Bill Text: NY A04298 | 2011-2012 | General Assembly | Amended
Bill Title: Relates to the definition and registration of mobility dealers.
Spectrum: Moderate Partisan Bill (Democrat 11-2)
Status: (Introduced - Dead) 2012-06-15 - print number 4298d [A04298 Detail]
Download: New_York-2011-A04298-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 4298--D 2011-2012 Regular Sessions I N A S S E M B L Y February 3, 2011 ___________ Introduced by M. of A. PERRY, REILICH, ROBINSON, WEISENBERG -- Multi- Sponsored by -- M. of A. ABINANTI, GIBSON, HIKIND, McDONOUGH, MILLMAN, ORTIZ, P. RIVERA, SWEENEY, TITUS -- read once and referred to the Committee on Transportation -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- reported and referred to the Commit- tee on Codes -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the vehicle and traffic law and the general business law, in relation to mobility dealers THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Paragraphs a, f and i of subdivision 1 of section 415 of 2 the vehicle and traffic law, as amended by chapter 7 of the laws of 3 2000, are amended and three new paragraphs k, l and m are added to read 4 as follows: 5 a. "Dealer" means a person engaged in the business of buying, selling 6 or dealing in motor vehicles, motorcycles or trailers, other than mobile 7 homes or manufactured homes, at retail or wholesale; except, however, 8 trailers with an unladen weight of less than one thousand pounds. For 9 the purposes of this section, a "mobile home" or "manufactured home" 10 means a mobile home or manufactured home as defined in section one 11 hundred twenty-two-c of this chapter. Any person who sells, or offers 12 for sale more than five motor vehicles, motorcycles or trailers in any 13 calendar year or who displays or permits the display of three or more 14 motor vehicles, motorcycles or trailers for sale at any one time or 15 within any one calendar month upon premises owned or controlled by him 16 OR HER, if such vehicles were purchased, acquired or otherwise obtained EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD04356-07-2 A. 4298--D 2 1 by such person for the purpose of resale, will be regarded as a dealer. 2 Except as otherwise provided in subdivisions three, five, six-b, and 3 seven of this section, the term "dealer" shall include a "new motor 4 vehicle dealer" as defined by paragraph f of this subdivision and a 5 "qualified dealer" as defined in paragraph g of this subdivision. 6 f. "New motor vehicle dealer" means a dealer who engages in the activ- 7 ities described in paragraph a of this subdivision if such activities 8 relate to new motor vehicles and if such dealer is party to a franchise, 9 as the terms "new motor vehicle" and "franchise" are defined in section 10 four hundred sixty-two of this title; provided, however, for purposes of 11 this definition, a new motor vehicle shall include only those motor 12 vehicles commonly classified as a passenger automobile, sport utility 13 vehicle, light truck, pickup truck, van, minivan, or suburban, with a 14 gross vehicle weight rating of ten thousand pounds or less, and shall 15 not include (i) any such vehicle which has been converted for use as a 16 tow truck[,] or (ii) a motor vehicle for which the current ownership 17 document is a statement of acquisition issued pursuant to section four 18 hundred twenty-nine of this title, a salvage certificate, salvage 19 certificate of title, nonrepairable certificate, or similar document 20 issued by any state or jurisdiction; or (iii) any motor vehicle commonly 21 classified as a bus, school bus, garbage truck, marine trailer, tow 22 truck, motorcycle, recreational vehicle, snowmobile, trailer, mobile 23 home or construction equipment; and provided further that a dealer is a 24 new motor vehicle dealer only with respect to those vehicles which are 25 of the same make as those which that dealer is authorized to sell at 26 that location pursuant to a valid franchise agreement. 27 i. "Used motor vehicle" means any vehicle not included in the defi- 28 nition of a new motor vehicle. Provided, however, that such term as used 29 in paragraph g of this subdivision shall include only those motor vehi- 30 cles commonly classified as a passenger automobile, sport utility vehi- 31 cle, light truck, pick up truck, van, minivan or suburban, with a gross 32 vehicle weight rating of ten thousand pounds or less, which (i) is not 33 deemed to be a "new motor vehicle" pursuant to paragraph h of this 34 subdivision, or (ii) has not been converted for use as a tow truck OR 35 MOBILITY VEHICLE, or (iii) is not commonly classified as a bus, school 36 bus, garbage truck, marine trailer, tow truck, motorcycle, recreational 37 vehicle, snowmobile, trailer, mobile home, or construction equipment. 38 K. (I) "MOBILITY DEALER" MEANS A PERSON WHO DISPLAYS FOR SALE OR 39 ADVERTISES FOR SALE MORE THAN FIVE MOBILITY VEHICLES IN ANY CALENDAR 40 YEAR OR WHO DISPLAYS OR PERMITS THE DISPLAY OF THREE OR MORE MOBILITY 41 VEHICLES AT ANY ONE TIME OR WITHIN ANY ONE CALENDAR MONTH UPON PREMISES 42 OWNED OR CONTROLLED BY HIM OR HER, REGARDLESS OF THE OWNERSHIP OF SUCH 43 MOBILITY VEHICLES. 44 (II) MOBILITY DEALER DOES NOT INCLUDE ANY OF THE FOLLOWING: 45 (A) RECEIVERS, TRUSTEES, ADMINISTRATORS, EXECUTORS, GUARDIANS OR OTHER 46 PERSONS APPOINTED BY OR ACTING UNDER THE JUDGMENT OR ORDER OF ANY COURT; 47 (B) PUBLIC OFFICERS WHILE PERFORMING THEIR OFFICIAL DUTIES; 48 (C) PERSONS DISPOSING OF MOTOR VEHICLES ACQUIRED FOR THEIR OWN USE OR 49 FOR THE USE OF A FAMILY MEMBER, AND ACTUALLY SO USED, WHEN THE VEHICLES 50 HAVE BEEN ACQUIRED AND USED IN GOOD FAITH AND NOT FOR THE PURPOSES OF 51 AVOIDING THE PROVISIONS OF THIS SECTION; 52 (D) FINANCIAL INSTITUTIONS WHO SELL REPOSSESSED MOBILITY VEHICLES; 53 (E) INSURANCE COMPANIES WHO RESELL MOBILITY VEHICLES THAT THEY 54 ACQUIRED IN THE COURSE OF BUSINESS. 55 L. "MOBILITY EQUIPMENT" MEANS MECHANICAL OR ELECTRONIC DEVICES, PARTS 56 OR ACCESSORIES SPECIFICALLY DESIGNED TO FACILITATE THE USE OF A MOTOR A. 4298--D 3 1 VEHICLE BY AN AGING OR DISABLED PERSON AS INTERPRETED BY THE NATIONAL 2 HIGHWAY TRAFFIC SAFETY ADMINISTRATION AND WHICH ARE PERMANENTLY ATTACHED 3 TO OR INCORPORATED IN THE VEHICLE. 4 M. "MOBILITY VEHICLE" MEANS A MOTOR VEHICLE THAT IS SPECIALLY DESIGNED 5 AND EQUIPPED TO TRANSPORT A PERSON WITH A DISABILITY (AS INTERPRETED BY 6 THE NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION) AND THAT: 7 (I) IS DESIGNED AND BUILT OR MODIFIED TO ALLOW VEHICLE INGRESS AND 8 EGRESS FOR A PERSON IN A WHEELCHAIR OR SCOOTER; AND 9 (II) CONTAINS AT LEAST ONE OF THE FOLLOWING: 10 (A) AN ELECTRONIC OR MECHANICAL WHEELCHAIR, SCOOTER, OR PLATFORM LIFT 11 THAT ENABLES A PERSON TO ENTER OR EXIT THE VEHICLE WHILE OCCUPYING A 12 WHEELCHAIR OR SCOOTER; 13 (B) AN ELECTRONIC OR MECHANICAL WHEELCHAIR RAMP; OR 14 (C) A SYSTEM TO SECURE A WHEELCHAIR OR SCOOTER TO ALLOW FOR A PERSON 15 TO BE SAFELY TRANSPORTED WHILE OCCUPYING THE WHEELCHAIR OR SCOOTER, THAT 16 IS INSTALLED AS AN INTEGRAL PART OR PERMANENT ATTACHMENT TO THE MOTOR 17 VEHICLE'S CHASSIS. 18 S 2. The opening paragraph and paragraph c of subdivision 3 of section 19 415 of the vehicle and traffic law, as amended by chapter 7 of the laws 20 of 2000, are amended and a new paragraph b-1 is added to read as 21 follows: 22 Registration of new motor vehicle dealers, MOBILITY DEALERS, qualified 23 dealers, and other motor vehicle dealers. 24 B-1. NO PERSON SHALL ENGAGE IN BUSINESS AS A MOBILITY DEALER, OR 25 REPRESENT, ADVERTISE, OR OTHERWISE HOLD HIMSELF OR HERSELF OUT AS 26 ENGAGED OR INTENDING TO ENGAGE IN THE BUSINESS OF DISPLAYING, ADVERTIS- 27 ING OR INVENTORYING NEW MOBILITY VEHICLES IN THIS STATE, UNLESS THERE 28 SHALL HAVE BEEN ISSUED TO HIM OR HER A CERTIFICATE OF REGISTRATION AS A 29 MOBILITY DEALER AS PROVIDED IN THIS SUBDIVISION AND SUBDIVISION SEVEN OF 30 THIS SECTION. PROVIDED, HOWEVER, THAT A REGISTERED NEW MOTOR VEHICLE 31 DEALER OR QUALIFIED DEALER MAY ENGAGE IN BUSINESS AS A MOBILITY DEALER, 32 OR REPRESENT, ADVERTISE, OR OTHERWISE HOLD HIMSELF OR HERSELF OUT AS 33 ENGAGED OR INTENDING TO ENGAGE IN THE BUSINESS OF SELLING, DISPLAYING, 34 OFFERING, ADVERTISING OR INVENTORYING MOBILITY VEHICLES IN THIS STATE, 35 WITHOUT HAVING BEEN ISSUED TO HIM OR HER A CERTIFICATE OF REGISTRATION 36 AS A MOBILITY DEALER. 37 c. The issuance of such certificate of registration to a new motor 38 vehicle dealer, a qualified dealer, MOBILITY DEALER or other motor vehi- 39 cle dealer shall be deemed to include the right to operate motor vehi- 40 cles, motorcycles and trailers to the extent permitted by subdivision 41 eight of this section, instead of obtaining vehicle registration as 42 provided by sections four hundred one and four hundred ten of this 43 title. The provisions of this section shall not apply to persons engaged 44 in the business of buying, selling or dealing in snowmobiles and/or snow 45 travellers. 46 S 3. The opening paragraph and paragraph a of subdivision 6-b of 47 section 415 of the vehicle and traffic law, as amended by chapter 7 of 48 the laws of 2000, and paragraph a as further amended by section 104 of 49 part A of chapter 62 of the laws of 2011, are amended to read as 50 follows: 51 Dealer, qualified dealer, MOBILITY DEALER, and new motor vehicle deal- 52 er surety bond. a. As a condition to obtaining a registration certif- 53 icate pursuant to this section, every new motor vehicle dealer applicant 54 [and], every qualified dealer applicant AND EVERY MOBILITY DEALER APPLI- 55 CANT shall obtain and continue in effect a surety bond in an amount of 56 fifty thousand dollars executed by a surety company authorized to trans- A. 4298--D 4 1 act business in the state by the department of financial services of the 2 state. As a condition to obtaining a registration certificate pursuant 3 to this section, EVERY MOBILITY DEALER APPLICANT AND every dealer appli- 4 cant who is applying for a registration certificate in the first 5 instance or who sold two hundred motor vehicles or fewer in the previous 6 calendar year shall obtain and continue in effect a surety bond in an 7 amount of ten thousand dollars executed by a surety company authorized 8 to transact business in the state by the department of financial 9 services of the state. As a condition of obtaining a registration 10 certificate pursuant to this section, every dealer applicant who sold 11 more than two hundred motor vehicles in the previous calendar year shall 12 obtain and continue in effect a surety bond in an amount of twenty-five 13 thousand dollars executed by a surety company authorized to transact 14 business in the state by the department of financial services of the 15 state. The bonds shall be approved as to form by the commissioner and 16 shall be conditioned on the new motor vehicle dealer's, qualified deal- 17 er's, and dealer's: payment of all valid bank drafts, including checks, 18 drawn by such dealer for the purchase of motor vehicles; transfer of 19 good title to each motor vehicle such dealer sells; safekeeping of all 20 customer deposits related to the sale of a motor vehicle between the 21 time of receipt of such customer deposit and the transfer of good title 22 to the vehicle to the customer; payment for all fines imposed upon the 23 new motor vehicle dealer, qualified dealer, or dealer by the commission- 24 er pursuant to the provisions of this chapter; and such dealer's repay- 25 ment of any overcharges of a customer by such dealer for the vehicle 26 registration and titling charges payable to the commissioner for regis- 27 tering and titling the sold vehicle. 28 S 4. Paragraph c of subdivision 7 of section 415 of the vehicle and 29 traffic law, as amended by chapter 7 of the laws of 2000, is amended and 30 a new paragraph b-1 is added to read as follows: 31 B-1. REGISTRATION CERTIFICATES FOR MOBILITY DEALERS. (I) APPLICATION. 32 IF A PERSON MAKES APPLICATION, UNDER PENALTY OF PERJURY, FOR A REGISTRA- 33 TION CERTIFICATE AS A MOBILITY DEALER, THE COMMISSIONER SHALL ISSUE A 34 REGISTRATION AS A MOBILITY DEALER TO SUCH DEALER UPON PAYMENT OF THE 35 PRESCRIBED FEE AND ANY REQUIREMENTS THE COMMISSIONER MAY PRESCRIBE BY 36 REGULATION. 37 (II) RIGHTS OF MOBILITY DEALERS. NOTWITHSTANDING ANY OTHER LAW OR 38 RULE, A PERSON HOLDING A MOBILITY DEALER CERTIFICATE SHALL HAVE THE 39 RIGHT TO: 40 (A) DISPLAY, INVENTORY, ADVERTISE, SOLICIT, OR DEMONSTRATE ANY MOBILI- 41 TY VEHICLE, REGARDLESS OF THE CHASSIS MAKE OF THE MOBILITY VEHICLE, AND 42 REGARDLESS OF WHETHER OWNERSHIP OF SUCH MOBILITY VEHICLE IS HELD BY A 43 NEW MOTOR VEHICLE DEALER INSIDE OR OUTSIDE THIS STATE; 44 (B) ARRANGE, NEGOTIATE, AND/OR ASSIST CONSUMERS AS REGARDS THE 45 PURCHASE OF ANY MOBILITY VEHICLE; 46 (C) SELL AND INSTALL MOBILITY EQUIPMENT AND ACCESSORIES AND OTHER 47 GOODS AND SERVICES TO MEET THE NEEDS PARTICULAR TO DISABLED DRIVERS AND 48 PASSENGERS; 49 (D) PROVIDE MOBILITY VEHICLE MAINTENANCE AND REPAIR SERVICES. 50 (III) PROHIBITIONS. NOTWITHSTANDING ANY OTHER LAW OR RULE, A PERSON 51 HOLDING A MOBILITY DEALER CERTIFICATE SHALL NOT HAVE THE RIGHT TO 52 PERFORM REPAIRS ON MOBILITY VEHICLES OR OTHER MOTOR VEHICLES, WITHOUT 53 OBTAINING A LICENSE AS A REPAIR SHOP PURSUANT TO ARTICLE TWELVE-A OF 54 THIS CHAPTER, HOWEVER, A MOBILITY DEALER MAY, WITHOUT OBTAINING SUCH 55 LICENSE, PERFORM REPAIRS ON PARTS WHICH ARE UNIQUE TO MOBILITY VEHICLES 56 AND WERE NOT PART OF THE ORIGINAL MANUFACTURED MOTOR VEHICLE. A. 4298--D 5 1 (IV) REGULATIONS BY THE COMMISSIONER. THE COMMISSIONER SHALL HAVE THE 2 POWER TO PROMULGATE SUCH REGULATIONS AS ARE NECESSARY TO IMPLEMENT 3 MOBILITY DEALER REGISTRATION AND ESTABLISH REASONABLE AND APPROPRIATE 4 QUALIFICATIONS FOR SUCH DEALERS. 5 c. Registration certificate for other than new motor vehicle dealer, 6 MOBILITY DEALER or qualified dealer. If the commissioner approves the 7 application of an applicant for a registration certificate other than a 8 new motor vehicle dealer certificate or a qualified dealer certificate, 9 upon payment of the prescribed fee, he or she shall issue a registration 10 certificate in such form as he or she may prescribe. 11 S 5. Section 198-a of the general business law is amended by adding a 12 new subdivision (p) to read as follows: 13 (P) THIS SECTION SHALL NOT APPLY TO MOBILITY EQUIPMENT AS DEFINED IN 14 SUBDIVISION ONE OF SECTION FOUR HUNDRED FIFTEEN OF THE VEHICLE AND TRAF- 15 FIC LAW. 16 S 6. Section 198-b of the general business law is amended by adding a 17 new subdivision h to read as follows: 18 H. THIS SECTION SHALL NOT APPLY TO MOBILITY EQUIPMENT AS DEFINED IN 19 SUBDIVISION ONE OF SECTION FOUR HUNDRED FIFTEEN OF THE VEHICLE AND TRAF- 20 FIC LAW. 21 S 7. This act shall take effect on the one hundred twentieth day after 22 it shall have become a law.