32-7A-4.1. Application required--Contents.

Any person selling manufactured homes or mobile homes pursuant to the requirements of this chapter shall file with the department, upon forms provided by the department, an application including the following information:

(1)    The name and address of the applicant;

(2)    The name of the firm or copartnership, with the names and addresses of all members, if the applicant is a firm or copartnership;

(3)    The name of the corporation or limited liability company, with the names and addresses of the principal officers or limited liability company, if the applicant is a corporation or limited liability company;

(4)    The exact location of the place of business and, if owned by the applicant, when acquired. If the place of business is leased, a true copy of the lease shall accompany the application;

(5)    A certification that the location is the place where the applicant keeps and maintains books, records, and files necessary to conduct business, which shall be available at all reasonable hours to inspection by the department;

(6)    A consent to allow periodic inspections of the dealership by the department;

(7)    A description of the principal place of business and any supplemental lots;

(8)    A statement that the applicant is either franchised by a manufacturer of manufactured homes or mobile homes, in which case the brand name of each home that the applicant is franchised to sell shall be included, or is a used manufactured home or mobile home dealer;

(9)    The applicant's qualifications and business history, including whether the applicant, or any director, officer, member, limited or general partner, controlling shareholder, or affiliate has ever been adjudged bankrupt or insolvent, or has any unsatisfied court judgments outstanding against them;

(10)    If the applicant, or any director, officer, member, limited or general partner, controlling shareholder, or affiliate, has been convicted of a crime within the previous ten years that either related directly to the business for which the license is sought or involved fraud, misrepresentation, or misuse of funds, or has suffered a judgment in a civil action involving fraud, misrepresentation or conversion within the previous five years or has had any government issued license or permit suspended or revoked as a result of an action brought by federal or state governmental agency in this or any other state within the last five years;

(11)    Such other information as the department may require; and

(12)    Verification as to the accuracy of the information provided by the applicant.

Source: SL 1986, ch 251, § 7; SL 2014, ch 139, § 8.

32-7A-4.2. Grounds for denial of license or application of §§ 32-7A-4.3 to 32-7A-4.8.

The department may deny any application or apply the provisions of §§ 32-7A-4.3 to 32-7A-4.8, inclusive, on any license issued under the provisions of this chapter, for any of the following:

(1)    Commission of fraud or willful misrepresentation in the application for or in obtaining a license;

(2)    A previous manufacturer or dealer license revocation in this or any other state;

(3)    A violation of any law of this state which relates to dealing in manufactured homes or mobile homes;

(4)    Failure to comply with any administrative rule promulgated by the department;

(5)    Perpetration of a fraud upon any person as a result of dealing in manufactured homes or mobile homes;

(6)    Failure to allow department inspections, including initial and annual inspections, complaint investigations and necessary follow-up inspections;

(7)    Misrepresentation through false, deceptive, or misleading statements with regard to the sale or financing of manufactured homes or mobile homes which a dealer has, or causes to have, advertised, printed, displayed, published, distributed, broadcast, televised, or made in any manner with regard to the sale or financing of manufactured homes or mobile homes;

(8)    Refusal to comply with a licensee's responsibility under the terms of the new manufactured home or mobile home warranty issued by its respective manufacturer, unless such refusal is at the direction of the manufacturer;

(9)    Failure to comply with the terms of any bona fide written, executed agreement pursuant to the sale of a manufactured home or mobile home;

(10)    Violation by the dealer of any applicable manufactured home building or safety code;

(11)    Failure to continuously occupy a principal place of business licensed under § 32-7A-2;

(12)    Failure to deliver the manufacturer's statement of origin to the county treasurer or the certificate of title to a person entitled to it within forty-five days after date of delivery;

(13)    Conviction within the previous five years, of a crime that related directly to the business of the dealer or manufacturer involving fraud, misrepresentation or misuse of funds;

(14)    Inability to obtain or renew a surety bond; or

(15)    Misuse of the dealers' metal plates and lending for use on mobile homes or manufactured homes not owned by the manufacturer or dealer.

Source: SL 1986, ch 251, § 8; SL 1999, ch 45, § 6; SL 2002, ch 148, § 6; SL 2005, ch 162, § 27; SL 2016, ch 154, § 9.

32-7A-4.3. Cease and desist order for specified violations--Period of effectiveness.

In addition to any other remedy provided by law, the secretary of revenue may issue an order directing a dealer to cease and desist from engaging in any act or practice enumerated in § 32-7A-4.2. A cease and desist order issued pursuant to this section is effective for a period of two years.

Source: SL 2005, ch 162, § 21; SL 2008, ch 156, § 3; SL 2011, ch 1 (Ex. Ord. 11-1), § 161, eff. Apr. 12, 2011.

32-7A-4.4. Hearing on question of whether violations occurred--Procedures.

Within twenty days after service of the order to cease and desist, the dealer may request a hearing in writing on the question of whether acts or practices in violation of this title have occurred. Any hearing shall be conducted pursuant to, and judicial review shall be available as provided by, chapter 1-26.

Source: SL 2005, ch 162, § 22.

32-7A-4.5. Finality of cease and desist order.

A cease and desist order pursuant to § 32-7A-4.3 becomes final upon expiration of the time allowed for appeals from the secretary's order if no appeal is taken, or, if an appeal is taken, upon final decision of the court if the court affirms the secretary's order or dismisses the appeal.

Source: SL 2005, ch 162, § 23.

32-7A-4.6. Order to pay fine or suspend or revoke license upon failure to comply with cease and desist order--Deposit of monetary penalties.

If a dealer fails to comply with a cease and desist order issued pursuant to § 32-7A-4.3, the secretary may issue an order which:

(1)    Imposes a monetary penalty on the dealer of five hundred dollars for each violation of the cease and desist order;

(2)    Suspends dealer's license for not more than thirty days; or

(3)    Revokes the dealer's license.

All monetary penalties collected pursuant to this section shall be deposited into the state motor vehicle fund.

Source: SL 2005, ch 162, § 24.

32-7A-4.7. Hearing to contest order to pay fine or suspend or revoke license--Procedures.

A dealer may request a hearing to contest an order issued pursuant to § 32-7A-4.6. The request shall be submitted to the secretary in writing within twenty days after service of the order. Any hearing shall be conducted pursuant to, and judicial review shall be available as provided by, chapter 1-26.

Source: SL 2005, ch 162, § 25.

32-7A-4.8. Finality of order to pay fine or suspend or revoke license.

An order issued pursuant to § 32-7A-4.6 becomes final upon expiration of the time allowed for appeals from the secretary's order, if no appeal is taken, or, if an appeal is taken, upon final decision of the court if the court affirms the secretary's order or dismisses the appeal.

Source: SL 2005, ch 162, § 26.