I. Whenever a distributor ceases to engage in business as a distributor within the state by reason of the discontinuance, sale, or transfer of the business, it shall be the duty of the distributor to notify the commissioner in writing at least 10 days prior to the time the discontinuance, sale, or transfer takes effect. The notice shall give the date of discontinuance and, in the event of a sale or transfer of the business, the date and the name and address of the purchaser or transferee thereof. All road tolls not yet due and payable shall, together with all interest accruing or penalties imposed, notwithstanding any other provisions of this subdivision, become due and payable concurrently with the discontinuance, sale, or transfer, and it shall be the duty of the distributor, concurrently with the discontinuance, sale, or transfer, to make a report and pay all road tolls, interest, and penalties, and to surrender to the department the license certificate issued to the distributor.
II. Unless the notice provided for in paragraph I shall have been given to the department, the purchaser or transferee shall be liable to the state for the amount of all road tolls, penalties, and interest under this subdivision accrued against any such distributor so selling or transferring the distributor’s business, on the date of such sale or transfer, but only to the extent of the value of the property and business thereby acquired from the distributor.