Advanced Search

605 KAR 1:060. Temporary off-site sale or display event


Published: 2015

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$40 per month.
      605 KAR 1:060. Temporary off-site sale or

display event.

 

      RELATES TO: KRS 186A.220(5), 190.030(7),

(11), 190.035, 190.047

      STATUTORY AUTHORITY: KRS 190.020,

190.030(1), 190.073

      NECESSITY, FUNCTION, AND CONFORMITY: KRS

190.030(7) requires a motor vehicle dealer to restrict the sale or display of

motor vehicles to the location of the dealer's licensed place of business

except that a motor vehicle dealer may have a temporary off-site sale or

display of motor vehicles at a location other than the licensed place of

business under certain conditions. KRS 190.030(1) authorizes the Motor Vehicle

Commission to provide by administrative regulation for "other licensee

activities and an appropriate fee". This administrative regulation

establishes the application requirements for holding a temporary sale or

display event.

 

      Section 1. Definition.

"Display" means:

      1. A showing of a motor vehicle or

vehicles with an intent to attract or further a sale of the motor vehicle or

vehicles or similar motor vehicles offered by a motor vehicle dealer at a location

in this state where no sale, transfer, or test drive takes place; or

      2. Any showing of a motor vehicle at a

location for more than forty-eight (48) hours.

 

      Section 2. (1) A motor vehicle dealer

shall not conduct or participate in a motor vehicle display event at any location

other than the dealer's licensed place of business unless an Application for a

Temporary Display Event is filed with the Motor Vehicle Commission and

approved.

      (2) The application for a Temporary

Display Event shall be received a minimum of five (5) days prior to the next

regularly-scheduled meeting of the commission held before the requested permit

period.

      (3) The temporary display permit

application shall state:

      (a) The duration of the display which

shall not exceed sixty (60) successive days;

      (b) The specific location of the

temporary display event for which the permit is requested;

      (c) A complete list of all motor vehicle

dealers participating in the temporary display event; and

      (d) Proof that the city, county, urban

county or consolidated local government where the temporary display event is to

occur has enacted an ordinance specifically allowing a motor vehicle dealer to

conduct a motor vehicle temporary display event in its jurisdiction at a

location other than the dealer's licensed place of business.

      (4) A salesman shall not be present at a

temporary display event at any time. If a salesman of the participating motor

vehicle dealer is present at the temporary display event, the event shall be

deemed a temporary sale event.

      (5) The dealership

name as stated on its license, the address of its established place of business

and contact information shall be placed on or near the vehicle or vehicles on

display.

 

      Section 3. (1) A motor vehicle dealer

shall not conduct or participate in a motor vehicle sale event at any location

other than the dealer’s licensed place of business unless an Application for a

Temporary Sale Event

is filed with the Motor Vehicle Commission and approved.

      (2) The application

for a Temporary Sale Event shall be received a minimum of forty-five (45) days

prior to the temporary sale event.

      (3) The temporary

sale event application shall state:

      (a) The duration

of the sale which shall not exceed five (5) successive days;

      (b) The specific location of the

temporary sale event for which the permit is requested;

      (c) A complete

list of all motor vehicle dealers participating in the temporary sale event;

      (d)

Proof that the city, county, urban county or consolidated local government

where the temporary sale event is to occur has enacted an

ordinance specifically allowing a motor vehicle dealer to conduct a motor

vehicle temporary sale event in its jurisdiction at a

location other than the dealer’s licensed place of business;

      (e)

That the temporary sale event has been, is being, or will be advertised as

being temporary in nature;

      (f) That the temporary sale event shall include a representative

sampling of the inventory of the participating dealer or dealers; and

      (g) In the case of

a sale of new motor vehicles:

      1. That the sale

location is not within a five (5) mile radius of the licensed location of a

nonparticipating new motor vehicle dealer licensed to sell the same line make

of motor vehicles as will be displayed at the temporary sale event; and

      2. That the

applicable franchisor or franchisors have approved or consented to the

temporary sale event if consent is required.

 

      Section 4. (1) At every temporary sale

event each participating dealer shall display a sign easily visible from the

street identifying his business using his business name as stated on his

dealer’s license and indicating the address of his established place of business

as set forth in his dealer’s license.

      (2) If applicable local ordinance

prohibits the signage, each dealer shall display allowable signage containing

the same information and provide customers with business cards containing the information

upon request.

 

      Section 5. (1) All sales made at a

temporary sale event shall be evidenced by a written sales document or purchase

order containing the dealership’s licensed name and address of the dealership’s

established place of business, the address of the temporary sale and the

customer name, address and telephone number.

      (2) The Documentation shall be retained

for six (6) months after the sale and shall be made available to the Motor

Vehicle Commission upon request.

 

      Section 6. A certificate of title, and

other documents if appropriate, shall be present at the temporary sale event

location with respect to each motor vehicle offered for sale at the temporary

sale event and shall be made available to purchasers as set forth in KRS 186A.220(5).

 

      Section 7. (1) All individuals involved

in attempting to make a sale as defined in KRS 190.010(25) at a temporary sale

event shall possess a valid salesman’s license issued by the Motor Vehicle

Commission in the name of the participating dealer or dealers prior to the date

of the temporary sale event.

      (2) All salesmen

participating in or present at a temporary sale event shall have their valid

Kentucky license in their possession and available for display at all times

during the event.

 

      Section 8. A temporary sale event

involving new motor vehicles shall not be allowed within a five (5) mile radius

of the licensed location of a nonparticipating new motor vehicle dealer licensed

to sell the same line make as will be displayed at the temporary sale event.

 

      Section 9. (1) Unless good cause is shown

by the applicant, temporary display events shall not be approved for the same

location or the same jurisdiction unless there is at least a twenty-four (24)

hour period between the end of the last temporary display event held by the

applicant and the beginning of the next temporary display event to be held by

the applicant.

      (2) Unless good cause is shown by the

applicant, temporary sale events shall not be approved for the same location or

the same jurisdiction unless there is at least a thirty (30) day period between

the end of the last temporary sale event held by the applicant and the

beginning of the next temporary sale event to be held by the applicant.

 

      Section 10. (1) The fee for a temporary

sale event permit shall be $500 per participating dealer and shall be paid when

the application is submitted.

      (2) If the application is only for a

temporary display event, the fee shall be twenty-five (25) dollars.

 

      Section 11. Incorporation by Reference.

(1) "Application for Temporary Sale or Display Event", revised September

2008, is incorporated by reference.

      (2) This material may be inspected,

copied, or obtained, subject to applicable copyright law, at the Kentucky Motor

Vehicle Commission, 105 Sea Hero Road, Suite 1, Frankfort, Kentucky 40601 Monday

through Friday, 8 a.m., to 4:30 p.m. (30 Ky.R. 2247; Am. 2465; eff. 7-7-2004;

35 Ky.R. 1016; 1752; eff. 3-6-09.)