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H.B. 299 Enrolled

                 

MOTOR VEHICLE BUSINESS LICENSING

                 
AMENDMENTS

                 
2005 GENERAL SESSION

                 
STATE OF UTAH

                 
Chief Sponsor: Paul Ray

                 
Senate Sponsor: Mark B. Madsen

                 
                  LONG TITLE
                  General Description:
                      This bill modifies the Motor Vehicle Business Regulation Act by amending provisions
                  related to the denial, suspension, or revocation of certain licenses.
                  Highlighted Provisions:
                      This bill:
                      .    provides that reasonable cause to suspend certain licenses issued under the Motor
                  Vehicle Business Regulation Act includes:
                          .    a violation of any state or federal law involving fraud; and
                          .    a violation of any state or federal law involving a registerable sex offense; and
                      .    makes technical changes.
                  Monies Appropriated in this Bill:
                      None
                  Other Special Clauses:
                      None
                  Utah Code Sections Affected:
                  AMENDS:
                      41-3-209, as last amended by Chapter 165, Laws of Utah 1998
                 
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 41-3-209 is amended to read:
                       41-3-209. Administrator's findings -- Suspension and revocation of license.


                      (1) If the administrator finds that an applicant is not qualified to receive a license, a
                  license may not be granted.
                      (2) (a) If the administrator finds that there is reasonable cause to deny, suspend, or
                  revoke a license issued under this chapter, the administrator shall deny, suspend, or revoke the
                  license.
                      (b) Reasonable cause for denial, suspension, or revocation of a license includes, in
                  relation to the applicant or license holder or any of its partners, officers, or directors:
                      (i) lack of a principal place of business;
                      (ii) lack of a sales tax license required under Title 59, Chapter 12, Sales and Use Tax
                  Act;
                      (iii) lack of a bond in effect as required by this chapter;
                      [(iv) a violation of any state or federal law regarding motor vehicles;]
                      [(v)] (iv) current revocation or suspension of a dealer, dismantler, auction, or salesperson
                  license issued in another state;
                      [(vi)] (v) nonpayment of required fees;
                      [(vii)] (vi) making a false statement on any application for a license under this chapter or
                  for special license plates;
                      (vii) a violation of any state or federal law involving motor vehicles;
                      (viii) a violation of any state or federal law [regarding] involving controlled substances;
                  [or]
                      (ix) charges filed with any county attorney, district attorney, or U.S. attorney in any court
                  of competent jurisdiction for a violation of any state or federal law involving [the use of a] motor
                  [vehicle.] vehicles;
                      (x) a violation of any state or federal law involving fraud; or
                      (xi) a violation of any state or federal law involving a registerable sex offense under
                  Section 77-27-21.5 .
                      (c) Any action taken by the administrator under Subsection (2)(b)(ix) shall remain in
                  effect until a final resolution is reached by the court involved or the charges are dropped.


                      (3) If the administrator finds that the license holder has been convicted by a court of
                  competent jurisdiction of violating any of the provisions of this chapter or any rules made by the
                  administrator, or finds other reasonable cause, the administrator may, by complying with the
                  emergency procedures of Title 63, Chapter 46b, Administrative Procedures Act:
                      (a) suspend the license on terms and for a period of time he finds reasonable; or
                      (b) revoke the license.
                      (4) (a) After suspending or revoking a license, the administrator may take reasonable
                  action to:
                      (i) notify the public that the licensee is no longer in business; and
                      (ii) prevent the former licensee from violating the law by conducting business without a
                  license.
                      (b) Action under Subsection (4)(a) may include signs, banners, barriers, locks, bulletins,
                  and notices.
                      (c) Any business being conducted incidental to the business for which the former
                  licensee was licensed may continue to operate subject to the preventive action taken under this
                  subsection.


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