Chapter 4501:1-3 Motor Vehicle Dealers and Salespersons

4501:1-3-01 [Effective 1/1/2015] Used motor vehicle dealer training.

(A) Except as otherwise set forth in divisions (B)(2) and (B)(3) of section 4517.05 of the Revised Code, every applicant for a used motor vehicle dealer's license must successfully complete an approved classroom or online training course administered by an authorized course provider as set forth in rule 4501:1-3-02 of the Administrative Code.

(B) Every applicant that is required to complete the training course shall present a copy of his or her certificate of completion issued by the authorized course provider at the time of application.

Effective: 01/01/2015
Five Year Review (FYR) Dates: 09/22/2019
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.05 , 4517.32
Rule Amplifies: R.C. 4517.05

4501:1-3-02 Used motor vehicle dealer training; curriculum and course provider requirements.

(A) The registrar shall issue a certificate of approval to an authorized course provider to administer the used motor vehicle dealers training course mandated by section 4517.05 of the Revised Code and rule 4501:1-3-01 of the Administrative Code. In order to be an authorized course provider, an entity must meet the following requirements:

(1) Either be an institution of higher learning as defined in section 3345.12 of the Revised Code or a professional or trade association that has been in existence for more than five years and has a majority of members who are motor vehicle dealers licensed in Ohio;

(2) Submit an application prescribed by the registrar, "Training Course Provider Application," form "BMV 4326," (September, 2013), that includes a training course curriculum that meets the requirements of paragraph (B) of this rule;

(3) Meet all of the other requirements set forth in section 4517.05 of the Revised Code and this rule.

(B) The curriculum submitted for review in accordance with paragraph (A)(2) of this rule shall meet the following requirements:

(1) Consist of no less than a minimum of six hours classroom or equivalent online training;

(2) Include pages that are all consecutively numbered;

(3) Be organized into units or lessons and include a table of contents;

(4) Provide a curriculum that clearly sets forth the expectations of the course and is easy to navigate;

(5) Provide appropriate content-based exercises that actively engage the students in the learning process including, but not limited to, instructional methods such as videos, games, activities, or tests;

(6) Allow the applicant to review previously completed sections and resources included in the course curriculum;

(7) Ask content-based questions that are related to the lesson that is being completed. Such questions must be of a sufficient complexity that they cannot be easily answered without having reviewed the course material. If a question is answered incorrectly, the provider must provide constructive feedback and the correct answer;

(8) Authorized course providers shall not include any content that promotes, sells, or offers goods, products or services in the training course curriculum;

(9) Address the following topics and subject matters:

(a) The used motor vehicle dealer requirements set forth in Chapter 4517. of the Revised Code and Chapter 4501:1-3 of the Administrative Code, including but not limited to, those pertaining to a dealer's established place of business;

(b) The duties and responsibilities of the motor vehicle dealers board as set forth in Chapter 4517. of the Revised Code and Chapter 4501:1-3 of the Administrative Code;

(c) Acts and omissions that may result in suspension or revocation of a used motor vehicle dealer's license as set forth in Chapter 4517. of the Revised Code and Chapter 4501:1-3 of the Administrative Code;

(d) The issuance of temporary licenses pursuant to section 4503.182 of the Revised Code;

(e) The duties and responsibilities in performing out of state inspections pursuant to section 4505.061 of the Revised Code;

(f) The registration requirements for manufacturers, dealers, and distributors pursuant to section 4503.27 of the Revised Code;

(g) The display and proper use of license plates issued to manufacturers, dealers, and distributors pursuant to section 4503.30 of the Revised Code;

(h) All applicable federal and state laws governing the sale and distribution of motor vehicles, including but not limited to, those pertaining to the titling of vehicles, the title defect rescission fund, sales tax, motor vehicle financing, document fees, retail agreements, repossession of motor vehicles, and consumer protection.

(C) Every authorized course provider must meet the following requirements with respect to the administration of the training course:

(1) Provide the training course at least once every ninety days at a date and time determined by the course provider;

(2) Provide written notification to the registrar and the motor vehicle dealers board on an annual basis and any changes as applicable of the date, time, location, length, content, and cost of each training course;

(3) Maintain records of attendance for each training course for a minimum of one year from the date of the course, and make such records available to the registrar and the motor vehicle dealers board upon request;

(4) Provide a certificate of completion to all individuals who successfully complete the training course that includes the following information:

(a) The name of the student;

(b) The name, address, and telephone number of the course provider;

(c) The course provider number provided by the registrar;

(d) Whether or not the student completed the training through a classroom course an online training course, or a combination of both;

(e) The length of the course;

(f) The start and completion dates of the training course attended by the student;

(g) A statement certifying that the student identified on the certificate of completion has successfully completed the program;

(h) The name and signature of the course instructor.

(D) In addition to the requirements set forth in paragraphs (A) to (C) of this rule, online training course providers must also meet the following requirements. For the purpose of this rule, "online training course" means a training course that is delivered by the internet, web-based media, or a combination of these methods:

(1) Require every student to register for the course by using an individual identification number that shall also be used to verify course participation and completion;

(2) Provide a means, such as a bulletin board, e-mail, or call center, for applicants to ask questions regarding the course curriculum.

(E) A template, model, or sample certificate of completion shall be submitted at application with the training course curriculum for the registrar's review and approval.

(F) If a certificate is lost or stolen after the completion of the training course, the applicant may obtain a new certificate from the provider that issued the initial certificate.

(G) A certificate of approval to an authorized course provider shall be subject to renewal biennially. The registrar reserves the right to decline or renew any prospective course provider, or disapprove any authorized course provider, that fails to meet requirements as set forth in this rule or section 4517.05 of the Revised Code.

Effective: 10/03/2014
Five Year Review (FYR) Dates: 09/22/2019
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.05 , 4517.32
Rule Amplifies: R.C. 4517.05

4501:1-3-03 Sign required to identify place of business.

(A) No applicant shall be issued a license unless the "Used Motor Vehicle Dealer Application," form "BMV 4320," (July, 2013), or "New Motor Vehicle Dealer Application," form "BMV 4322," (July, 2013), whichever is applicable, includes the name of the business for which the license is sought. The applications are available via the dealer licensing website athttp://www.OhioAutoDealers.com. Each applicant shall provide evidence of suitable signage that meets the following requirements:

(1) The sign displays the business name in which the application is made;

(2) The sign is permanent, properly maintained, and prominently displayed by the entrance of the office, if the sign is not visible from the public roadway;

(3) The sign's letters identifying the business name are no less than six inches high, unless otherwise approved by the registrar.

(B) No motor vehicle dealer or auction owner or its agent or representative shall alter the physical conditions of the established place of business so that it is not in compliance with the requirements of Chapter 4517. of the Revised Code.

Effective: 07/15/2013
R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.32
Rule Amplifies: R.C. 4501.02 , 4517.03 , 4517.04 , 4517.05 , 4517.06 , 4517.07 , 4517.08
Prior Effective Dates: 12/8/86, 5/9/98, 7/1/10

4501:1-3-04 Dealer required to maintain records.

(A) A motor vehicle dealer, a motor vehicle auction owner and a motor vehicle distributor shall maintain the following records of all motor vehicles purchased, leased and sold:

(1) Name and address of the previous owner;

(2) Serial number (vehicle identification number);

(3) Title number, county and state;

(4) Year and make of said vehicle;

(5) A purchase agreement for each vehicle sold, which shall include a description of the vehicle, the name and address of the purchaser, the sales price, the odometer reading and may include the dealer's permit number;

(6) Lease contracts and security agreements;

(7) Odometer disclosure statement for each vehicle;

(8) A record of temporary tags sold on each vehicle

(B) Records must be maintained and easily accessible for a period of three years by those holding a license granted under Chapter 4517. of the Revised Code and by any person who held a license and has since gone out of business.

(C) The business records shall be open for reasonable inspection by the registrar or his authorized agent.

R.C. 119.032 review dates: 08/28/2014 and 08/28/2019
Promulgated Under: 119.03
Statutory Authority: 4501.02 , 4517.32
Rule Amplifies: 4517.04 , 4517.05 , 4517.06 , 4517.12 , 4517.08
Prior Effective Dates: 8/3/78, 12/8/86, 4/20/96, 5/9/98, 7/1/09, 7/1/10

4501:1-3-05 Dealer selling as a salesperson for another dealer prohibited.

(A) No person, firm, or corporation, to which a dealer's license has been currently issued, shall be issued a salesperson's license to sell motor vehicles for another licensed dealer.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , R.C. 4517.32
Rule Amplifies: R.C. 4517.14 , R.C. 4517.20
Prior Effective Dates: 12/8/86, 5/9/98

4501:1-3-06 [Rescinded] Bond required of manufactured home brokers.

Effective: 07/01/2010
R.C. 119.032 review dates: 04/01/2010
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.27
Rule Amplifies: R.C. 4517.27
Prior Effective Dates: 4/20/96, 8-3-78

4501:1-3-07 Law enforcement report required with application.

(A) Each applicant for a dealer's, distributor's, auction owner's, or salesperson's license shall submit to the registrar a "New Motor Vehicle Dealer Application," form "BMV 4322," (July, 2013), "Used Motor Vehicle Dealer Application," form "BMV 4320," (July, 2013), "Leasing Motor Vehicle Dealer Application," form "BMV 4321," (July, 2013), "Application for Auction Owners or Distributor's License," form "BMV 4325," (January, 2013), or "Motor Vehicle Dealer Salesperson License Application, form "BMV 4301," (January, 2013), as applicable. Applications are available via the "Ohio Bureau of Motor Vehicles, Dealer Licensing Section" website at http://www.ohioautodealers.com.

(B) If the applicant has not held a dealer's, distributor's, auction owner's, or salesperson's license within twelve months prior to the application, the applicant shall submit results of a criminal history record , that is checked on a state-wide basis through the bureau of criminal identification and investigation with the application. The criminal history record shall indicate all of the offenses of which the applicant has been convicted.

(C) Each person listed on the application as a principal officer, manager, or operator of a corporation, trustee of a business trust, or in the case of a partnership or limited liability company, a partner or member, shall also submit results of a criminal history record, checked on a state-wide basis through the bureau of criminal identification and investigation, with the application.

Replaces: 4501:1-3-07

Effective: 09/09/2013
R.C. 119.032 review dates: 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02
Rule Amplifies: R.C. 4517.04 , 4517.05 , 4517.06 , 4517.07 , 4517.08 , 4517.12 , 4517.13 , 4517.14
Prior Effective Dates: 6/15/62, 12/8/86, 5/9/98, 7/1/10

4501:1-3-08 Place of business required for used motor vehicle dealers.

(A) A used motor vehicle dealer shall have an established place of business which shall include a lot of no less than three thousand five hundred square feet, not including driveways, with adequate ground cover of a hard surface to prevent the collection of dust, mud, water or other unsightly conditions and shall be separated from any other business or residence with a permanent physical barrier. There shall be a permanent, usable structure on the premises, including an easily accessible office of no less than one hundred eighty square feet of usable office area which shall include, at minimum, heating that is sufficient and reasonable for a retail office environment, electric lighting, a telephone in service used and identified exclusively for the dealership's business, a desk, three chairs and a filing cabinet, all of which shall be kept in a neat and orderly fashion. The structure shall be occupied by the dealership and staffed by a person who is licensed and regulated under Chapter 4517. of the Revised Code and could reasonably assist any retail customer with or without an appointment. The dealership shall be easily accessible from a public roadway and shall be identifiable as a motor vehicle dealership to the public and open for business. The business hours shall be prominently posted on the premises.

(B) No motor vehicle dealer or auction owner or its agent or representative shall alter the physical conditions of the established place of business so that it is not in compliance with the requirements of Chapter 4517. of the Revised Code.

(C) The requirements for an established place of business for used motor vehicle dealership shall be construed to the end that any customer may, without an appointment, visit the establishment and view its motor vehicle inventory.

(D) A facility shall be considered an established place of business for used motor vehicle dealership when the primary business consists of displaying and offering motor vehicles for sale, lease, or rent so long as it meets all of the requirements of this rule with regard to a used motor vehicle dealership.

(E) A permanent physical barrier is a metal, brick, stone, concrete, wood, heavy plastic, or heavy support cable that is of sufficient composition that it will not significantly deteriorate over time, and cannot be moved or removed. It shall be of sufficient strength and durability to stop or at minimum, inhibit normal vehicular and pedestrian traffic. It shall clearly delineate a separation between a residence or an unrelated business and the beginning of the dealership's established place of business. If such separation is required, it shall be properly maintained during the entire period for which a used motor vehicle dealership license is held.

R.C. 119.032 review dates: 05/10/2010 and 03/02/2014
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.32
Rule Amplifies: R.C. 4517.02 , 4517.03 , 4517.05 , 4517.12
Prior Effective Dates: 6/15/62, 12/8/86, 5/9/98

4501:1-3-09 Registrar shall deny license.

(A) "New Motor Vehicle Dealer Application,"form "BMV 4322," (July, 2013), "Used Motor Vehicle Dealer Application," form "BMV 4320," (July, 2013), "Leasing Motor Vehicle Dealer Application," form "BMV 4321," (July, 2013), or "Application for Auction Owner's or Distributor's License," form "BMV 4325," (January, 2013). Applications are available via the "Ohio Bureau of Motor Vehicles, Dealer Licensing Section" website at http://www.ohioautodealers.com.

(B) The registrar shall deny the application of any person for a motor vehicle license dealer's license, distributor's license or auction owner's license or for renewal of a motor vehicle dealer's license, distributor's license or auction owner's license if the registrar finds that the applicant has been convicted of a felony, except as provided in this rule.

(C) Paragraph (B) of this rule shall not apply if the conviction occurred prior to ten years from the date the application is submitted, and was not related to the selling, taxing, licensing, or regulation of sales of motor vehicles.

Effective: 09/09/2013
R.C. 119.032 review dates: 06/24/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.32
Rule Amplifies: R.C. 4517.04 , 4517.05 , 4517.07 , 4517.08 , 4517.12 , 4517.13
Prior Effective Dates: 8/3/78, 12/8/86, 4/20/96, 5/9/98, 7/1/10, 4/2/12

4501:1-3-10 Requirements for expanded display site for motor vehicle dealer, motor vehicle leasing dealer, or motor vehicle auction owner.

(A) A motor vehicle dealer, motor vehicle leasing dealer, or motor vehicle auction owner, pursuant to section 4517.01 of the Revised Code may expand the display area of the dealership location licensed under Chapter 4517. of the Revised Code. The expanded area is an extension of the principally established place of business pursuant to section 4517.03 of the Revised Code which is located adjacent to or within two hundred feet of the property line of the principally established place of business and which complies with the following:

(1) The expanded site shall be at least two thousand square feet not including driveway with adequate ground cover of hard surface so as to prevent the collection of dust, mud, water or other unsightly conditions.

(2) The expanded site shall be used exclusively for the display of motor vehicles and no other business or residence shall be located or conducted on the site.

(3) There shall be a sign at the expanded site which shall be in accordance with rule 4501:1-3-03 of the Administrative Code.

(B) In addition to the above conditions, the motor vehicle dealer shall conduct all transactions relating to the lease or sale of motor vehicles at the principal place of business. A motor vehicle dealer who has more than one place of business in a county, must operate the expanded display site in conjunction with the principally established place of business.

(C) Any motor vehicle dealer seeking to establish an expanded display site shall first request approval from the registrar of motor vehicles and request an inspection to determine if the site meets the criteria set forth above. If the registrar determines that the site meets the requirements of this rule, the motor vehicle dealer shall not be required to obtain a separate license for the expanded display site nor will the motor vehicle dealer be required to maintain a display or repair facility under roof on the expanded site. If the registrar determines that the expanded display site does not continue to meet the above criteria annually thereafter, the dealers annual license renewal shall be denied pursuant to section 4517.12 of the Revised Code. An appeal of such a denial may be made to the motor vehicle dealers board in accordance with rule 4501:1-3-25 of the Administrative Code. If the motor vehicle dealers board, upon its own investigation, determines that the site does not meet or is not in accordance with the requirements set forth above, the board shall suspend or revoke the dealer's license pursuant to section 4517.33 of the Revised Code.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , R.C. 4517.32
Rule Amplifies: R.C. 4517.03 , 4517.04 , 4517.05 , 4517.06 , 4517.07
Prior Effective Dates: 6/20/90, 5/9/98

4501:1-3-11 Dealer required to maintain net worth.

No dealer shall be issued a motor vehicle dealer's license or permitted to operate under a such license unless the dealer has a net worth, verifiable upon request by the registrar, in the sum of at least seventy-five thousand dollars.

Effective: 07/01/2009
R.C. 119.032 review dates: 11/14/2008 and 03/02/2014
Promulgated Under: 119.03
Statutory Authority: 4517.12 , 4517.32
Rule Amplifies: 4517.12
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-12 [Rescinded] Reasons for the denial or revocation of a manufactured home broker's license.

Effective: 07/01/2010
R.C. 119.032 review dates: 04/01/2010
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , 4517.27
Rule Amplifies: R.C. 4501.52, 4517.12
Prior Effective Dates: 4/20/96, 8/3/78

4501:1-3-13 Method of instituting complaints.

(A) The board may, upon its own motion, investigate any license holder for alleged violations of law or of the rules of this board. If such investigation discloses any such violations, such license holder shall be informed that reasonable grounds for suspension or revocation of the license exist.

(B) The board shall, upon verified written complaint of any person filed with the secretary or acting secretary of the board, investigate as to the matters complained of, and if such investigation develops any apparent violation of the laws or of the rules of this board, such license holder shall be informed that reasonable grounds for suspension or revocation of the license exist.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 8/3/78, 5/9/98

4501:1-3-14 Notice of hearing.

When in the opinion of the board, reasonable grounds for issuance of a citation exist, the secretary or acting secretary of the board shall send a "Notice of Opportunity for Hearing" by certified mail, return receipt requested, to the license holder cited at the address specified in the application for license. Such notice shall specify the alleged violation of the Revised Code or the rules of the board, and shall apprise the licensee of his/her right to request an adjudicatory hearing on the matter.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32
Prior Effective Dates: 6/15/62, 8/3/78

4501:1-3-15 Date and place of hearing.

If requested by the license holder in writing, within thirty days after mailing of the "Notice of Opportunity for Hearing", the board must set the date, time and place of hearing, and immediately notify the license holder. The date for such hearing shall be within seven to fifteen days after the party has requested a hearing. If the license holder fails to respond to "Notice of Opportunity for Hearing" within thirty days, the board may consider the charges as proven and may, in its discretion and without a hearing, suspend or revoke the license.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32
Prior Effective Dates: 6/15/62, 8/3/78

4501:1-3-16 Continuances.

(A) Any hearing may be postponed or continued by the board on its own motion, or within the discretion of the board at the request of the license holder for such period of time and upon such terms as the board may prescribe.

(B) The license holder requesting continuances shall submit to the board, at least five days prior to the date set for the hearing, a written request, stating the reasons for the desired continuance. Verified statements setting out the grounds for the continuance shall be filed with the request.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-19 Stenographer's record.

(A) At any hearing before the board, the record of which may be the basis of an appeal to a court, a stenographic record of the testimony and other evidence submitted shall be taken at the expense of the board.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-20 Hearing procedure.

In all hearings before the board, the procedure shall be as follows:

(A) The attorney general concisely may state his case and briefly may state his evidence to sustain it.

(B) The license holder, or his attorney, may then briefly state his case, and briefly may state his evidence in support of it.

(C) The attorney general first must produc his evidence and the license holder, or his attorney must then produce his evidence.

(D) The attorney general may offer evidence in rebuttal.

(E) The board may in its discretion hear arguments.

(F) The board may in its discretion request or permit the filing of briefs.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-21 Evidence.

(A) In all hearings before the board, the introduction of evidence shall be governed in general by the rules of evidence.

(B) The board may call the license holder to testify under oath as upon cross-examination. The license holder may call the acting secretary of the board to testify under oath as upon cross-examination.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-22 Briefs.

(A) Briefs shall be clearly typewritten or photocopied. The party filing the brief shall furnish the opposite party or his attorney with one copy and file with the secretary or acting secretary of the board four copies.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-23 Decision of the board.

(A) After submission of the case to the board, the board may retire and deliberate immediately or take the case under advisement.

(B) The decision of the board shall be written and a copy of such decision shall be mailed to the license holder by certified mail, return receipt requested, and a copy mailed to the attorney for the license holder, if any. A copy also shall be forwarded to the attorney general.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-24 Rehearings.

(A) Should the license holder desire a rehearing before the board, such license holder shall file his application for rehearing in writing with the secretary or acting secretary of the board, within fifteen days after receipt of the decision of the board and shall accompany the application with a verified statement setting out the grounds on which such rehearing is sought.

(B) Grounds for rehearing shall be for the following causes only:

(1) For mistake, neglect or omission on the part of the board, or irregularity in obtaining a favorable decision or order on the part of the successful party.

(2) For fraud practiced by the successful party in obtaining a favorable order or decision.

(3) For unavoidable casualty or misfortune, preventing the license holder from prosecuting his case before the board.

(4) When a decision or order was obtained, in whole or a material part by false testimony on the part of the successful party, or any witness in his behalf, which ordinary prudence could not have anticipated or guarded against.

(5) Newly discovered evidence, material for the license holder applying for rehearing, which with reasonable diligence could not have been discovered and produced at the hearing and which is not merely corroborative of evidence produced or offered at the hearing, and the license holder in his application for rehearing shall state the nature of such evidence.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-25 Appeals from registrar's order.

(A) When the registrar refuses to issue, renew, or transfer any license, he shall, by certified mail, return receipt requested, send to the applicant so refused, notice of such order at the address stated in the application and certify his findings and final order to the board. The notice to the applicant shall set forth the reasons for the registrar's action, refer to the statute or rule directly involved, and state that the applicant has a period of thirty days from the time of mailing of the notice, to file his appeal with the board.

(B) Such appeal must be by petition, in writing, and verified under oath by the appellant. The petition in appeal must set forth the reason for such appeal and the reason why the order of the registrar is in error. The original and at least one copy shall be filed with the secretary or acting secretary of the board.

(C) After receipt of such petition in appeal, the secretary or acting secretary of the board shall, by certified mail, return receipt requested, immediately send a notice of hearing to the appellant. The notice of hearing shall contain the date, time, and place of hearing of the appeal. The date set for such hearing shall be within seven to fifteen days after the party has requested a hearing unless otherwise agreed to by both the board and the party. The board may postpone or continue any adjudication hearing upon the motion of any party or upon its own motion.

(D) The provisions of rules 4501:1-3-16 , 4501:1-3-19 , 4501:1-3-20 , 4501:1-3-21 , 4501:1-3-22 , and 4501:1-3-23 of the Administrative Code shall apply to hearings on appeals from the registrar's order in the same manner as regular hearings before the board.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02 , R.C. 4517.32 , R.C. 4517.33
Rule Amplifies: R.C. 4517.12 , 4517.13 , 4517.14 , 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 12/8/86, 5/9/98

4501:1-3-26 Docket.

(A) The secretary or acting secretary of the board shall keep a docket and enter into such docket all cases before the board. Said docket shall be open to public inspection.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32 , 4517.33
Prior Effective Dates: 6/15/62, 5/9/98

4501:1-3-30 Licensing of leasing employees.

An employee of a motor vehicle leasing dealer other than a sole proprietor, president of a corporation, partner, trustee of a trust, member of a limited liability company, or an equivalent natural person affiliated with some other kind of a legally constituted business organization shall be licensed as A motor vehicle salesperson under sections 4517.09 , 4517.14 and 4517.20 of the Revised Code if the employee engages in the business of regularly making available, offering to make available, or arranging for another person to use a motor vehicle for personal, family, or household use pursuant to a bailment, lease, or other contractual arrangement under which a charge is made for its use at a periodic rate for a term of thirty days or more where title to the motor vehicle is in a person other than the user.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32
Prior Effective Dates: 9/30/78, 5/9/98

4501:1-3-31 Exemption from notice of change.

Motor vehicle dealers shall be exempt from the provisions of division (A) of section 4517.23 of the Revised Code, requiring dealers to notify the registrar of changes in the status of personnel of owners, partners, officers and/or directors, if stock in the dealer or its parent company has been traded publicly and public records with state and federal agencies document such change.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02
Rule Amplifies: R.C. 4517.23
Prior Effective Dates: 8/3/78, 4/20/96, 7/1/10

4501:1-3-32 Place of business required for motor vehicle leasing dealerships.

(A) A motor vehicle leasing dealer who makes motor vehicles available for personal, family, or household use by another in the manner described in the definition of "motor vehicle leasing dealer" contained in section 4517.01 of the Revised Code shall have an easily recognizable established place of business with an office that is used exclusively for leasing motor vehicles. A place of business shall be considered as used exclusively for leasing motor vehicles for personal, family, or household use even though a business operated as a new motor vehicle dealership, a used motor vehicle dealership, or a motor vehicle renting dealership, as defined in section 4549.01 of the Revised Code, is located at the place of business.

(B) The office shall be separated from any residence by a permanent physical barrier and contain no less than one hundred eighty square feet of usable, interior office area excluding restroom, storage, or utility space. The office shall be kept neat and orderly at all times and shall not be used as a storage of other utility area. The office shall have, at minimum, a desk, filing cabinet, three chairs, heat and electric lighting that is sufficient and reasonable for an office environment, a telephone in service at all times with the number listed in the name of the leasing dealership in a local directory and answered in the name of the leasing dealer. The leasing dealership shall maintain at all times the capability to send and receive a facsimile. The motor vehicle dealership license and a list of all licensed salespersons shall be conspicuously posted. The requirements of this paragraph shall not be in addition to those required of a new or used motor vehicle dealership.

(C) The office shall be clearly identified, easily accessible and open to any person desiring to lease a motor vehicle for personal, family, or household use. The business shall be open a minimum of thirty hours per week, at least six of which shall occur Monday through Friday, from seven a.m. to five p.m. The name of the motor vehicle leasing dealership and the business hours shall be legible and shall be posted in a conspicuous place where the general public has access, at or near the entrance to the building, and at or near the entrance to the office, if the two places are not the same.

(D) The office shall be staffed during the posted hours by a sole proprietor, partner, president of a corporation, member of a limited liability company, trustee of a business trust, an equivalent natural person affiliated with some other kind of legally constituted business organization, or a licensed salesperson.

Effective: 07/01/2009
R.C. 119.032 review dates: 11/14/2008 and 03/02/2014
Promulgated Under: 119.03
Statutory Authority: 4517.32
Rule Amplifies: 4517.02 , 4517.03 , 4517.06
Prior Effective Dates: 5/9/98

4501:1-3-33 Place of business required for motor vehicle auction owner.

(A) A motor vehicle auction owner shall have an established place of business with an office area that is permanent in nature. The office shall have, at minimum, a landline telephone number (not a cellular phone) in service at all times, that is listed in the local telephone directory as, and answered in the name of, the motor vehicle auction owner, electric lighting, and heating that is sufficient and reasonable for an office environment. An established place of business that is used for auctioning motor vehicles shall also have at least one area under permanent roof that is large enough that motor vehicles may be moved through and where such motor vehicles may be offered at auction.

(B) The established place of business for an auction owner's license shall be separated by a permanent physical barrier, as defined in rule 4501:1-3-08 of the Administrative Code, from any home or personal residence, motor vehicle dealership, salvage motor vehicle dealership, salvage motor vehicle auction, and salvage motor vehicle pool.

(C) An established place of business that is used for auctioning motor vehicles shall be considered used exclusively for that purpose even though its facilities may be incidentally used for conducting a public auction of repossessed motor vehicles.

(D) The office and auction area shall be clearly identified, easily accessible and open for business a minimum of twenty hours per week, at least ten of which shall occur Monday through Friday from nine a.m. to five p.m. It shall be open to the general public only when a public auction of repossessed motor vehicles is being conducted. The office and auction area shall be kept neat and orderly at all times, and shall not be used as a storage or other utility area.

(E) The business hours shall be legible and posted in a conspicuous place near the entrance of the auction owner's licensed premises.

(F) Every auction owner licensed under Chapter 4517. of the Revised Code shall notify the registrar of motor vehicles in writing within fifteen days of any change in status of: (1) name; (2) location; and (3) personnel of owner, partners, officers, or directors.

Effective: 07/01/2009
R.C. 119.032 review dates: 11/14/2008 and 03/02/2014
Promulgated Under: 119.03
Statutory Authority: 4517.12 , 4517.03 , 4517.06
Rule Amplifies: 4517.02 , 4517.03 , 4517.07
Prior Effective Dates: 5/11/98

4501:1-3-34 Notice of public hearing regarding adoption, amendment, or rescission of a rule.

(A) A public notice issued by the motor vehicle dealers board of a hearing to consider adopting, amending or rescinding a rule which the board is authorized by law to do, shall be published in accordance with the requirements of section 119.03 of the Revised Code. Notice shall be published at least once in the register of Ohio, in the English language, at least thirty days prior to the date set for a public hearing.

(B) The motor vehicle dealers board shall be authorized to give additional notice of such public hearing as it deems necessary; however, the giving of such additional notice shall not be mandatory, and failure to give notice by any means other than as specified in paragraph (A) of this rule shall not in any way invalidate any action which may be taken by the motor vehicle dealers board.

(C) The public notice shall specify the date, time and place of any hearing relative to the proposed rule change and shall include:

(1) A statement of the motor vehicle dealers board intention to consider adopting, amending or rescinding a rule and the purpose or reason therefore;

(2) A summary of the proposed rule, amendment or rescission or a general statement as to the subject to which it relates.

R.C. 119.032 review dates: 01/23/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32
Rule Amplifies: R.C. 4517.32
Prior Effective Dates: 2/9/76, 12/8/86, 2/27/05, 3/22/10

4501:1-3-35 Notice of meetings.

(A) Any person may obtain information regarding the time and location of all regularly scheduled meetings and information regarding the time, location, and purpose of any special meetings of the board, its subcommittees, and special committees. Requests for notice of meetings may be submitted to the secretary of the motor vehicle dealers board in written form, or may be made in person during regular business hours. Notice of all regularly scheduled board meetings will be placed on the dealer licensing section of the bureau of motor vehicle's website no less than fifteen days before a regularly scheduled meeting. The website is available at http://www.ohioautodealers.com.

(B) Written requests for notice of meetings may be general in nature or may be specific to meetings where a particular type of business will be considered. Such requests shall include the name of the person submitting the request, any organization with which the requester is affiliated, mailing address, telephone number, and whether notice is sought for all or specified types of meetings. Notice requests submitted pursuant to this paragraph shall include:

(1) Fifteen self-addressed envelopes with appropriate postage affixed; or

(2) The requestor shall be charged a reasonable fee for the costs of copying and mailing.

(C) The board shall provide twenty-four hour advance notice of special meetings of the board, subcommittees; and special committees to representatives of news organizations who have submitted written requests for such notice to the secretary of the motor vehicle dealers board. In the event that an emergency meeting is scheduled and twenty-four hour notice is not possible, the board shall notify those representatives of news organizations who have requested notice in accordance with this paragraph, as soon as is reasonably possible after such meeting is scheduled. The notice requested by representatives of news organizations pursuant to this rule may be general or specific in nature.

Effective: 06/13/2013
R.C. 119.032 review dates: 03/26/2013 and 10/26/2017
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.32 , R.C. 4517.33
Rule Amplifies: R.C. 4517.32 , R.C. 4517.33 , R.C. 4517.57
Prior Effective Dates: 2/9/76, 12/8/86, 1/9/00, 2/27/05, 3/22/10

4501:1-3-36 Construction equipment auction license.

(A) Each person applying for a construction equipment auction license shall submit an "Application for Construction Equipment Auction License," form "BMV 4324," (April, 2013), hereinafter referred to as "application," to the registrar of motor vehicles, available via the "Ohio Bureau of Motor Vehicles, Dealer Licensing Section" website at http://www.OhioAutoDealers.com. The application shall be signed and sworn to by the applicant and shall include the following information:

(1) The name or names under which the business will be conducted;

(2) The business address, telephone number, fax number, and email address;

(3) The form of business under which the business is organized;

(4) The vendor number of the business;

(5) The business's federal tax identification number;

(6) Information identifying the principals including name, address, and social security number or tax identification number as follows:

(a) For a sole proprietorship, the proprietor;

(b) For a partnership, the partners;

(c) For a corporation, the president, vice president, secretary, and treasurer of the corporation;

(d) For a trust, the trustees;

(e) For a limited liability company, all members owning more than ten percent of the company;

(f) For any other form of organization, the directors or other appropriate principals of the organization as designated by the registrar.

(7) Any other information determined by the registrar to be relevant to the application.

(B) Each principal of the business who is an individual and a resident of Ohio shall submit a background check obtained through the bureau of criminal identification and investigation. Each principal of the business who is an individual but is not a resident of Ohio, shall submit a "Civilian Identification Fingerprint Card," form "BIM-12-98," (December, 1998), for the purpose of obtaining a background check through the office of the bureau of criminal identification and investigation. Fingerprint cards are available upon written request to: "Ohio Bureau of Motor Vehicles, Dealer Licensing Section, P.O. Box 16521, Columbus, Ohio 43216-6521." The application prescribed by the registrar shall contain instructions on how to comply with these requirements.

(C) The application shall contain affirmations stating that the applicant:

(1) Is engaged primarily in the business of selling large construction and transportation equipment at auction;

(2) Receives more than one million dollars in gross annual sales in Ohio, and derives not more than ten percent of the its gross annual sales revenue in Ohio from the sale of motor vehicles having a gross vehicle weight rating of ten thousand pounds or less;

(3) Maintains a permanent auction site within Ohio that is at least ninety acres in size and maintains over sixty thousand square feet of total facility space;

(4) Will comply with sections 4517.17 and 4517.18 of the Revised Code;

(5) With respect to motor vehicles having a gross vehicle weight rating of ten thousand pounds or less, will comply with all applicable provisions of Chapter 4505. of the Revised Code concerning the titling of such vehicles, Chapter 5739. of the Revised Code concerning the the withholding and payment of sales taxes in connection with the sale such motor vehicles, and Chapter 5751. of the Revised Code concerning the payment of commercial activity taxes on the sale of such motor vehicles in the same manner as a motor vehicle dealer, including transferring title to such vehicles to the licensee's name prior to auction.

(D) The application, shall contain questions requiring the applicant to state whether the business or any of the principals of the business have previously applied for an Ohio new or used motor vehicle dealer's license, leasing license, auction owner's license, motor vehicle salvage license, motor vehicle auction license, motor vehicle salvage pool license, or motor vehicle salesperson's license; whether the business or any of the principals of the business currently holds any such license; and whether any such license has ever been suspended or revoked. The applicant shall also provide information regarding any such applications, licenses, suspensions, and revocations.

(E) The application shall contain questions requiring the applicant to state whether the business or any of the principals of the business have ever been convicted of any fraudulent act in connection with selling or otherwise dealing in auctions, motor vehicles, or equipment. The registrar may require the applicant to provide additional information regarding any such conviction.

(F) The application shall be signed by a principal or authorized agent of the business and shall be notarized.

(G) The registrar shall determine whether the business is eligible for a construction equipment auction license and if the application should be approved. If so, the registrar shall issue the license. If the registrar determines that the license should not be issued, the registrar shall either require additional information or deny the license.

(H) If a construction equipment auction license is issued, the licensee shall comply with the requirements of sections 4517.17 and 4517.18 of the Revised Code.

(I) The registrar shall prescribe a "Construction Equipment Auction License Annual Report," form "BMV 4313," (October, 2012), hereinafter referred to as "annual report," available via the "Ohio Bureau of Motor Vehicles, Dealer Licensing Section" website at http://www.OhioAutoDealers.com. The licensed construction equipment auction shall certify the following information:

(1) The gross proceeds generated from auctions held at the auction site during the prior calendar year;

(2) The gross proceeds generated from the sale of motor vehicles having a gross vehicle weight of ten thousand pounds or less during the prior calendar year;

(3) Any other information reasonably prescribed by the registrar.

(J) Each licensed construction equipment auction shall file with the bureau of motor vehicles the annual report specified in paragraph (I) of this rule no later than the thirtieth day of April in the following calendar year. Failure to timely file the annual report may be grounds for the suspension of the auction's license until the annual report is filed.

(K) The registrar shall deny the application of any business for a construction equipment auction license or may revoke a license previously issued if the registrar finds that the business is in violation of any provisions of section 4517.171 of the Revised Code.

(L) Any business which has been denied a license or has had a license revoked by the registrar may appeal from the action of the registrar to the motor vehicle dealers board in the manner provided in section 4517.33 of the Revised Code.

Effective: 05/23/2013
R.C. 119.032 review dates: 05/13/2018
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.17
Rule Amplifies: R.C. 4517.16 , R.C. 4517.17 , R.C. 4517.171 , R.C. 4517.18

4501:1-3-37 Construction equipment auction required to maintain records.

(A) A construction equipment auction shall maintain the following records covering the purchase and sale of all motor vehicles having a gross vehicle weight rating of ten thousand pounds or less:

(1) The year and make of the motor vehicle;

(2) The vehicle identification number (VIN);

(3) The name and address of the previous owner;

(4) The title number and the county and state of issuance of the previous title;

(5) The odometer reading at the time of purchase;

(6) The name and address of the purchaser, the sales price, and the odometer reading at the time of sale;

(7) The odometer disclosure statement;

(8) A record of any temporary tag sold for each motor vehicle.

(B) A construction equipment auction shall maintain financial records sufficient to demonstrate that the business receives more than one million dollars in gross annual sales in Ohio and derives not more than ten per cent of its gross annual sales revenue in Ohio from the sale of motor vehicles having a gross vehicle weight rating of ten thousand pounds or less.

(C) The business records of a construction equipment auction licensee shall be maintained in an easily accessible manner and shall be open for reasonable inspection by the registrar of motor vehicles or the registrar's authorized agents for a period of not less than three years from the date of the transaction or the date of the creation of the record, whichever is later.

(D) The construction equipment auction facility shall be open to inspection by the registrar or the registrar's authorized agents at all reasonable times prior to the issuance to any license and during the term of any such license.

Effective: 05/23/2013
R.C. 119.032 review dates: 05/13/2018
Promulgated Under: 119.03
Statutory Authority: R.C. 4517.17
Rule Amplifies: R.C. 4517.16 , 4517.17 , 4517.18

4501:1-3-07 [Effective 9/9/2013] Law enforcement report required with application.

Effective: 09/09/2013
R.C. 119.032 review dates: 06/24/2013
Promulgated Under: 119.03
Statutory Authority: R.C. 4501.02
Rule Amplifies: R.C. 4517.04 , 4517.05 , 4517.06 , 4517.07 , 4517.08 , 4517.12 , 4517.13 , 4517.14
Prior Effective Dates: 6/15/62, 12/8/86, 5/9/98, 7/1/10