(1) As used in this section, “new applicant” means a person who is applying for a license that the person has not been issued during the previous licensing year.
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Terms Used In Utah Code 41-3-201

  • Administrator: means the motor vehicle enforcement administrator. See Utah Code 41-3-102
  • Auction: means a dealer engaged in the business of auctioning motor vehicles, either owned or consigned, to the general public. See Utah Code 41-3-102
  • Body shop: means a person engaged in rebuilding, restoring, repairing, or painting the body of motor vehicles for compensation. See Utah Code 41-3-102
  • Commission: means the State Tax Commission. See Utah Code 41-3-102
  • Crusher: means a person who crushes or shreds motor vehicles subject to registration under Chapter 1a, Motor Vehicle Act, to reduce the useable materials and metals to a more compact size for recycling. See Utah Code 41-3-102
  • Dealer: includes a representative or consignee of any dealer. See Utah Code 41-3-102
  • Direct-sale manufacturer: means a person:
         (9)(a) that is both a manufacturer and a dealer;
         (9)(b) that is:
              (9)(b)(i) an electric vehicle manufacturer; or
              (9)(b)(ii) a low-volume manufacturer;
         (9)(c) that is not a franchise holder;
         (9)(d) that is domiciled in the United States; and
         (9)(e) whose chief officers direct, control, and coordinate the person's activities as a direct-sale manufacturer from a physical location in the United States. See Utah Code 41-3-102
  • Dismantler: includes a person who dismantles three or more motor vehicles in any 12-month period. See Utah Code 41-3-102
  • Distributor: means a person who has a franchise from a manufacturer of motor vehicles to distribute motor vehicles within this state and who in whole or in part sells or distributes new motor vehicles to dealers or who maintains distributor representatives. See Utah Code 41-3-102
  • Distributor branch: means a branch office similarly maintained by a distributor for the same purposes a factory branch is maintained. See Utah Code 41-3-102
  • Division: means the Motor Vehicle Enforcement Division created in Section 41-3-104. See Utah Code 41-3-102
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Factory branch: means a branch office maintained by a person who manufactures or assembles motor vehicles for sale to distributors, motor vehicle dealers, or who directs or supervises the factory branch's representatives. See Utah Code 41-3-102
  • Fraud: Intentional deception resulting in injury to another.
  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • Manufacturer: means a person engaged in the business of constructing or assembling new motor vehicles, ownership of which is customarily transferred by a manufacturer's statement or certificate of origin, or a person who constructs three or more new motor vehicles in any 12-month period. See Utah Code 41-3-102
  • Motor vehicle: means a vehicle that is:
              (26)(a)(i) self-propelled;
              (26)(a)(ii) a trailer;
              (26)(a)(iii) a travel trailer;
              (26)(a)(iv) a semitrailer;
              (26)(a)(v) an off-highway vehicle; or
              (26)(a)(vi) a small trailer. See Utah Code 41-3-102
  • Motorcycle: means the same as that term is defined in Section 41-1a-102. See Utah Code 41-3-102
  • Person: means :
         (24)(a) an individual;
         (24)(b) an association;
         (24)(c) an institution;
         (24)(d) a corporation;
         (24)(e) a company;
         (24)(f) a trust;
         (24)(g) a limited liability company;
         (24)(h) a partnership;
         (24)(i) a political subdivision;
         (24)(j) a government office, department, division, bureau, or other body of government; and
         (24)(k) any other organization or entity. See Utah Code 68-3-12.5
  • Remanufacturer: means a person who reconstructs used motor vehicles subject to registration under Chapter 1a, Motor Vehicle Act, to change the body style and appearance of the motor vehicle or who constructs or assembles motor vehicles from used or new and used motor vehicle parts, or who reconstructs, constructs, or assembles three or more motor vehicles in any 12-month period. See Utah Code 41-3-102
  • Restitution: The court-ordered payment of money by the defendant to the victim for damages caused by the criminal action.
  • Salesperson: means an individual who for a salary, commission, or compensation of any kind, is employed either directly, indirectly, regularly, or occasionally by any new motor vehicle dealer or used motor vehicle dealer to sell, purchase, or exchange or to negotiate for the sale, purchase, or exchange of motor vehicles. See Utah Code 41-3-102
  • Signature: includes a name, mark, or sign written with the intent to authenticate an instrument or writing. See Utah Code 68-3-12.5
  • Small trailer: means a trailer that has an unladen weight of:
         (36)(a) more than 750 pounds; and
         (36)(b) less than 2,000 pounds. See Utah Code 41-3-102
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
  • Transporter: means a person engaged in the business of transporting motor vehicles as described in Section 41-3-202. See Utah Code 41-3-102
  • United States: includes each state, district, and territory of the United States of America. See Utah Code 68-3-12.5
  • Used motor vehicle: means a vehicle that:
         (42)(a) has been titled and registered to a purchaser other than a dealer; or
         (42)(b) for a motor vehicle that is not a trailer, travel trailer, or semitrailer, has been driven 7,500 or more miles. See Utah Code 41-3-102
  • Writing: includes :
         (48)(a) printing;
         (48)(b) handwriting; and
         (48)(c) information stored in an electronic or other medium if the information is retrievable in a perceivable format. See Utah Code 68-3-12.5
(2) A person may not act as any of the following without having procured a license issued by the administrator:

     (2)(a) a dealer;
     (2)(b) salvage vehicle buyer;
     (2)(c) salesperson;
     (2)(d) manufacturer;
     (2)(e) transporter;
     (2)(f) dismantler;
     (2)(g) distributor;
     (2)(h) factory branch and representative;
     (2)(i) distributor branch and representative;
     (2)(j) crusher;
     (2)(k) remanufacturer; or
     (2)(l) body shop.
(3)

     (3)(a) Except as provided in Subsection (3)(c), a person may not bid on or purchase a vehicle with a nonrepairable or salvage certificate as defined in Section 41-1a-1001 at or through a motor vehicle auction unless the person is a licensed salvage vehicle buyer.
     (3)(b) Except as provided in Subsection (3)(c), a person may not offer for sale, sell, or exchange a vehicle with a nonrepairable or salvage certificate as defined in Section 41-1a-1001 at or through a motor vehicle auction except to a licensed salvage vehicle buyer.
     (3)(c) A person may offer for sale, sell, or exchange a vehicle with a nonrepairable or salvage certificate as defined in Section 41-1a-1001 at or through a motor vehicle auction:

          (3)(c)(i) to an out-of-state or out-of-country purchaser not licensed under this section, but that is authorized to do business in the domestic or foreign jurisdiction in which the person is domiciled or registered to do business;
          (3)(c)(ii) subject to the restrictions in Subsection (3)(d), to an in-state purchaser not licensed under this section that:

               (3)(c)(ii)(A) has a valid business license in Utah; and
               (3)(c)(ii)(B) has a Utah sales tax license; and
          (3)(c)(iii) to a crusher.
     (3)(d)

          (3)(d)(i) An operator of a motor vehicle auction shall verify that an in-state purchaser not licensed under this section has the licenses required in Subsection (3)(c)(ii).
          (3)(d)(ii) An operator of a motor vehicle auction may only offer for sale, sell, or exchange five vehicles with a salvage certificate as defined in Section 41-1a-1001 at or through a motor vehicle auction in any 12-month period to an in-state purchaser that does not have a salvage vehicle buyer license issued in accordance with Subsection 41-3-202(17).
          (3)(d)(iii) The five vehicle limitation under this Subsection (3)(d) applies to each Utah sales tax license and not to each person with the authority to use a sales tax license.
          (3)(d)(iv) An operator of a motor vehicle auction may not sell a vehicle with a nonrepairable certificate as defined in Section 41-1a-1001 to a purchaser otherwise allowed to purchase a vehicle under Subsection (3)(c)(ii).
     (3)(e) For a vehicle with a salvage certificate purchased under Subsection (3)(c)(ii), an operator of a motor vehicle auction shall:

          (3)(e)(i)

               (3)(e)(i)(A) until Subsection (3)(e)(i)(B) applies, make application for a salvage certificate of title on behalf of the Utah purchaser within seven days of the purchase if the purchaser does not have a salvage vehicle buyer license, dealer license, body shop license, or dismantler license issued in accordance with Section 41-3-202; or
               (3)(e)(i)(B) beginning on or after the date that the Motor Vehicle Division has implemented the Motor Vehicle Division’s GenTax system, make application electronically, in a form and time period approved by the Motor Vehicle Division, for a salvage certificate of title to be issued in the name of the purchaser;
          (3)(e)(ii) give to the purchaser a disclosure printed on a separate piece of paper that states:

“THIS DISCLOSURE STATEMENT MUST BE GIVEN BY THE SELLER TO THE BUYER EVERY TIME THIS VEHICLE IS RESOLD WITH A SALVAGE CERTIFICATE

Vehicle Identification Number (VIN)

Year: Make: Model:

SALVAGE VEHICLE–NOT FOR RESALE WITHOUT DISCLOSURE

WARNING: THIS SALVAGE VEHICLE MAY NOT BE SAFE FOR OPERATION UNLESS PROPERLY REPAIRED. SOME STATES MAY REQUIRE AN INSPECTION BEFORE THIS VEHICLE MAY BE REGISTERED. THE STATE OF UTAH MAY REQUIRE THIS VEHICLE TO BE PERMANENTLY BRANDED AS A REBUILT SALVAGE VEHICLE. OTHER STATES MAY ALSO PERMANENTLY BRAND THE CERTIFICATE OF TITLE.

_________________________________________________________________

Signature of Purchaser Date”; and

          (3)(e)(iii) if applicable, provide evidence to the Motor Vehicle Division of:

               (3)(e)(iii)(A) payment of sales taxes on taxable sales in accordance with Section 41-1a-510;
               (3)(e)(iii)(B) the identification number inspection required under Section 41-1a-511; and
               (3)(e)(iii)(C) the odometer disclosure statement required under Section 41-1a-902.
     (3)(f) The Motor Vehicle Division shall include a link to the disclosure statement described in Subsection (3)(e)(ii) on its website.
     (3)(g) The commission may impose an administrative entrance fee established in accordance with the procedures and requirements of Section 63J-1-504 not to exceed $10 on a person not holding a license described in Subsection (3)(e)(i) that enters the physical premises of a motor vehicle auction for the purpose of viewing available salvage vehicles prior to an auction.
     (3)(h) A vehicle sold at or through a motor vehicle auction to an out-of-state purchaser with a nonrepairable or salvage certificate may not be certificated in Utah until the vehicle has been certificated out-of-state.
(4)

     (4)(a) An operator of a motor vehicle auction shall keep a record of the sale of each salvage vehicle.
     (4)(b) A record described under Subsection (4)(a) shall contain:

          (4)(b)(i) the purchaser’s name and address; and
          (4)(b)(ii) the year, make, and vehicle identification number for each salvage vehicle sold.
     (4)(c) An operator of a motor vehicle auction shall:

          (4)(c)(i) provide the record described in Subsection (4)(a) electronically in a method approved by the division to the division within two business days of the completion of the motor vehicle auction;
          (4)(c)(ii) retain the record described in this Subsection (4) for five years from the date of sale; and
          (4)(c)(iii) make a record described in this Subsection (4) available for inspection by the division at the location of the motor vehicle auction during normal business hours.
(5)

     (5)(a) An operator of a motor vehicle auction shall store a salvage vehicle sold at auction in a secure facility until the salvage vehicle is claimed as provided in this section.
     (5)(b) Beginning at the time of purchase and until the salvage vehicle is claimed, the motor vehicle auction operator may collect a daily storage fee for the secure storage of each salvage vehicle sold at auction.
     (5)(c) Except as provided in Subsection (5)(d), before releasing possession of a salvage vehicle purchased at a motor vehicle auction to a person not licensed under this part or certified as a tow truck operator under Title 72, Chapter 9, Part 6, Tow Truck Provisions, and if the person claiming the vehicle is a person other than the purchaser of the vehicle, the motor vehicle auction operator shall create a record that shall contain:

          (5)(c)(i) the name and address, as verified by government issued identification, of the person claiming the vehicle;
          (5)(c)(ii) the year, make, and vehicle identification number of the claimed vehicle;
          (5)(c)(iii) a written statement from the person claiming the vehicle indicating the location where the salvage vehicle will be delivered; and
          (5)(c)(iv) verification that the claimant has authorization from the purchaser to claim the vehicle.
     (5)(d) If the salvage vehicle is claimed by a transporter or a tow truck operator, the transporter or the tow truck operator shall submit to the motor vehicle auction operator a written record on any release forms indicating the location where the salvage vehicle will be delivered if delivered within the state.
     (5)(e) An operator of a motor vehicle auction shall:

          (5)(e)(i) retain the record described in Subsection (5)(c) for five years from the date of sale; and
          (5)(e)(ii) make the record available for inspection by the division at the location of the motor vehicle auction during normal business hours.
(6)

     (6)(a) If applicable, an operator of a motor vehicle auction shall comply with the reporting requirements of the National Motor Vehicle Title Information System overseen by the United States Department of Justice if the person sells a vehicle with a salvage certificate to an in-state purchaser under Subsection (3)(c)(ii).
     (6)(b) The Motor Vehicle Division shall include a link to the National Motor Vehicle Title Information System on its website.
(7)

     (7)(a) An operator of a motor vehicle auction that sells a salvage vehicle to a person that is an out-of-country buyer shall:

          (7)(a)(i) stamp on the face of the title so as not to obscure the name, date, or mileage statement the words “FOR EXPORT ONLY” in all capital, black letters; and
          (7)(a)(ii) stamp in each unused reassignment space on the back of the title the words “FOR EXPORT ONLY.”
     (7)(b) The words “FOR EXPORT ONLY” shall be:

          (7)(b)(i) at least two inches wide; and
          (7)(b)(ii) clearly legible.
(8) A dealer, manufacturer, remanufacturer, transporter, dismantler, crusher, or body shop shall obtain a supplemental license, in accordance with Section 41-3-201.7 for each additional place of business maintained by the licensee.
(9)

     (9)(a) A person who has been convicted of any law relating to motor vehicle commerce or motor vehicle fraud may not be issued a license or purchase a vehicle with a salvage or nonrepairable certificate unless full restitution regarding those convictions has been made.
     (9)(b) An operator of a motor vehicle auction, a dealer, or a consignor may not sell a vehicle with a nonrepairable or salvage certificate to a buyer described in Subsection (9)(a) if the division has informed the operator of the motor vehicle auction, the dealer, or the consignor in writing that the buyer is prohibited from purchasing a vehicle with a nonrepairable or salvage certificate under Subsection (9)(a).
(10)

     (10)(a) The division may not issue a license to a new applicant for a new or used motor vehicle dealer license, a direct-sale manufacturer license, a new or used motorcycle dealer license, or a small trailer dealer license unless the new applicant completes an eight-hour orientation class approved by the division that includes education on motor vehicle laws and rules.
     (10)(b) The approved costs of the orientation class shall be paid by the new applicant.
     (10)(c) The class shall be completed by the new applicant and the applicant’s partners, corporate officers, bond indemnitors, and managers.
     (10)(d)

          (10)(d)(i) The division shall approve:

               (10)(d)(i)(A) providers of the orientation class; and
               (10)(d)(i)(B) costs of the orientation class.
          (10)(d)(ii) A provider of an orientation class shall submit the orientation class curriculum to the division for approval prior to teaching the orientation class.
          (10)(d)(iii) A provider of an orientation class shall include in the orientation materials:

               (10)(d)(iii)(A) ethics training;
               (10)(d)(iii)(B) motor vehicle title and registration processes;
               (10)(d)(iii)(C) Department of Insurance requirements relating to motor vehicles;
               (10)(d)(iii)(D) Department of Public Safety requirements relating to motor vehicles;
               (10)(d)(iii)(E) federal requirements related to motor vehicles as determined by the division; and
               (10)(d)(iii)(F) any required disclosure compliance forms as determined by the division.
(11) A person or purchaser described in Subsection (3)(c)(ii):

     (11)(a) may not purchase more than five salvage vehicles with a nonrepairable or salvage certificate as defined in Section 41-1a-1001 in any 12-month period;
     (11)(b) may not, without first complying with Section 41-1a-705, offer for sale, sell, or exchange more than two vehicles with a salvage certificate as defined in Section 41-1a-1001 in any 12-month period to a person not licensed under this section; and
     (11)(c) may not, without first complying with Section 41-1a-705, offer for sale, sell, or exchange a vehicle with a nonrepairable certificate as defined in Section 41-1a-1001 to a person not licensed under this section.
(12) An operator of a motor vehicle auction, a dealer, or a consignor may not sell a vehicle with a nonrepairable or salvage certificate to a buyer described in Subsection (11)(a) if the division has informed the operator of the motor vehicle auction, the dealer, or the consignor in writing that the buyer is prohibited from purchasing a vehicle with a nonrepairable or salvage certificate under Subsection (11)(a).

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