Chapter 4781-11 Licenses

4781-11-01 General provisions and requirements for manufactured housing dealer, manufactured housing broker, and manufactured housing salesperson licensure.

(A) The commission shall govern the issuance, revocation, and suspension of licenses to manufactured housing dealers, manufactured housing brokers, and salespersons.

(B) For purposes of division 4781:11 of the Administrative Code, the following definitions shall apply:

(1) "Manufactured home" has the same meaning as in division (C)(4) of section 3781.06 of the Revised Code.

(2) "Manufactured housing" means manufactured homes and mobile homes.

(3) "Mobile home" has the same meaning as in division (O) of section 4501.01 of the Revised Code.

(4) "Business" includes any activities engaged in by any person for the object of gain, benefit, or advantage either direct or indirect.

(5) "Casual sale" means any transfer of a manufactured home or mobile home by a person other than a manufactured housing dealer, manufactured housing salesperson, or manufacturer to an ultimate consumer or a person who purchases the home for use as a residence.

(6) "Engaging in business" means commencing, conducting, or continuing in business, or liquidating a business when the liquidator thereof holds self out to be conducting such business; making a casual sale or otherwise making transfers in the ordinary course of business when the transfers are made in connection with the disposition of all or substantially all of the transferor's assets is not engaging in business.

(7) "Manufactured home park operator" has the same meaning as "operator" in section 4781.01 of the Revised Code.

(8) "Manufactured housing broker" means any person acting as a selling agent on behalf of an owner of a manufactured home or mobile home that is subject to taxation under section 4503.06 of the Revised Code.

(9) "Manufactured housing dealer" means any person engaged in the business of selling at retail, displaying, offering for sale, or dealing in manufactured homes or mobile homes.

(10) "Manufacturer" means a person who manufactures, assembles, or imports manufactured homes or mobile homes.

(11) "Person" has the same meaning as in section 1.59 of the Revised Code and also includes this state, any political subdivision of this state, and any other state or local body of this state.

(12) "Retail sale" or "sale at retail" means the act or attempted act of selling, bartering, exchanging, or otherwise disposing of a manufactured home or mobile home to an ultimate purchaser for the use as a residence.

(13) "Salesperson" means any individual employed by a manufactured housing dealer or manufactured housing broker to sell, display, and offer for sale, or deal in manufactured homes or mobile homes for a commission, compensation, or other valuable consideration, but does not mean any public officer performing official duties.

(14) "Ultimate purchaser" means, with respect to any new manufactured home, the first person, other than a manufactured housing dealer purchasing in the capacity of a manufactured housing dealer, who purchases such new manufactured home for purposes other than resale.

(C) Manufactured housing dealer's and manufactured housing broker's licenses; application:

(1) Each person applying for a manufactured housing dealer's license or manufactured housing broker's license shall complete and deliver to the manufactured homes commission, before the first day of April, a separate application for license for each county in which the business of selling manufactured or mobile homes is to be conducted. The application shall be in the form prescribed by the commission and accompanied by the fee established by the commission. The applicant shall sign and swear to the application that shall include, but not be limited to, all of the following:

(a) Name of applicant and location of principal place of business;

(b) Name or style under which business is to be conducted and, if a corporation, the state of incorporation;

(c) Name and address of each owner or partner and, if a corporation, the names of the officers and directors;

(d) The county in which the business is to be conducted and the address of each place of business therein;

(e) A statement of the previous history, record, and association of the applicant and of each owner, partner, officer, and director, that is sufficient to establish to the satisfaction of the commission the reputation in business of the applicant;

(f) A statement showing whether the applicant has previously applied for a manufactured housing dealer's license, manufactured housing broker's license, or manufactured housing salesperson's license, and the result of the application, and whether the applicant has ever been the holder of any such license that was revoked or suspended;

(g) If the applicant is a corporation or partnership, a statement showing whether any partner, employee, officer, or director has been refused a manufactured housing dealer's license, manufactured housing broker's license, manufactured housing salesperson's license, or, prior to July 1, 2010, a motor vehicle dealer's license, manufactured home broker's license, or motor vehicle salesperson's license, or has been the holder of any such license that was revoked or suspended.

(h) A photograph, as prescribed by the commission, of each place of business operated, or to be operated by the applicant.

(2) Each application shall be accompanied by a check or money order made payable to "Treasurer, State of Ohio", or a credit card payment (convenience fee added) in the following amounts:

(a) The original licensing fee shall be two hundred fifty dollars;

(b) The county multiple location or dealer relocation/inspection fee shall be one hundred twenty-five dollars;

(c) The replacement license fee shall be twenty-five dollars;

(d) The renewal fee shall be two hundred fifty dollars;

(e) The late renewal fee to be paid in addition to the renewal fee shall be one hundred dollars;

(f) The certified copy fee shall be twenty-five dollars; and

(g) The business name change, license type change, and/or change in business style or type of business shall be twenty-five dollars;

(3) Incomplete applications shall be held open for six months following notification of incomplete requirements by regular mail, facsimile or email. After five months, a final notice of incomplete application shall be mailed by certified mail, return receipt requested. If at the end of the six month period the application remains incomplete, it shall be considered abandoned and the applicant shall be required to submit a new application, including any fees.

(D) Manufactured housing salesperson's licenses; application:

(1) Each person applying for a manufactured housing salesperson's license shall complete and deliver to the manufactured homes commission before the first day of July an application for license. The application shall be in the form prescribed by the commission and shall be accompanied by the fee established by the commission. The applicant shall sign and swear to the application that shall include, but not be limited to, all of the following:

(a) Name and post-office address of the applicant;

(b) Name and post-office address of the manufactured housing dealer or manufactured housing broker for whom the applicant intends to act as salesperson;

(c) A statement of the applicant's previous history, record, and association, that is sufficient to establish to the satisfaction of the commission the applicant's reputation in business;

(d) A statement as to whether the applicant intends to engage in any occupation or business other than that of a manufactured housing salesperson;

(e) A statement as to whether the applicant has ever had any previous application for a manufactured housing salesperson license refused or, prior to July 1, 2010, any application for a motor vehicle salesperson license refused, and whether the applicant has previously had a manufactured housing salesperson or motor vehicle salesperson license revoked or suspended;

(f) A statement as to whether the applicant was an employee of or salesperson for a manufactured housing dealer or manufactured housing broker whose license was suspended or revoked;

(g) A statement of the manufactured housing dealer or manufactured housing broker named therein, designating the applicant as the dealer's or broker's salesperson; and

(h) A report sent directly from the state bureau of criminal investigation.

(2) Each application shall be accompanied by a check or money order made payable to "Treasurer, State of Ohio", or a credit card payment (convenience fee added) in the following amounts:

(a) The original licensing fee shall be one hundred fifty dollars;

(b) The replacement license fee shall be twenty-five dollars;

(c) The renewal fee shall be one hundred fifty dollars;

(d) The late renewal fee to be paid in addition to the renewal fee shall be seventy-five dollars; and

(e) The transfer license fee shall be twenty-five dollars.

(3) Incomplete applications shall be held open for six months following notification of incomplete requirements by regular mail, facsimile or email. After five months, a final notice of incomplete application shall be mailed by certified mail, return receipt requested. If at the end of the six month period the application remains incomplete, it shall be considered abandoned and the applicant shall be required to submit a new application, including any fees.

Effective: 12/01/2012
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.01 , 4781.17
Prior Effective Dates: 7/1/2010, 6/2/2011

4781-11-01.1 Code of ethics for manufactured home dealers, brokers, and salespersons.

(A) General

(1) To safeguard the health and safety of the public and the state of Ohio, to maintain integrity and high standards of skills and practice in the sale of manufactured homes, the following rules of professional conduct, promulgated in accordance with Chapter 4781. of the Revised Code, shall be binding upon every person holding a license as a manufactured home dealer, broker, or salesperson in Ohio.

(2) The manufactured home dealer, broker, or salesperson is charged with having knowledge and understanding of Chapter 4781. of the Revised Code and its rules for his or her conduct. Such knowledge shall encompass the understanding that the sale of manufactured homes, is a privilege, as opposed to a right, and the licensee shall be forthright and candid in statements or written responses to the commission or its designee on matters pertaining to professional conduct.

(B) Code of ethics for manufactured homes dealers, brokers, or salespersons

(1) The manufactured home dealer, broker, or salesperson shall protect the health and safety of the public and colleagues in the performance of professional duties and conform to the highest standards of professional conduct.

(2) The manufactured home dealer, broker, or salesperson shall at all times act with complete integrity for each client and shall be honest in all dealings with customers and the public.

(3) The manufactured home dealer, broker, or salesperson shall respond promptly to all complaints.

(4) The manufactured home dealer, broker, or salesperson shall comply with all federal, state, and local laws and regulations related to the sale, transfer, or movement of a manufactured home.

(5) The dealer, broker, or salesperson shall maintain current knowledge of the products, methods, techniques and technology associated with the sale of manufactured homes and with related business practices.

(6) The manufactured home dealer, broker, or salesperson who has knowledge or reason to believe that another person or firm is guilty of violating any of the provisions of Chapter 4781. of the Revised Code or the rules promulgated thereunder, shall immediately notify the commission in writing.

(7) The manufactured home dealer, broker, or salesperson shall not directly or indirectly pay, solicit or offer any bribe or payment for professional employment or to influence favorable results.

(8) The manufactured home dealer, broker, or salesperson shall not falsify or permit misrepresentations of his or her professional qualifications.

(9) The manufactured home dealer, broker, or salesperson shall ensure that any advertisements, brochures, or other solicitations do not misrepresent pertinent facts with the intent to mislead any member of the public.

(C) Conviction of a felony or the revocation or suspension of a license in another jurisdiction for conduct that would violate any of part of this rule if it occurred in the state of Ohio may be grounds for the commission to charge the licensee with a violation of this rule.

Effective: 12/01/2012
R.C. 119.032 review dates: 12/01/2017
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.18

4781-11-02 Denial of licensure.

(A) The executive director of the commission or the commission shall deny the application of any person for a license as a manufactured housing dealer or manufactured housing broker and refuse to issue the license if the executive director of the commission or the commission finds that any of the following is true of the applicant:

(1) The applicant has made any false statement of a material fact in the application.

(2) The applicant has not complied with Chapter 4781. of the Revised Code or the rules adopted by the commission under that chapter.

(3) The applicant is of bad business repute or has habitually defaulted on financial obligations.

(4) The applicant has been guilty of a fraudulent act in connection with selling or otherwise dealing in manufactured housing or in connection with brokering manufactured housing.

(5) The applicant has entered into or is about to enter into a contract or agreement with a manufacturer or distributor of manufactured homes that is contrary to the requirements of this chapter.

(6) The applicant is insolvent.

(7) The applicant is of insufficient responsibility to ensure the prompt payment of any final judgments that might reasonably be entered against the applicant because of the transaction of business as a manufactured housing dealer or manufactured housing broker during the period of the license applied for, or has failed to satisfy any such judgment.

(8) The applicant has no established place of business that, where applicable, is used or will be used for the purpose of selling, displaying, offering for sale or dealing in manufactured housing at the location for which application is made.

(9) Within less than twelve months prior to making application, the applicant has been denied a manufactured housing dealer's license or manufactured housing broker's license, or has had any such license revoked.

(B) The executive director of the commission or the commission shall deny the application of any person for a license as a salesperson and refuse to issue the license if the executive director of the commission or the commission finds that any of the following is true of the applicant:

(1) The applicant has made any false statement of a material fact in the application.

(2) The applicant has not complied with Chapter 4781. of the Revised Code or the rules adopted by the commission under that chapter.

(3) The applicant is of bad business repute or has habitually defaulted on financial obligations.

(4) The applicant has been guilty of a fraudulent act in connection with selling or otherwise dealing in manufactured housing.

(5) The applicant has not been designated to act as salesperson for a manufactured housing dealer or manufactured housing broker licensed to do business in this state under Chapter 4781. of the Revised Code, or intends to act as salesperson for more than one licensed manufactured housing dealer or manufactured housing broker at the same time, unless the licensed dealership is owned or operated by the same corporation, regardless of the county in which the dealership's facility is located.

(6) The applicant holds a current manufactured housing dealer's or manufactured housing broker's license issued under Chapter 4781. of the Revised Code, and intends to act as salesperson for another licensed manufactured housing dealer or manufactured housing broker.

(7) Within less than twelve months prior to making application, the applicant has been denied a salesperson's license or had a salesperson's license revoked.

(8) The applicant was salesperson for, or in the employ of, a manufactured housing dealer or manufactured housing broker at the time the dealer's or broker's license was revoked.

(C) If an applicant for a manufactured housing dealer or manufactured housing broker's license is a corporation or partnership, the commission may refuse to issue a license if any officer, director, or partner of the applicant has been guilty of any act or omission that would be cause for refusing or revoking a license issued to such officer, director, or partner as an individual. The commission's finding may be based upon facts contained in the application or upon any other information the commission may have.

(D) Notwithstanding paragraph (A)(4) of this rule, the commission shall not deny the application of any person and refuse to issue a license if the commission finds that the applicant is engaged, or will engage, in the business of selling at retail any new manufactured homes and demonstrates that the applicant has posted a bond, surety, or certificate of deposit with the commission in an amount not less than one hundred thousand dollars for the protection and benefit of the applicant's customers.

(E) A decision to deny the application of any person for a license as a manufactured housing dealer or manufactured housing broker or as a salesperson and refuse to issue the license made by the executive director of the commission or the commission under this section may be based upon any statement contained in the application or upon any facts within the executive director of the commission or the commission's knowledge.

(F) Immediately upon denying an application for any of the reasons in this section, the commission shall enter a final order together with the commission's findings. If the application is denied by the executive director of the commission, the executive director of the commission shall enter a final order together with the director's findings and certify the same to the commission. The commission shall issue to the applicant a written notice of refusal to grant a license that shall disclose the reason for denial.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04 and 4781.05
Rule Amplifies: 4781.18

4781-11-03 License issuance.

At the time the commission or the executive director of the commission grants the application of any person for a license as a manufactured housing dealer, manufactured housing broker, or manufactured housing salesperson, the commission shall issue to the person a license that includes the name and post-office address of the person licensed. If a manufactured housing dealer or manufactured housing broker has more than one place of business in a county, the dealer or broker shall make application, in such form as the commission prescribes, for a certified copy of the license issued to the dealer or broker for each place of business in the county.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04 and 4781.05
Rule Amplifies: 4781.18 and 4781.19

4781-11-04 Replacement license.

In the event of the loss, mutilation, or destruction of a manufactured housing dealer's license, manufactured housing broker's license, or manufactured housing salesperson's license, any licensee may make application to the commission, in the form prescribed by the commission, for a duplicate copy thereof and pay a fee of twenty-five dollars.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.19

4781-11-05 License renewal.

(A) All manufactured housing dealers' licenses and all manufactured housing brokers'

licenses, issued or renewed shall expire biennially on the thirty-first day of March, unless previously suspended or revoked. Before the first day of April in the year that the license expires, each licensed manufactured housing dealer and manufactured housing broker shall file an application for the renewal of such license prior to the date of expiration of the license. The fee required for renewal of a license shall be the same fee as that charged for the issuance of an original license at the time of application and shall accompany the application.

(B) All manufactured housing salespersons' licenses issued or renewed shall expire biennially on the thirtieth day of June, unless previously suspended or revoked. Before the first day of July in the year that the license expires, each licensed manufactured housing salesperson shall file an application for the renewal of such license. The fee required for renewal of a license shall be the same fee as that charged for the issuance of an original license at the time of application and shall accompany the application.

(C) The commission shall provide the licensee the renewal form. The notice and an accompanying renewal application shall be provided to the licensee by regular mail, facsimile, or email to the licensee's address in the commission's records at least thirty days prior to the expiration of the license.

(D) The commission may renew the license if the licensee meets the following requirements:

(1) Submits the renewal form and the renewal fee, or late fee as set forth in rule 4781-11-01 of the Administrative Code, if any, prior to the license date of expiration or, for applications completed on-line, by midnight on or before the date of expiration or earlier with the renewal fee;

(2) Signs a statement regarding felony or other criminal convictions; and

(3) Demonstrates compliance with the requirements of Chapter 4781. of the Revised Code and commission rules.

(E) Any renewal application that is postmarked or completed on-line after the renewal deadline shall include the renewal fee and late fee, as set forth in rule 4781-11-01 of the Administrative Code.

(F) Each salesperson who complies with the renewal requirements shall receive a new identification card.

(G) Failure to timely renew

(1) A licensee who fails to renew in accordance with the commission rules after the renewal deadline, shall be automatically placed on lapsed status. If licensee fails to activate their license under lapsed status within twenty-four months, the licensee shall be required to reapply in accordance with rule 4781-8-01 of the Administrative Code, including all applicable fees.

(2) "Good cause" waivers or extensions

(a) The commission may extend the renewal period and may waive the late renewal fee in cases of certified illness, disability, military service, foreign residence, or for good cause that prevents timely renewal. Waivers or extensions of time shall be determined by the commission or its designee on a case-by-case basis.

(b) If the commission grants an extension of time for renewal, the license shall not be reissued until the licensee has completed the renewal process as required by the commission.

(c) For the purpose of this rule, "good cause" means any non-reoccurring facts or circumstances outside the control of the licensee that hindered or prevented the licensee from renewing in a timely manner.

Effective: 12/01/2012
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.19
Prior Effective Dates: 7/1/2010

4781-11-06 Display of license.

Each manufactured housing dealer and manufactured housing broker shall keep the license or a certified copy thereof and a current list of the dealer's or the broker's licensed salespersons, showing the names, addresses, and serial numbers of their licenses, posted in a conspicuous place in each place of business. Each salesperson shall carry the salesperson's license or a certified copy thereof and shall exhibit such license or copy upon demand to any inspector of the commission, state highway patrol trooper, police officer, or person with whom the salesperson seeks to transact business as a manufactured housing salesperson.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.19

4781-11-07 Notification of change of information.

(A) Each licensed manufactured housing dealer and manufactured housing broker shall notify the manufactured homes commission of any change in status as a manufactured housing dealer or manufactured housing broker during the period for which the dealer or broker is licensed, if the change of status concerns either of the following:

(1) Personnel of owners, partners, officers, or directors;

(2) Location of an office or principal place of business.

(B) The notification required by paragraph (A) of this rule shall be made by filing with the commission, within fifteen days after the change of status, a supplemental statement in a form prescribed by the commission showing in what respect the status has been changed.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.23

4781-11-08 Written contract requirements.

(A) Every retail sale of a manufactured home or mobile home shall be preceded by a written contract that shall contain all of the agreements of the parties and shall be signed by the buyer and the seller. The seller, upon execution of the contract and before the delivery of the manufactured or mobile home, shall deliver to the buyer a copy of the contract that shall clearly describe all of the following:

(1) The home sold to the buyer, including, where applicable, its vehicle identification number;

(2) The sale price of the home, and, if applicable, the amount paid down by the buyer;

(3) The amount credited to the buyer for any trade-in and a description thereof;

(4) The amount of any finance charge;

(5) The amount charged for any home insurance and a statement of the types of insurance provided by the policy or policies;

(6) The amount of any other charge and a specification of its purpose;

(7) The net balance of payment due from the buyer including the terms of the payment of the net balance.

(8) The circumstances related to the requirement of an earnest money deposit, including, but not limited to, the amount and the terms and conditions under which the earnest money deposit is refundable.

(B) A manufactured housing dealer may contract for and receive a documentary service charge for a retail sale of a manufactured home or mobile home. The documentary service charge shall be specified in writing without itemization of the individual services provided and shall not be more than the lesser of the following:

(1) The amount allowed in a retail installment contract;

(2) Ten per cent of the amount the buyer is required to pay pursuant to the contract, excluding tax, title, and registration fees, and any negative equity adjustment.

(C) This rule does not apply to a casual sale of a manufactured home or mobile home.

Effective: 12/01/2012
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.24
Prior Effective Dates: 7/1/2010

4781-11-09 Manufactured housing dealer net worth and bond requirement.

No manufactured housing dealer shall be issued a manufactured housing dealer's license or permitted to operate under such a license unless the manufactured housing dealer has a net worth, verifiable upon request by the commission, in the sum of at least seventy-five thousand dollars. The manufactured housing dealer shall also purchase and maintain a bond in the amount of twenty-five thousand dollars of a surety company authorized to transact business in this state, to which claims may be made to:

(A) Recover any loss a purchaser(s) or prospective purchaser(s) may experience from a loss of their financial down payment due to the dealer's inability to fulfill its contractual obligations to the purchaser(s) or potential purchaser(s); and

(B) Recover any loss incurred by the purchaser, or prospective purchaser, as a result of a conviction of a fraudulent act in a court of competent jurisdiction committed by the applicant, licensee, representative, or salesperson.

Effective: 06/02/2011
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.18(A)(7)
Prior Effective Dates: 07/01/2010

4781-11-10 Manufactured housing broker bond requirements.

Every applicant for a manufactured housing broker license and every licensed manufactured housing broker shall purchase and maintain a bond in the amount of twenty-five thousand dollars of a surety company authorized to transact business in this state, to which claims may be made to:

(A) Recover any loss a purchaser or prospective purchaser may experience concerning the down payment toward the purchase of a manufactured housing;

(B) Recover any loss a purchaser or prospective purchaser may experience as a result of the misuse by the manufactured housing broker of a noninterest-bearing special or trust account of deposits or of any funds that are legally required to be deposited therein;

(C) Satisfy any person who suffers a loss because taxes were not collected or paid by the manufactured housing broker on the purchase of manufactured housing;

(D) Recover any loss incurred by the purchaser or prospective purchaser, as a result of a conviction of a fraudulent act in a court of competent jurisdiction committed by the applicant, licensee, representative, or salesperson.

Effective: 06/02/2011
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.25
Prior Effective Dates: 07/01/2010

4781-11-11 Manufactured housing broker special or trust bank account.

(A) Each person licensed as a manufactured housing broker shall at all times maintain a special or trust bank account that is noninterest-bearing, is separate and distinct from any personal or other account of the manufactured housing broker, and into which shall be deposited and maintained all escrow funds, security deposits, and other moneys received by the manufactured housing broker in a fiduciary capacity. The depository where special or trust accounts are maintained in accordance with this rule shall be located in Ohio.

(B) Upon renewal, every licensed manufactured housing broker shall submit written proof to the commission of the continued maintenance of the special or trust account required to be maintained by this chapter. The written proof shall set forth that:

(1) The special or trust bank account is noninterest-bearing;

(2) The special or trust bank account is separate and distinct from any personal or other account of the manufactured housing broker;

(3) The dates of existence of the account; and

(4) The depository where the special or trust accounts are maintained is located in the state of Ohio.

Effective: 06/02/2011
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.25
Prior Effective Dates: 07/01/2010

4781-11-12 Salesperson license suspension, reinstatement, and transfer.

(A) Any salesperson's license shall be suspended upon:

(1) The termination, suspension, or revocation of the license of the manufactured housing dealer or manufactured housing broker for whom the salesperson is acting; or

(2) The salesperson leaving the service of a licensed manufactured housing dealer or manufactured housing broker.

(B) If the salesperson's license was suspended due to provisions of paragraph (A)(1) or (A)(2) of this rule, the licensed salesperson may make application to the commission pursuant to the requirements of paragraphs of rule 4781:11-01 of the Administrative Code to have the salesperson's license reinstated, transferred, and registered as a salesperson for another dealer or broker. If the information contained in the application is satisfactory to the commission, the commission shall reinstate, transfer, or register the salesperson's license as a salesperson for other dealer or broker. The fee for the reinstatement and transfer of a salesperson's license is twenty-five dollars.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.21

4781-11-13 Investigation initiation.

(A) The commission may, upon its own motion, investigate any license holder for alleged violations of law or of the rules of this commission. 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 commission shall, upon verified written complaint of any person filed with the commission, investigate as to the matters complained of, and if such investigation develops any apparent violation of the laws or of the rules of this commission, such license holder shall be informed that reasonable grounds for suspension or revocation of the license exist.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.21

4781-11-14 Complaint procedure.

(A) Any person who believes that a manufactured housing dealer or a manufactured housing broker or a manufactured housing salesperson has violated any provision of Chapter 4781. of the Revised Code or the commission rules, may file a verified or unverified written complaint with the commission.

(B) Upon receipt of a written complaint, the commission or its designee shall follow the following procedure:

(1) Send an acknowledgement letter to the complainant and the licensee requesting the licensee to respond to the petition and may request any additional information if necessary.

(2) The executive director of the commission or his or her designee shall review the complaint, to determine if further information or investigation is needed. However, if the written complaint is verified, there shall be an investigation.

(3) The executive director or his or her designee shall report to the commission the facts of the review of the complaint. The commission may take the following action:

(a) Close with no further action;

(b) Refer for further investigation; or

(c) Refer for disciplinary action against a licensee.

(4) The commission or its designee may initiate an investigation inspection of a licensee on its own motion to determine whether the licensee is in compliance with Chapter 4781. of the Revised Code and the rules promulgated thereunder.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.21

4781-11-15 Adjudication process.

(A) The commission shall determine the need for adjudication hearings in accordance with sections 119.06 to 119.13 of the Revised Code.

(1) After a denial, revocation, or suspension of a license issued pursuant to Chapter 4781. of the Revised Code, the commission shall notify the licensee or applicant of their right to request a hearing. The notice shall be in writing and sent by certified mail, return receipt requested.

(2) The notice shall include:

(a) The charges or reasons for the denial, suspension or revocation;

(b) The applicable laws or rules directly involved; and

(c) A statement informing the licensee or applicant that:

(i) The licensee or applicant is entitled to a hearing if a written petition is received by the manufactured homes commission within thirty days of the date the notice was mailed. If no appeal is taken within thirty days of receipt of the order, the order is final and conclusive;

(ii) All appeals must be by petition in writing and verified under oath by the applicant whose application for license was being revoked, suspended, denied, or not renewed, and must set forth the reason for the appeal and the reason why, in the petitioner's opinion, the order is not correct. The original and at least one copy shall be filed with the commission. The petition shall include a copy of the order from which the appeal is taken.

(iii) The licensee or applicant may appear in person or be represented by an attorney;

(iv) The licensee or applicant may choose to present their position, argument, or contentions in writing; and

(v) The licensee or applicant may present evidence, and examine witnesses appearing on the licensee or applicant's behalf and cross-examine the commission's witnesses at the hearing.

(3) Upon receiving a request within thirty days of the date of the mailing of the notice for hearing from the licensee or applicant, the commission or its executive director shall immediately set the date, time, and location of the hearing. The date set for hearing shall be within seven and fifteen days of receiving the request for hearing, unless continued by the commission on its own motion or continued by agreement of both parties.

(4) The executive director may issue subpoenas for any witnesses or to compel the production of any books, records, or papers in accordance with Chapter 119. of the Revised Code upon request of the licensee, applicant, or legal counsel to the commission. Such request for subpoenas shall be made no later than fourteen days prior to the date of the adjudication hearing. The service and enforcement of subpoenas shall be made in accordance with Chapter 119. of the Revised Code.

(5) A licensee, applicant or representative of the licensee or applicant may request a continuance of the scheduled hearing by submitting a written request no later than fourteen days prior to the scheduled hearing date. The executive director may grant a continuance upon good cause.

(B) At any hearing before the commission, 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 commission.

(C) In all hearings before the commission, the procedure shall be as follows:

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

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

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

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

(5) The commission may in its discretion hear arguments.

(6) The commission may in its discretion request or permit the filing of briefs.

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

(E) The commission may call the license holder to testify under oath as upon cross-examination.

(F) 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 commission ten copies.

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

(H) The decision of the commission 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.

(I) The commission shall keep a docket and enter into such docket all cases before the commission. Said docket shall be open to public inspection.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.21

4781-11-16 Manufactured housing broker business establishment.

(A) A manufactured housing broker shall have an established place of business that shall include an office that is permanent in nature, with office equipment and supplies that are sufficient to assist in conducting the business of brokering manufactured housing year round. 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 manufactured housing broker, electric lighting, and heating that is sufficient and reasonable for a retail office environment. An established place of business that is used for brokering previously owned manufactured housing shall be considered used exclusively for that purpose even though its facility is located in a manufactured home park or office complex, and even though rent and other activities related to operating a manufactured home park take place at the same location.

(B) The office shall be clearly identified, easily accessible, and open to the public, a minimum of thirty hours a week, at least six of which shall occur Monday through Friday. The office shall be kept neat and orderly at all times, and shall not be used as storage or other utility area. The office shall be separate from a personal residence.

(C) The business hours shall be legible and posted in a conspicuous place near the entrance of the office.

(D) The office shall be staffed at all posted hours by an owner, partner, officer or licensed salesperson.

Effective: 07/01/2010
R.C. 119.032 review dates: 06/21/2015
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.18

4781-11-17 Manufactured housing dealer business establishment.

(A) A manufactured housing dealer shall have an established place of business that shall include an office that is permanent in nature, with office equipment and supplies that are sufficient to assist in conducting the business of selling manufactured housing year round. 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 manufactured housing dealer, electric lighting, and heating that is sufficient and reasonable for a retail office environment. An established place of business that is used for selling manufactured housing shall be considered used exclusively for that purpose even though its facility is located in a manufactured home park or office complex, and even though rent and other activities related to operating a manufactured home park take place at the same location. The dealer's established place of business in a manufactured home park shall be staffed by someone licensed and regulated under this chapter who could reasonably assist any retail customer, with or without an appointment, but such established place of business need not satisfy office, size, display lot size, and physical barrier requirements as referenced in this chapter.

(B) The office shall be clearly identified, easily accessible, and open to the public, a minimum of thirty hours a week, at least six of which shall occur Monday through Friday. The office shall be kept neat and orderly at all times, and shall not be used as storage or other utility area. The office shall be separate from a personal residence. If the dealership is located in a manufactured home park, posted office hours must be adhered to, however, the salesperson is allowed to be out of the office during posted office hours if there are instructions on the door on how to reach the salesperson. The salesperson must be available to reasonably assist customers with or without an appointment. The office for dealerships located in manufactured home parks can be in a model home or an office. If, however, the commission's investigation reveals that the dealer applicant's local area would be better served, the commission may grant the applicant a manufactured housing dealer license if the applicant has substantially complied with the provisions laid forth in this chapter.

(C) The business hours shall be legible and posted in a conspicuous place near the entrance of the office.

(D) An established place of business which shall include a lot of at least three thousand five hundred square feet, not including driveways, with adequate ground cover of a hard surface (gravel, concrete, etc.) to prevent the collection of dust, mud, water, or other unsightly conditions.

(E) The display lot must be separated from any other business or residence with a permanent physical barrier that is sufficient to deter normal vehicular and pedestrian traffic. The barrier may not be able to be moved or removed.

(F) A permanent office of at least one hundred eighty square feet of usable office area, located on the display lot, which shall be kept in a neat and orderly fashion. The office must include the following:

(1) Desk;

(2) Chair;

(3) Filing cabinet;

(4) Electric lighting sufficient for an office;

(5) Heating sufficient for an office;

(6) Telephone, in service at all times, listed and answered in the dealership's name,

(G) A sign showing the exact name of the business as it appears on the application In the event the manufactured housing dealer is located in a manufactured home park, the signage can be in the name of the manufactured home park. The manufactured housing dealer shall also provide sufficient disclosure to all purchasers and potential purchasers that the manufactured housing dealer is licensed by the commission to deal in manufactured homes. This disclosure shall include the actual name of the authorized licensee as provided by the applicant to the commission. At the time of application, the applicant must provide clear photographs (via mail or email) of the location showing: (1) the lot, (2) the office (inside and outside), and (3) business name sign, including any registered trade names. No applicant shall be issued a license unless their application shall show the business for which the license is sought is equipped with a suitable sign, property maintained and prominently displayed, and permanent, identifying the ownership of said business in the same name in which the application is filed. Sign letters identifying the business shall be no less than six inches high.

(H) The office shall be staffed at all posted hours by an owner, partner, officer or licensed salesperson.

Effective: 06/02/2011
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.18
Prior Effective Dates: 07/01/2010

4781-11-18 Record retention.

(A) A manufactured housing dealer and a manufactured housing broker shall maintain the following records of all manufactured housing purchased, leased and sold:

(1) Name and address of the previous owner;

(2) Serial number where applicable (vehicle identification number);

(3) Title number, county and state;

(4) Year and make of said manufactured housing;

(5) A purchase agreement for each manufactured housing sold, which shall include a description of the manufactured housing, the name, address, and phone number of the purchaser, the address where the home is going to if different than the purchaser's address, the sales price, and may include the manufactured housing dealer's or manufactured housing broker's permit number;

(6) Lease contracts and security agreements.

(B) Records must be maintained and easily accessible for a period of three years by those holding a license granted under Chapter 4781. 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 commission.

Effective: 06/02/2011
R.C. 119.032 review dates: 10/01/2014
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.04
Prior Effective Dates: 07/01/2010

4781-11-19 Prohibited activities.

(A) Except as provided in paragraph (E) of this rule, no person shall do any of the following:

(1) Engage in the business of displaying or selling at retail manufactured homes or mobile homes or assume to engage in that business, unless the person is licensed as a manufactured housing dealer under Chapter 4781. of the Revised Code, or is a salesperson licensed under Chapter 4781. of the Revised Code and employed by a licensed manufactured housing dealer;

(2) Make more than five casual sales of manufactured homes or mobile homes in a twelve-month period without obtaining a license as a manufactured housing dealer under Chapter 4781. of the Revised Code;

(3) Purchase a manufactured home directly from the manufacturer without obtaining a license as a manufactured housing dealer under Chapter 4781. of the Revised Code;

(4) Engage in the business of brokering manufactured homes unless that person is licensed as a manufactured housing broker under Chapter 4781. of the Revised Code or licensed as a real estate broker or salesperson pursuant to Chapter 4735. of the Revised Code.

(B) Except as provided in this division, no manufactured housing dealer shall sell, display, offer for sale, or deal in manufactured homes or mobile homes at any place except an established place of business that is used exclusively for the purpose of selling, displaying, offering for sale, or dealing in manufactured homes or mobile homes.

(C) No manufactured housing broker shall engage in the business of brokering manufactured or mobile homes at any place except an established place of business that is used exclusively for the purpose of brokering manufactured and mobile homes.

(D) A place of business used for the brokering or sale of manufactured homes or mobile homes is considered to be used exclusively for brokering, selling, displaying, offering for sale, or dealing in manufactured or mobile homes, even though industrialized units, as defined by section 3781.06 of the Revised Code, are brokered, sold, displayed, offered for sale, or dealt at the same place of business.

(E) If the licensed manufactured housing dealer is a manufactured home park operator, then all of the following apply:

(1) An established place of business that is located in the operator's manufactured home park and that is used for selling, leasing, and renting manufactured homes and mobile homes in that manufactured home park is considered to be used exclusively for that purpose, even though rent and other activities related to the operation of the manufactured home park take place at the same location or office.

(2) The dealer's established place of business in the manufactured home park shall be staffed by someone licensed and regulated under this chapter who could reasonably assist any retail customer with or without an appointment, but such established place of business need not satisfy office size, display lot size, and physical barrier requirements applicable to other used motor vehicle dealers.

(3) The manufactured and mobile homes being offered for sale, lease, or rental by the dealer may be located on individual rental lots inside the operator's manufactured home park.

(F) Nothing in this rule shall be construed as prohibiting the sale of a new or used manufactured or mobile home located in a manufactured home park by a licensed manufactured housing dealer.

(G) Nothing in this rule shall be construed to prohibit persons licensed under this Chapter 4781. of the Revised Code from making sales calls.

(H) This chapter does not apply to mortgagees selling at retail only those manufactured homes or mobile homes that have come into their possession by a default in the terms of a mortgage contract.

(I) When a partnership licensed under Chapter 4781. of the Revised Code is dissolved by death, the surviving partners may operate under the manufactured housing dealer license for a period of sixty days, and the heirs or representatives of the deceased persons and receivers or trustees in bankruptcy appointed by any competent authority may operate under the license of the person succeeded in possession by that heir, representative, receiver, or trustee in bankruptcy.

Effective: 12/01/2012
R.C. 119.032 review dates: 12/01/2017
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.16

4781-11-20 Foreign business license.

Any person whose principal place of business is located outside of Ohio, and who is not otherwise required to be licensed pursuant to Chapter 4781. of the Revised Code, shall not sell at retail, display, offer for sale, or deal in manufactured housing that is to be delivered into Ohio unless:

(A) The person is issued a foreign business license upon submission and approval of an application to the commission on a form prescribed by the commission; and

(B) The person is registered with the Ohio secretary of state to transact business in the state of Ohio.

Effective: 12/01/2012
R.C. 119.032 review dates: 12/01/2017
Promulgated Under: 119.03
Statutory Authority: 4781.04
Rule Amplifies: 4781.16