A. A public consignment auction dealer is exempt from the following:

Terms Used In Arizona Laws 28-4410.01

  • Contract: A legal written agreement that becomes binding when signed.
  • Dealer: means a person who is engaged in the business of buying, selling or exchanging motor vehicles, trailers or semitrailers and who has an established place of business and has paid fees pursuant to section 28-4302. See Arizona Laws 28-101
  • Department: means the department of transportation acting directly or through its duly authorized officers and agents. See Arizona Laws 28-101
  • Director: means the director of the department of transportation. See Arizona Laws 28-101
  • Month: means a calendar month unless otherwise expressed. See Arizona Laws 1-215
  • Motor vehicle: means an automobile, motor bus, motorcycle, truck or truck tractor or any other self-propelled vehicle, trailer or semitrailer. See Arizona Laws 28-4301
  • Motor vehicle dealer: means a new motor vehicle dealer, a used motor vehicle dealer, a public consignment auction dealer, a broker or a wholesale motor vehicle auction dealer, excluding a person who comes into possession of a motor vehicle as an incident to the person's regular business and who sells, auctions or exchanges the motor vehicle. See Arizona Laws 28-4301
  • Owner: means :

    (a) A person who holds the legal title of a vehicle. See Arizona Laws 28-101

  • Person: includes a corporation, company, partnership, firm, association or society, as well as a natural person. See Arizona Laws 1-215
  • Public consignment auction dealer: means a person who at the public consignment auction dealer's established place of business or at an authorized off-premises location pursuant to the requirements of section 28-4401 is in the business of both of the following:

    (a) Conducting live auctions with a licensed auctioneer verbally calling for and accepting bids. See Arizona Laws 28-4301

1. An implied warranty of merchantability described in section 28-4412, subsection B and section 44-1267.

2. An emissions inspection pursuant to section 49-542, subsection D.

B. A public consignment auction dealer shall post at the public consignment auction dealer’s established place of business a sign indicating that the public consignment auction dealer is exempt from the provisions described in subsection A of this section.

C. A public consignment auction dealer, on transferring a motor vehicle by sale, shall provide written notice to the department of transportation and the department of revenue within fifteen days after the transfer on a form jointly prescribed by the directors of the departments that includes:

1. The date of the transfer.

2. The name and address of the seller.

3. The name and address of the purchaser.

4. The vehicle identification number of the motor vehicle.

5. The make and model of the motor vehicle.

6. The successful bid price and any premiums or commissions paid associated with the auction of the motor vehicle.

7. Notice as to whether the vehicle is a salvage vehicle.

D. A public consignment auction dealer who fails to provide written notice to the department within fifteen days after transferring a motor vehicle, as prescribed by subsection C of this section, shall pay the department a penalty of eight dollars for the first month and four dollars for each additional month that the notice is not provided, not to exceed a total of one hundred dollars.

E. A public consignment auction dealer, on transferring a motor vehicle by sale, shall give written notice to the purchaser at the time of delivery of the motor vehicle to the purchaser in the form of an invoice or on a form prescribed by the director that includes:

1. The date of the transfer.

2. The vehicle identification number of the motor vehicle.

3. The make and model of the motor vehicle.

4. The successful bid price and any premiums or commissions paid associated with the auction of the motor vehicle.

5. Notice as to whether the vehicle is a salvage vehicle.

F. A public consignment auction dealer shall keep and maintain at the public consignment auction dealer’s established place of business a permanent record in a form prescribed by the director. The permanent record shall include the information prescribed by subsection C of this section and contain a description of all motor vehicle transfers and sales. The public consignment auction dealer shall make the permanent record available for inspection by the department of transportation, the department of revenue or any peace officer.

G. A public consignment auction dealer shall do all of the following:

1. Inform the purchaser of a motor vehicle that the purchaser is responsible for the emission inspection requirements described in section 49-542, subsection D.

2. Comply with the consignment contract requirements prescribed in section 28-4410 if the motor vehicle is acquired from a person other than a licensee, except that the public consignment auction dealer shall obtain documentation that shows that the seller of the vehicle is the legal owner of the vehicle.

3. Comply with the requirements of section 28-4409 relating to evidence of ownership if the motor vehicle is acquired from another licensee.

4. Comply with the requirements of section 28-2091 relating to salvage certificates of title.

H. If a public consignment auction dealer violates this section, the director may do either of the following:

1. Suspend or cancel the dealer’s license.

2. Impose a civil penalty of at least one thousand dollars but not more than three thousand dollars as prescribed in this section or in section 28-4501.

I. This section does not exempt a public consignment auction dealer from any transaction privilege tax imposed pursuant to Title 42, Chapter 5.

J. A wholesale motor vehicle dealer shall not sell motor vehicles to a public consignment auction dealer.