TOWN OF SHREWSBURY
Richard D. Carney Municipal Office Building
100 Maple Avenue
Shrewsbury, Massachusetts 01545-5398
Class 1 & 2 License Application Requirements
1) General Town of Shrewsbury application for license.
2) Form 53 (Commonwealth of MA form)
3) Letter from owner of the land granting permission to use the land (if applicant
is not the owner).
4) Site plan (scaled 1”=40ft.) showing all available parking and allocations
thereof, driveways, lighting, and location of trash containers shall be
submitted with the license application. (2) Copies of the site plan and building
floor plan reduced to either 8 ½ x 11, or if applicable, 11x17 must be submitted
with the application. Site plan must be constructed in accordance with Article
3 of the ZBA Rules & Regulations.
5) Commonwealth of Massachusetts Dept. of Industrial Accidents Workers’
Compensation Insurance Affidavit.
6) Application fee (noted on the application), made payable to the Town of
Shrewsbury. This fee covers the cost of the legal advertisement and
notification to abutters by mail.
7) All Garage, Class 1 & 2 License Holders must also apply for a special permit
from the ZBA. Applicants must appear before the Board of Selectmen for their
license before appearing before the ZBA for a special permit, however,
applicants may apply for a license and a special permit at the same time.
You must be present at the public hearing for your application to be approved. That date
will be scheduled when the application, fee and appropriate paperwork are completed and
returned. All Class I, Class II, and Garage License Holders must receive a Special Permit
(after the appeal period) from the ZBA before a license will be issued.
The Board of Selectmen’s office will request a letter from the Tax Collector stating that
there are no outstanding taxes, fees, bills, municipal charges, or betterments that the
Office of the
BOARD OF SELECTMEN
TELEPHONE: (508) 841-8508
FAX: (508) 842-0587
selectmen@shrewsburyma.gov
applicant(s) has neglected or refused to pay for a period of not less than one year. This is
subject to the conditions of Article 11-A of the Town of Shrewsbury General By-laws. The
Selectmen will also request reports from the Police Chief, Fire Chief, Zoning opinion from
the Building Inspector, and any other department having an interest in the said site and/or
use related to the application.
CLASS 2 BOND REQUIREMENT
Successful applicants for Class 2 Licenses should be informed that they will not be able to pick
up their license until they provide a copy of a bond or equivalent proof of financial responsibility
in the amount of $25,000 as required by Chapter 422 of the Acts of 2002 by the Senate and
House of Representatives of the Commonwealth of Massachusetts.
TOWN OF SHREWSBURY
Richard D. Carney Municipal Office Building
100 Maple Avenue
Shrewsbury, Massachusetts 01545-5338
USED CAR DEALER AND GARAGE LICENSE REGULATIONS
1. All Motor Vehicles on a dealer’s lot shall be properly entered in a Used Motor Vehicle Dealers
Book in a manner approved by the Registry of Motor Vehicles. (Refers to MGL Ch140, s62)
2. A
current Used Motor Vehicle Dealers Book shall be available on the licensed premises for
inspection during all normal business hours. (Refers to MGL Ch140, s62)
3. A
police officer or selectman may at any time enter upon a licensed car dealers premises and
examine all second hand motor vehicle, or parts and all books, papers and inventories relating thereto.
(Refers to MGL Ch140, s66)
4. A
ll titles shall be completely filled in and available for inspection during normal business hours. If
licensee stores titles offsite, licensee must provide the title within 24 hours, excluding Saturdays, Sundays
& holidays and shall be produced on the next business day, if requested by a police officer or selectman.
5. A
ny dealer conducting repairs on a licensed premises shall have a Garage License. (Refers to
Article 11-G of the Town of Shrewsburys General By-laws)
6. L
icensed premises shall not have junked, disabled, inoperative vehicles, or major parts thereof
stored on the licensed premises unless otherwise permitted by law.
7. A
ny change in ownership or manager must be approved by the Board of Selectmen. The current
manager must be listed on the license.
8. A temporary license holder must apply for a permanent license. The issuance of a permanent license
will only be considered after a public hearing has been held.
9.
Permits for a change of situation of the licensed premises or for additions thereto may only be granted
by the licensing board after a public hearing has been held.
10. T
he Board of Selectmen may impose restrictions on a car dealer license or garage license as the Board
may deem appropriate and in the public interest.
B
y authority of and in compliance with the provisions of Chapter 140 Section 59, of the Mass General
Laws, and amended thereto, the above rules and conditions are hereby prescribed and approved.
T
hese regulations shall be posted on the premises in a conspicuous place.
Approved 12/18/95
Office of the
BOARD OF SELECTMEN
TELEPHONE: (508) 841-8508
FAX: (508) 842-0587
selectmen@shrewsburyma.gov
OFFICE OF THE
BOARD OF SELECTMEN
Town of Shr
ewsbury
MASSACHUSETTS 01545-5398
APPLICATION FOR LICENSE
Name of person filling out application: ______________________________________________________________
Address: ______________________________________________________________________________________
Telephone: __________________________________ Cell Phone: ________________________________________
Email Address: _________________________________________________________________________________
Name of corporation or establishment: _____________________________________________________________
d/b/a Name (if applicable): _______________________________________________________________________
Location:
______________________________________________________________________________________
Number & Street Tax Plate Plot Number
I certify under the penalties of perjury that I, to my best knowledge and belief, have filed all state tax returns and
paid all state taxes required under law.
_________________________________________
___
___________________________________________
* Signature of Individual or Corporate Name By: Corporate Officer
(Mandatory) (Mandatory, if applicable)
____________________________________________ ___________________________________________
** Federal Identification Number Date: (mm/dd/year)
* This license will not be issued unless this certification clause is signed by the applicant.
** Your Federal Identification number will be furnished to the Massachusetts Department of Revenue to determine whether you have met tax filing or tax
payment obligation. Licensees who fail to correct their non-filing or delinquency will be subject to license suspension or revocation.
This request is made under the
authority of Mass. G.L. c. 62C s. 49A.
** FOR OFFICIAL USE ONLY **
This application has been
APPROVED DENIED
Date:
________________________ ________________________________
SHREWSBURY LICENSING AUTHORITY
Municipal Office Building
100 Maple Avenue
Voice: 508-841-8504
Fax: 508-842-0587
selectmen@shrewsburyma.gov
$150 Application Fee for NEW License includes Legal Advertisement and Abutter Notification (if alcohol related)
$125
Application Fee for NEW License includes Legal Advertisement and Abutter Notification (if NOT alcohol related)
Renewal Fees vary by license type.
Type of License
Alcohol (All Alcoholic Beverages)
Alcohol (Wine & Malt)
Club License
Common Victualer
Class 1 , 2 (specify)________
Garage
Dealer in Precious Metals
Entertainment
Other
Automatic Amusement (Each Device)
Billiards ( Each Table)
Theater Screen (Each Scree
n)
Bowling Alley (Each Lane)
Sunday Entertainment
Livery
Hours of Operation:
Sun________________
Mon_______________
Tue________________
Wed
_______________
Thu________________
Fri________________
Sat________________
Owner of Land:
CHECK ALL THAT APPLY
Amendment
Applicant Information Please Print Legibly
Business/Organization Name:_________________________________________________________
Address:__________________________________________________________________________
City/State/Zip:_____________________________ Phone #:________________________________
*Any applicant that checks box #1 must also fill out the section below showing their workers’ compensation policy information.
**If the corporate officers have exempted themselves, but the corporation has other employees, a workers’ compensation policy is required and such an
organization should check box #1.
I am an employer that is providing workers’ compensation insurance for my employees. Below is the policy information.
Insurance Company Name:______________________________________________________________________________
Insurer’s Address:_____________________________________________________________________________________
City/State/Zip: ________________________________________________________________________________________
Policy # or Self-ins. Lic. # Expiration Date:
Attach a copy of the workers’ compensation policy declaration page (showing the policy number and expiration date).
Failure to secure coverage as required under Section 25A of MGL c. 152 can lead to the imposition of criminal penalties of a
fine up to $1,500.00 and/or one-year imprisonment, as well as civil penalties in the form of a STOP WORK ORDER and a fine
of up to $250.00 a day against the violator. Be advised that a copy of this statement may be forwarded to the Office of
Investigations of the DIA for insurance coverage verification.
I do hereby certify, under the pains and penalties of perjury that the information provided above is true and correct.
Signature: Date:
Phone #:
Official use only. Do not write in this area, to be completed by city or town official.
City or Town: ___________________________________ Permit/License #_________________________________
Issuing Authority (circle one):
1. B
oard of Health 2. Building Department 3. City/Town Clerk 4. Licensing Board 5. Selectmen’s Offi
ce
6. Other
______
_________________________
Contact Person:_________________________________________ Phone #:_________________________________
1. I am a employer with _________ employees (full and/
or part-time).*
2. I
am a sole proprietor or partnership and have
no
em
ployees working for me in any
capacity.
[No
workers’ comp. insurance required]
3.
We are a corporation and its officers have exercised
their right of exemption per c. 152, §1(4),
and we have
no em
ployees. [No workers’ comp. insurance required]**
4.
We are a non-profit organization, staffed by volunt
eers,
with
no employees. [No workers’ comp. insurance req.]
Are you an employer? Check the appropriate box:
Business Type (required):
5.
Retail
6. Restaurant/Bar/Eating Establishment
7. Office
and/or Sales (incl. real estate, auto,
etc.)
8.
Non-profit
9.
Entertainment
10.
Manufacturing
11.
Health Care
12.
Other _____________________________
www.mass.gov/dia
The Commonwealth of Massachusetts
Department of Industrial Accidents
1 Congress Street, Suite 100
Boston, MA 02114-2017
www.mass.gov/dia
Workers’ Compensation Insurance Affidavit: General Businesses.
TO BE FILED WITH THE PERMITTING AUTHORITY.
Information and Instructions
City or Town Officials
Please be sure that the affidavit is complete and printed legibly. The Department has provided a space at the bottom
of the affidavit for you to fill out in the event the Office of Investigations has to contact you regarding the applicant.
Please be sure to fill in the permit/license number which will be used as a reference number. In addition, an applicant that
must submit multiple permit/license applications in any given year, need only submit one affidavit indicating current
policy information (if necessary). A copy of the affidavit that has been officially stamped or marked by the city or town
may be provided to the applicant as proof that a valid affidavit is on file for future permits or licenses. A new affidavit
must be filled out each year. Where a home owner or citizen is obtaining a license or permit not related to any business
or commercial venture (i.e. a dog license or permit to burn leaves etc.) said person is NOT required to complete this
affidavit.
The Department’s address, telephone and fax number:
The Commonwealth of Massachusetts
Department of Industrial Accidents
1 Congress Street
Boston, MA 02114-2017
Tel. # 617-727-4900 ext. 7406 or 1-877-MASSAFE
Fax # 617-727-7749
www.mass.gov/dia
Form Revised 02-23-15
Massachusetts General Laws chapter 152 requires all employers to provide workers’ compensation for their employees.
Pursuant to this statute, an employee is defined as “...every person in the service of another under any contract of hire,
express or implied, oral or written.”
An employer is defined as “an individual, partnership, association, corporation or other legal entity, or any two or more
of the foregoing engaged in a joint enterprise, and including the legal representatives of a deceased employer, or the
receiver or trustee of an individual, partnership, association or other legal entity, employing employees. However, the
owner of a dwelling house having not more than three apartments and who resides therein, or the occupant of the
dwelling house of another who employs persons to do maintenance, construction or repair work on such dwelling house
or on the grounds or building appurtenant thereto shall not because of such employment be deemed to be an employer.”
MGL chapter 152, §25C(6) also states that “every state or local licensing agency shall withhold the issuance or
renewal of a license or permit to operate a business or to construct buildings in the commonwealth for any
applicant who has not produced acceptable evidence of compliance with the insurance coverage required.”
Additionally, MGL chapter 152, §25C(7) states “Neither the commonwealth nor any of its political subdivisions shall
enter into any contract for the performance of public work until acceptable evidence of compliance with the insurance
requirements of this chapter have been presented to the contracting authority.”
Applicants
Please fill out the workers’ compensation affidavit completely, by checking the boxes that apply to your situation and, if
necessary, supply your insurance company’s name, address and phone number along with a certificate of insurance.
Limited Liability Companies (LLC) or Limited Liability Partnerships (LLP) with no employees other than the members
or partners, are not required to carry workers’ compensation insurance. If an LLC or LLP does have employees, a policy
is required. Be advised that this affidavit may be submitted to the Department of Industrial Accidents for confirmation of
insurance coverage. Also be sure to sign and date the affidavit. The affidavit should be returned to the city or town
that the application for the permit or license is being requested, not the Department of Industrial Accidents. Should you
have any questions regarding the law or if you are required to obtain a workers’ compensation policy, please call the
Department at the number listed below. Self-insured companies should enter their self-insurance license number on the
appropriate line.
FORM 53
THE COMMONWEALTH OF MASSACHUSETTS
Town of Shrewsbury
APPLICATION FOR A LICENSE TO BUY, SELL,
EXCHANCE
OR ASSEMBLE SECOND HAND MOTOR VEHICLES
OR PARTS THEREOF
I, the undersigned, duly authorized by the concern herein mentioned, hereby apply for a________________
class license, to Buy, Sell, Exchange or Assemble second hand motor vehicles or parts thereof, in accordance with
the provisions of Chapter 140 of the General Laws.
1. What is the name of the concern?____________________________________________________
___________________________________________________________________________________________________
Business address of concern. No.__________________________________________________ St.,
_____________________________________________________________________________City—Town.
2. Is the above concern an individual, co-partnership, an association or a corporation?_____________
_____________________________________________________________________________________
3. lf an individual, state full name and residential address.
____________________________________________________________________________________
____________________________________________________________________________________
4. If a co-partnership, state full names and residential addresses of the persons com
posing it.
________________________________________________________________________________________________
________________________________________________________________________________________________
________________________________________________________________________________________________
________________________________________________________________________________________________
________________________________________________________________________________________________
5. If an association or a corporation, state full names and residential addresses of the principal officers.
President_______________________________________________________________________
Secretary _______________________________________________________________________
Treasurer _______________________________________________________________________
6. Are you engaged principally in the business of buying, selling or exchanging motor vehicles?_________
If so, is your principal business the sale of new motor vehicles?____________________________________
Is your principal business the buying and selling of second hand motor vehicles?_______________________
Is your principal business that of a mo
tor vehicle junk dealer?_____________________________________
7. Give a complete description of all the premises to be used for the purpose of carrying on the business.
__________________________________________________________________________________________
__________________________________________________________________________________________
__________________________________________________________________________________________
__________________________________________________________________________________________
__________________________________________________________________________________________
8.
Are you a recognized agent of a motor vehicle manufacturer?_____________________________
(Yes or No)
If so, state name of manufacturer______________________________________________________
______________________________________________________________________________
9. Have you a signed contract as required by Section 58, Class 1?______________________________
(Yes or No)
10.
Have you ever applied for a license to deal in second hand motor vehicles or parts thereof? _________
(Yes or No)
If so, in what city—town______________________________________________________________
Did you receive a license?_______________________ For what year?______________
(Yes or No)
11. Has any license issued to you in Massachusetts or any other state to deal in motor vehicles or part therof
ever been suspended or revoked?____________________
(Yes or No)
____________________________________________________________________________________________
____________________________________________________________________________________________
____________________________________________________________________________________________
____________________________________________________________________________________________
Sign your name in full________________________________________
(Duly authorized to represent the concern herein mentioned)
Residence_____________________________________________
IMPORTANT
EVERY QUESTION MUST BE ANSWERED WITH
FULL INFORMATION, AND FALSE STATEMENTS
HEREIN MAY RESULT IN THE REJECTION OF
YOUR APPLICATION OR THE SUBSEQUENT
REVOCATION OF YOUR LICENSE IF ISSUED.
NOTE: lf the applicant has not held a license in the year prior to this application, they
must file a duplicate of the application with the registrar. (See Sec. 59)
APPLICANT WILL NOT FILL THE FOLLOWING BLANKS
Application after investigation_______________________________
Approved or Disapproved
License No.________________ granted ______________________________Fee $____________________
Signed _______________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
CHAPTER 140 OF THE GENERAL LAWS, TER. ED., WITH AMENDMENTS THERETO (EX
TRACT)
Section 57. No person, except one whose principal business is the manufacture and sale of new motor vehicles but
who incidentally acquires and sells second hand vehicles, or a person whose principal busine
ss is financing the purchase
of or insuring motor vehicles but who incidentally acquires and sells second hand vehicles, shall engage in the business
of buying, selling, exchanging or assembling second hand motor vehicles or parts thereof without securing a license as
provided in section fifty-nine. This section shall apply to any person engaged in the business of conducting auctions for
the sale of motor vehicles.
Section 58. Licenses granted under the following section shall be classified as follows:
Class 1. Any person who is a recognized agent of a motor vehicle manufacturer or a seller of motor vehicles made
by such manufacturer whose authority to sell the same is created by a written contract with such manufacturer or with
some person authorized in writing by such manufacturer to enter into such contract, and whose principal business is the
sale of new motor vehicles, the purchase and sale of second hand motor vehicles being incidental or secondary thereto,
may be granted an agent's or a seller's license; provided, that with respect to second hand motor vehicles purchased for
the purpose of sale or exchange and not taken in trade for new motor vehicles, such dealer shall be subject to all
provisions or this chapter and of rules and regulations made in accordance therewith applicable to holders of licenses of
class 2.
Class 2. Any person whose principal business is the buying or selling of second hand motor vehicles may be
granted a used car dealer's license.
Class 3. Any person whose principal business is the buying of second hand motor vehicles for the purpose of
remodeling, taking apart or rebuilding the same, or the buying or selling of parts of second hand motor vehicles or tires, or
the assembling of second hand motor vehicle parts, may be granted a motor vehicle junk license.
SECTION 59. The police commissioner in Boston and the licensing authorities in other cities and towns may grant licenses under this section
which will expire on January first following the date of issue unless sooner revoked. The fees for the licenses shall be fixed by the licensing board or
officer, but in no case shall exceed $100. dollars. Application for license shall be made in such form as shall be approved by the registrar of motor
vehicles, in sections fifty-nine to sixty-six, inclusive, called title registrar, and if the applicant has not held a license in the year prior to such application.
such application shall be made in duplicate, which duplicate hall be filed with the registrar. No such license shall be granted unless the licensing board
officer is satisfied from an investigation of the facts stated in the application and any other information which they may require of the applicant, that he is
a proper person to engage in the business specified in section fifty-eight in the classifications for which he has applied, that said business is or will he his
principal business, and that he has available a place of business suitable for the purpose. The license shall specify all the premises to be occupied by
the licensee for the purpose of carrying on the licensed business. Permits for a change of situation of the licensed premises or for addition thereto may
be granted at any lime by the licensing board or officer in writing, a copy of which shall be attached to the license., Cities and towns by ordinance or
by-taw may regulate the situation of the premises of licenses within class 3 as defined in section fifty-eight, and all licenses and permits issued here
under to persons within said class 3 shall be subject to the provisions of ordinances and by-laws which are hereby authorized to be made. No license or
permit shall be issued here under to a person within said class 3 until after a hearing, of which seven days notice shall have been given to the owners of
property abutting on the premises where such license or permit is proposed to be exercised. All licenses granted under this section shall be revoked by
the licensing board or officer if it appears, after hearing, that the licensee is not complying with sections fifty-seven to sixty-nine, inclusive or the rules and
regulations made there under; and no new license shall be granted to such person thereafter, nor to any person for use on the same premises, without
the approval of the registrar. The hearing may be dispensed with if the registrar notifies the licensing board or officer that a licensee is not so complying.
Any person aggrieved by any action of the licensing board or of officer refusing to grant, or revoking a license for any cause may, within ten days after
such action, appeal there from lo any justice at the superior court in the county in which the premises sought to be occupied under the license or permit
applied for are located. The justice shall, after such notice to the parties as he deems reasonable, give a summary hearing on such appeal, and shall
have jurisdiction in equity to review ail questions of fact or law and
may affirm or reverse the decision of the board or officer and may make any
appropriate decree. The decision of the justice shall be final.
APPLICATION FOR A LICENSE TO BUY, SELL,
EXCHANGE OR ASSEMBLE SECOND HAND
MOTOR VEHICLE PARTS THEREOF
Applicant Will Not Fill The Following Blanks
Application No._____________________
Class_______________ License No._____________________
Name______________________________________________
St. and No.__________________________________________
City - Town__________________________________________
Date Issued_________________________________________
Remarks____________________________________________
___________________________________________________
___________________________________________________
____________________________________________________
____________________________________________________
____________________________________________________
_____________________________________________________
_____________________________________________________
_____________________________________________________
5/31/2017 SessionLaw
https://malegislature.gov/Laws/SessionLaws/Acts/2002/Chapter422 1/4
Acts(2002)
Chapter422
ANACTRELATIVETOCERTAINMOTORVEHICLEDEALERS.
BeitenactedbytheSenateandHouseofRepresentativesinGeneralCourtassembled,andbytheauthority
ofthesame,asfollows:
SECTION1.Chapter140oftheGeneralLawsisherebyamendedbystrikingoutsection58andinserting
inplacethereofthefollowingsection:
Section58.(a)Licensesgrantedundersections59and59Ashallbeclassifiedinaccordancewith
subsections(b)to(d),inclusive.
(b) Class1.Anypersonwhoisarecognizedagentofamotorvehiclemanufacturerorasellerofmotor
vehiclesmadebysuchmanufacturerwhoseauthoritytosellthesameiscreatedbyawrittencontractwith
suchmanufacturerorwithsomepersonauthorizedinwritingbysuchmanufacturertoenterintosuch
contract,andwhoseprincipalbusinessisthesaleofnewmotorvehicles,thepurchaseandsaleofsecond
handmotorvehiclesbeingincidentalorsecondarythereto,maybegrantedanagent'soraseller'slicense;
provided,thatwithrespecttosecondhandmotorvehiclespurchasedforthepurposeofsaleorexchangeand
nottakenintradefornewmotorvehicles,suchdealershallbesubjecttoallprovisionsofthischapter
applicabletoholdersoflicensesofClass2,exceptsubsection(c),andtorulesandregulationsmadeunder
thoseprovisions;andprovidedfurther,thatsuchdealermaintainsordemonstratesaccesstorepairfacilities
sufficienttoenablehimtosatisfythewarrantyrepairobligationsimposedbysection7N!ofchapter90,and
shallremainliableforallwarrantyrepairsmadeandotherobligationsimposedbysaidsection7N!ofsaid
chapter90.
(c) Class2.Apersonwhoseprincipalbusinessisthebuyingorsellingofsecondhandmotorvehicles,a
personwhopurchasesanddisplayssecondhandmotorvehiclesforresaleinretailtransactions,andany
otherpersonwhodisplayssecondhandmotorvehiclesnotownedbyhimpursuanttoanagreementinwhich
hereceivescompensation,whethersolelyfordisplayingthevehicles,uponthesaleofeachvehicle,or
otherwise,maybegrantedausedcardealer'slicenseandshallbesubjecttothefollowingconditions:
(1) Thepersonshallobtainabond,orequivalentproofoffinancialresponsibilityasdescribedinparagraph
(5),andcontinueineffectasuretybondorotherequivalentproofoffinancialresponsibilitysatisfactoryto
themunicipallicensingauthorityintheamountof$25,000executedbyasuretycompanyauthorizedbythe
insurancedepartmenttotransactbusinessinthecommonwealth.Thebondoritsequivalentshallbeforthe
benefitofapersonwhopurchasesavehiclefromaClass2licensee,andwhosufferslossonaccountof:
(i) thedealer'sdefaultornonpaymentofvalidbankdrafts,includingchecksdrawnbythedealerforthe
purchaseofmotorvehicles;
5/31/2017 SessionLaw
https://malegislature.gov/Laws/SessionLaws/Acts/2002/Chapter422 2/4
(ii) thedealer'sfailuretodeliver,inconjunctionwiththesaleofamotorvehicle,avalidmotorvehicletitle
certificatefreeandclearofanypriorowner'sinterestsandallliensexceptaliencreatedbyorexpressly
assumedinwritingbythebuyerofthevehicle;
(iii) thefactthatthemotorvehiclepurchasedfromthedealerwasastolenvehicle;
(iv) thedealer'sfailuretodisclosethevehicle'sactualmileageatthetimeofsale;
(v) thedealer'sunfairanddeceptiveactsorpractices,misrepresentations,failuretodisclosematerialfactsor
failuretohonorawarrantyclaimorarbitrationorderinaretailtransaction;or
(vi) thedealer'sfailuretopayoffalienonavehicletradedinaspartofatransactiontopurchaseavehicle
whenthedealerhadassumedtheobligationtopayoffthelien.
(2) Recoveryagainstthebondoritsequivalentmaybemadebyanypersonwhoobtainsafinaljudgmentin
acourtofcompetentjurisdictionagainstthedealerforanactoromissiononwhichthebondisconditioned
iftheactoromissionoccurredduringthetermofthebond.Everybondshallalsoprovidethatnosuitmay
bemaintainedtoenforceanyliabilityonthebondunlessbroughtwithin1yearaftertheeventgivingriseto
thecauseofaction.
(3) Thebondoritsequivalentshallcoveronlythoseactsandomissionsdescribedinclauses(i)to(vi),
inclusive,ofparagraph(1).Thesuretyonabondshallnotbeliablefortotalclaimsinexcessofthebond
amount,regardlessofthenumberofclaimsmadeagainstthebondorthenumberofyearsthebondremained
inforce.
(4) Aseparatebondshallberequiredforeachdifferentnameunderwhichthedealerconductshisbusiness
andforeachcityortowninwhichthedealerhasaplaceofbusiness.
(5) Inlieuofthebondrequiredbythissection,themunicipallicensingauthoritymayallowthedealerto
depositcollateralintheformofacertificateofdepositorirrevocableletterofcredit,asauthorizedbythe
bankinglawsofthecommonwealth,whichhasafacevalueequaltotheamountofthebondotherwise
required.Thecollateralmaybedepositedwithorexecutedthroughanyauthorizedstatedepository
designatedbythecommissioner.Interestonthecertificateofdepositshallbepayabletothedealerwhohas
depositeditascollateral,ortoapersonasthedealerorthecertificatemaydirect.
(6) Asuretyshallprovidetothemunicipallicensingauthoritynoticeofcancellationofthebondwithin30
daysofthecancellation.
(7) Uponreceiptofnotificationfromasuretythatabondhasbeencancelled,themunicipallicensing
authorityshallnotifythelicenseethathehas10daystocomplywiththebondingrequirement.Ifthe
licenseedoesnotcomplywithinthe10dayperiod,themunicipallicensingauthorityshallrevoketheClass2
licenseandshallnotifytheregistrarwhoshallsuspendorrevokeanydealerplateissuedtothelicensee
pursuanttosection5ofchapter90.
(8) AmunicipallicensingauthorityshallnotissueorrenewaClass2licenseunlessitissatisfiedthatabond
orequivalentproofoffinancialresponsibilitymeetingtherequirementsofthissectionisineffectduringthe
termunderwhichthelicenseshallbeissuedorrenewed,andthatthelicenseemaintainsordemonstrates
accesstorepairfacilitiessufficienttoenablehimtosatisfythewarrantyrepairobligationsimposedby
section7N!ofchapter90.Ausedcardealershallremainliableforallwarrantyrepairsmadeandother
obligationsimposedbysaidsection7N¼ofsaidchapter90.
5/31/2017 SessionLaw
https://malegislature.gov/Laws/SessionLaws/Acts/2002/Chapter422 3/4
(d) Class3.Apersonwhoseprincipalbusinessisthebuyingofsecondhandmotorvehiclesforthepurpose
ofremodeling,takingapartorrebuildingandsellingthesame,orthebuyingorsellingofpartsofsecond
handmotorvehiclesortires,ortheassemblingofsecondhandmotorvehiclepartsmaybegrantedamotor
vehiclejunklicense.
(e) Theregistrarofmotorvehicles,afterconsultingtheofficeofconsumeraffairsandbusinessregulation,
shalladoptrulesandregulationsdefiningsufficientrepairfacilitiesforthepurposesofsubsection(b)and
paragraph(8)ofsubsection(c).
SECTION2.Theregulationsadoptedbytheregistrarofmotorvehiclesundersection58ofchapter140of
theGeneralLaws,astheywereinforceontheeffectivedateofthisact,shallcontinueinforceuntil
amendedasprovidedinsubsection(e)ofsaidsection58ofsaidchapter140.
ApprovedDecember24,2002.
Chrome Web Store
It looks like you haven't installed the Fill Chrome Extension Add to Chrome