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TITLE 43TRANSPORTATION
PART 10TEXAS DEPARTMENT OF MOTOR VEHICLES
CHAPTER 215MOTOR VEHICLE DISTRIBUTION
SUBCHAPTER EGENERAL DISTINGUISHING NUMBERS
RULE §215.141Sanctions

(a) The board or department may:

  (1) deny an application;

  (2) revoke a license;

  (3) suspend a license; and

  (4) assess a civil penalty or other action against a license applicant, a license holder, or a person engaged in business for which a license is required.

(b) The board or department may take action described in subsection (a) of this section if a license applicant, a license holder, or a person engaged in business for which a license is required:

  (1) fails to maintain a good and sufficient bond in the amount of $25,000 if required;

  (2) fails to maintain records required under this chapter;

  (3) refuses or fails to comply with a request by a representative of the department to examine and copy during the license holder's business hours at the licensed location:

    (A) sales records required to be maintained by §215.144 of this title (relating to Records);

    (B) ownership papers for a vehicle owned by that dealer or under that dealer's control; and

    (C) evidence of ownership or a current lease agreement for the property on which the business is located;

  (4) refuses or fails to timely comply with a request for records made by a representative of the department;

  (5) holds a wholesale motor vehicle dealer's license and:

    (A) fails to meet the requirements of §215.140 of this title (relating to Established and Permanent Place of Business); or

    (B) sells or offers to sell a motor vehicle to a person other than a licensed dealer;

  (6) sells or offers to sell a type of vehicle that the person is not licensed to sell;

  (7) fails to notify the department of a change of the license holder's physical address, mailing address, telephone number, or email address within 10 days of the change;

  (8) fails to notify the department of a license holder's name change or ownership change within 10 days of the change;

  (9) except as provided by law, issues more than one buyer's temporary tag for the purpose of extending the purchaser's operating privileges for more than 60 days;

  (10) fails to remove a license plate or registration insignia from a vehicle that is displayed for sale;

  (11) misuses a metal dealer's license plate or a temporary tag;

  (12) fails to display a metal dealer's license plate or temporary tag, as required by law;

  (13) holds open a title or fails to take assignment of a certificate of title, manufacturer's certificate, or other basic evidence of ownership for a vehicle acquired by the dealer, or fails to assign the certificate of title, manufacturer's certificate, or other basic evidence of ownership for a vehicle sold;

  (14) fails to remain regularly and actively engaged in the business of buying, selling, or exchanging vehicles of the type for which the GDN is issued by the department;

  (15) violates a provision of Occupations Code, Chapter 2301; Transportation Code Chapters 503 and 1000 - 1005; a board order or rule; or a regulation of the department relating to the sale, lease, distribution, financing, or insuring of vehicles, including advertising rules under Subchapter H of this chapter (relating to Advertising);

  (16) is convicted of an offense that directly relates to the duties or responsibilities of the occupation;

  (17) is determined by the board or department, in accordance with §215.89 of this title (relating to Fitness), to be unfit to hold a license;

  (18) has not assigned at least five vehicles in the prior 12 months, provided the dealer has been licensed more than 12 months;

  (19) files a false or forged:

    (A) title document, including an affidavit making application for a certified copy of a title; or

    (B) tax document, including a sales tax statement or affidavit;

  (20) uses or allows use of that dealer's license or location for the purpose of avoiding a provision of Occupations Code, Chapter 2301; Transportation Code, Chapters 503 and 1000 - 1005; or other laws;

  (21) omits information or makes a material misrepresentation in any application or other documentation filed with the department;

  (22) fails to remit payment as ordered for a civil penalty assessed by the board or department;

  (23) sells a new motor vehicle without a franchised dealer's license issued by the department;

  (24) utilizes a temporary tag that fails to meet the requirements of §215.153 of this title (relating to Specifications for All Temporary Tags);

  (25) violates any state or federal law or regulation relating to the sale of a motor vehicle; or

  (26) effective January 1, 2017, knowingly fails to disclose that a motor vehicle has been repaired, rebuilt, or reconstructed and issued a title under Transportation Code, §501.100.


Source Note: The provisions of this §215.141 adopted to be effective February 11, 2010, 35 TexReg 883; amended to be effective August 2, 2012, 37 TexReg 5637; amended to be effective February 13, 2017, 42 TexReg 571

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