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.

Terms Used In Utah Code 41-3-209

  • 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
  • Authorized service center: means an entity that:
(a) is in the business of repairing exclusively the motor vehicles of the same line-make as the motor vehicles a single direct-sale manufacturer manufactures;
(b) the direct-sale manufacturer described in Subsection (4)(a) authorizes to complete warranty repair work for motor vehicles that the direct-sale manufacturer sells, displays for sale, or offers for sale or exchange; and
(c) conducts business primarily from an enclosed commercial repair facility that is permanently located in the state. See Utah Code 41-3-102
  • Dealer: includes a representative or consignee of any dealer. 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
  • 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.
  • Principal place of business: means a site or location in this state:
    (i) devoted exclusively to the business for which the dealer, manufacturer, remanufacturer, transporter, dismantler, crusher, or body shop is licensed, and businesses incidental to them;
    (ii) sufficiently bounded by fence, chain, posts, or otherwise marked to definitely indicate the boundary and to admit a definite description with space adequate to permit the display of three or more new, or new and used, or used motor vehicles and sufficient parking for the public; and
    (iii) that includes a permanent enclosed building or structure large enough to accommodate the office of the establishment and to provide a safe place to keep the books and other records of the business, at which the principal portion of the business is conducted and the books and records kept and maintained. See Utah Code 41-3-102
  • 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
  • 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
  • (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 the applicant or license holder’s partners, officers, or directors:

    (i)  lack of a principal place of business or authorized service center as required by this chapter;

    (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)  current revocation or suspension of a dealer, dismantler, auction, or salesperson license issued in another state;

    (v)  nonpayment of required fees;

    (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 involving controlled substances;

    (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 motor vehicles;

    (x)  a violation of any state or federal law involving fraud;

    (xi)  a violation of any state or federal law involving a registerable sex offense under Section 77-41-106;

    (xii)  having had a license issued under this chapter revoked within five years from the date of application; or

    (xiii)  failure to comply with any applicable qualification or requirement imposed under this chapter.

    (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 an applicant is not qualified to receive a license under this section, the administrator shall provide the applicant written notice of the reason for the denial.

    (4)  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 63G, Chapter 4, Administrative Procedures Act:

    (a)  suspend the license on terms and for a period of time the administrator finds reasonable; or

    (b)  revoke the license.

    (5) 

    (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 (5)(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.

    Amended by Chapter 387, 2018 General Session