SB 2255 Summary

• Motor vehicle dealers must maintain continuous garage liability insurance covering general, business automobile, and sales/repair/service operations liability before license issuance, with automatic license revocation if coverage lapses.

• Trailer dealer license applicants must pay a $30 annual fee plus a one-time $100 non-refundable inspection fee, and maintain a permanent primary place of business with centralized business records.

• Trailer dealers must maintain a $10,000 surety bond executed by a state-qualified company before license issuance or renewal to ensure compliance with state laws and proper title transfer within 15 days of sale.

• Licensees relocating their primary place of business must notify the director; secondary display lots are permitted if identified as part of licensed operations, with penalties of $100 for first violation, $200 for second violation, and license suspension for third violation within five years.

• Violations of trailer dealer licensing requirements constitute class B misdemeanors; the director may inspect dealer records and employ staff to investigate violations; most provisions become effective January 1, 2012, except insurance requirements which take effect immediately.