39-22.1 Trailer Dealer's Licensing and Bonding
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<![CDATA[CHAPTER 39-22.1TRAILER DEALER'S LICENSING AND BONDING39-22.1-01.Trailer dealer's license - Fees - Plates.No person, partnership,corporation, or limited liability company may engage in the business of buying, selling, or<br>exchanging of trailers, or advertise or hold oneself or itself out to the public as being in the<br>business of buying, selling, or exchanging of trailers without first being licensed to do so as<br>hereinafter provided.Application for dealer's license and renewal license must be made to the director on suchforms as the director prescribes and furnishes, and the application must be accompanied by an<br>annual fee of thirty dollars for which must be issued one dealer plate. A dealer's license expires<br>on December thirty-first of each year, and application for renewal of a dealer's license must be<br>made on or before the expiration of the current dealer's license.A trailer dealer's license may be issued only to those who will maintain a permanent officeand place of business and will abide by all the provisions of law pertaining to trailer dealers. In<br>addition, the dealer shall maintain that person's business records in one central location.Upon the payment of a fee of ten dollars for each additional plate, the director shallregister and issue dealer's license plates for use on any trailers owned by the licensed dealer,<br>and the trailers bearing the dealer's license plates may be lawfully operated upon the public<br>highways of the state of North Dakota by the dealer or the dealer's agents or representatives<br>during the year of the registration. A dealer's license plates expire on December thirty-first of<br>each year.The term "trailer" as used in this chapter does not include those trailers exempt fromregistration in chapter 39-04.39-22.1-02.Bond required.Before the issuance of a trailer dealer's license, asprovided by law, the applicant for such license shall furnish a continuous surety bond executed<br>by the applicant as principal and executed by a surety company licensed and qualified to do<br>business within the state of North Dakota, which must be in the amount of ten thousand dollars,<br>and be conditioned upon the faithful compliance by said applicant as a dealer, if such license be<br>issued to the applicant, that such dealer will comply with all the laws of the state of North Dakota<br>pertaining to such business, and regulating or being applicable to the business of said dealer as<br>a dealer in trailers, and indemnifying any person dealing or transacting business with such dealer<br>in connection with any trailer from any loss or damage occasioned by the failure of such dealer to<br>comply with the provisions of the laws of the state of North Dakota, including, but not limited to,<br>the furnishing of a proper and valid certificate of title to the vendee of a trailer within fifteen days<br>of the sale of such trailer, and that such bond shall be filed with the director prior to the issuance<br>of the license herein provided for. Provided, however, that the aggregate liability of the surety to<br>all such persons for all such losses or damages may, in no event, exceed the amount of such<br>bond. Any third party sustaining injury within the terms of the bond may proceed against the<br>principal and surety without making the state a party to any such proceedings. Any applicant<br>bonded pursuant to the provisions of chapter 39-18 or 39-22 may not be required to furnish the<br>surety bond provided for in this section whenever the bond issued pursuant to chapter 39-18 or<br>39-22 is written to include the requirements of this section. The bond may be canceled by the<br>surety, as to future liability, by giving written notice by certified mail, addressed to the principal at<br>the address stated in the bond, and to the department. Thirty days after the mailing of the notice,<br>the bond is null and void as to any liability thereafter arising. The surety remains liable, subject to<br>the terms, conditions, and provisions of the bond, until the effective date of the cancellation.39-22.1-02.1. Disposition of fees. Fees from registration of dealers must be depositedwith the state treasurer and credited to the highway tax distribution fund.39-22.1-03. Suspension or revocation of dealer's license - Penalty. The director maysuspend or revoke any dealer's license for failure of the licensee to comply with any of the lawsPage No. 1of the state of North Dakota governing trailer dealers, or for the failure to comply with the<br>reasonable rules and regulations of the director as established under chapter 28-32, but no order<br>suspending or revoking a dealer's license may be made without a hearing at which the licensee<br>must be given an opportunity to be heard. Any dealer violating the provisions of this chapter<br>must be assessed a one hundred dollar fee by the department for a first violation and a two<br>hundred dollar fee by the department for a second violation within two years of the first violation.<br>The department shall suspend the license of a trailer dealer licensed under this chapter if a third<br>or subsequent violation of the chapter occurs within five years of the first violation.39-22.1-04. Penalty. Any person who violates the provisions of this chapter is guilty of aclass B misdemeanor.Page No. 2Document Outlinechapter 39-22.1 trailer dealer's licensing and bonding]]>