs or other renderings of his or her established place of business that show the complete facility, appropriate sign, and entire display area of the established place of business.#

Each applicant for a used motor vehicle dealer license or a used motor vehicle parts dealer license shall furnish to the board a full set of fingerprints to enable a criminal background investigation to be conducted on the applicant so as to determine the applicant’s suitability to be licensed under this chapter. The board shall submit the applicant’s fingerprints to the Georgia Crime Information Center. If no criminal record is identified at the state level, the Georgia Crime Information Center is authorized to submit the fingerprints to the Federal Bureau of Investigation for a national criminal history check. The Georgia Crime Information Center shall notify the board in writing of the results of such criminal background investigation, which shall be used by the board for the exclusive purpose of carrying out its responsibilities under this chapter, shall not be a public record, shall be privileged, and shall not be disclosed to any other person or agency. The applicant shall be responsible for all fees associated with the performance of such background investigation.#

1. (1)

   Licensees shall be required, for each license or supplemental license issued in connection with an established place of business, to post a bond that is executed with a surety company duly authorized to do business in this state. Such bond shall be payable to the Governor for the use and benefit of any purchaser and vendees or successors in title of any used motor vehicle and shall be conditioned to pay all losses, damages, and expenses that may be sustained by such purchaser, his or her vendees, or successors in title that may be occasioned by reason of any misrepresentation, deceptive practice, or unfair practice or by reason of any breach of warranty as to such used vehicle. Such bond shall be in the amount of $35,000.00 for used car dealers and $10,000.00 for used parts dealers and shall be filed, prior to or immediately upon the granting of a license under this chapter, with the division director by the licensee and shall be approved by the division director as to form and as to the solvency of the surety.#

2. (2)

   No licensee shall cancel, or cause to be canceled, a bond issued pursuant to this subsection unless the board is informed in writing by a certified letter at least 30 days prior to the proposed cancellation.#

3. (3)

   If a surety or licensee cancels a bond issued pursuant to this subsection and the licensee fails to submit, within ten days of the effective date of the cancellation, a new bond, the board may revoke his or her license.#

1. (1)

   Except for any person licensed under Chapter 6 of this title, who shall be exempt from the requirements of this subsection, licensees shall maintain, for each license or supplemental license issued in connection with an established place of business, public liability and property damage insurance with liability limits of not less than $50,000.00 per person and $100,000.00 per accident, personal insurance liability coverage, and $25,000.00 property damage liability coverage.#

2. (2)

   No licensee shall cancel or cause to be canceled an insurance policy issued pursuant to this subsection unless the board is so informed in writing by certified mail at least 30 days prior to the proposed cancellation.#

3. (3)

   If an insurance company or licensee cancels an insurance policy required under this subsection and the licensee fails to submit, within ten days of the effective date of such cancellation, a new insurance policy, the board may revoke his or her license.#

1. (1)

   Each license issued pursuant to this chapter shall be in connection with a single established place of business, and licensees shall be required to obtain a supplemental license for each additional established place of business that is operated or proposed to be operated by the licensee that is not contiguous to an established place of business for which a license or supplemental license has been issued; provided, however, that a supplemental license shall not be required for any temporary site of a licensee.#

2. (2)

   A licensee applying for a supplemental license shall submit an application on a form and in such a manner as may be prescribed by the board accompanied by any applicable fees. Such application shall include:#

   1. (A)

      The licensee’s license number;#

   2. (B)

      Photographs or other renderings of the licensee’s additional established place of business for which a supplemental license is sought that shows the complete facility, appropriate sign, and entire display area of the additional established place of business;#

   3. (C)

      Evidence that the licensee has posted, or has made provision for the posting, of the bond required under subsection (d) of this Code section for such additional established place of business; and#

   4. (D)

      Evidence that the licensee maintains any liability and property damage insurance required under subsection (e) of this Code section for such additional established place of business.#

All licenses issued under this chapter shall be renewable biennially. The board may establish continuing education requirements for license renewals.#