Kentucky Administrative Regulations
Title 605 - TRANSPORTATION CABINET
Chapter 1 - Motor Vehicle Commission
Section 605 KAR 1:031 - Automotive mobility dealer requirements and licensing
Current through Register Vol. 50, No. 9, March 1, 2024
RELATES TO: KRS Chapter 186A, 190.010 (13), (26), (27), (28), 190.031
NECESSITY, FUNCTION AND CONFORMITY: KRS 190.031 requires the Motor Vehicle Commission to establish requirements for initial application for and renewal of a license to be an automotive mobility dealer and directs the commission to establish relevant requirements which must include provisions for automotive mobility dealers to meet reasonable and appropriate quality assurance standards. This administrative regulation sets forth those requirements and standards.
Section 1.
Section 2. An automobile mobility dealer shall notify the commission within twenty-one (21) days of any change regarding the source of newly adapted vehicles sold by the dealership.
Section 3. An applicant for an automotive mobility dealer license shall demonstrate at least $100,000 in net assets. If an applicant cannot demonstrate $100,000 in net assets, the commission,, may accept a surety bond in the amount of any difference, as set forth in KRS 190.020(9).
Section 4. An applicant for an automotive mobility dealer license shall demonstrate that it holds a policy for $1,000,000 in liability insurance. An automobile mobility dealer shall immediately notify the commission if its liability insurance is cancelled or not renewed.
Section 5. An automotive mobility dealer, other than an automotive mobility dealer that is also a new motor vehicle dealer, shall not offer, claim or indicate that it is selling new motor vehicles, and shall not purport to sell or transfer a new motor vehicle on a certificate of origin. An automotive mobility dealer that is also a licensed new motor vehicle dealer shall offer and sell adapted vehicles as new motor vehicles if they are of the make authorized to be sold by the new vehicle dealer license and otherwise meet the definition of a new motor vehicle, as established in KRS 190.010(13).
Section 6. Except as provided by KRS Chapter 186A, an automotive mobility dealer shall title all untitled vehicles into the dealership name prior to any sale to a customer.
Section 7. An automotive mobility dealer shall not engage in the sale of an adapted vehicle that does not have proof that it has been adapted or modified in compliance with 49 C.F.R. Part 595.
Section 8. An automotive mobility dealer that is not also licensed as either a new motor vehicle dealer or a used motor vehicle dealer shall not engage in the sale of any vehicles other than adapted vehicles.
STATUTORY AUTHORITY: KRS 190.031, 190.073