DIVISION OF MOTOR VEHICLES
To: Tax Collectors and License Plate Agents
Subject: Authorization to Issue Title and Registration __________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________
Advisory Implementation Carl A. Ford, Director
Date: 07/17/09 Date: Immediately
Advisory Number: BFO 09-02
The Bureau of Field Operations, Division of Motor Vehicles is charged with issuing Out of Business Affidavits to consumers who have been harmed by dealers. The issuance of this affidavit indicates that the Division has performed due diligence and determined that the consumer should be issued a title and registration.
The Division is changing the name of the form to the Authorization to Title and Register a Motor Vehicle, Mobile Home or Recreational Vehicle. The form will still be on yellow paper so that it is easily identified.
A few changes have been made to the form that have meaning to the Division, however have no impact on Tax Collector employees. Below are the changes and an explanation of the changes:
The lead in paragraph on the form now reads: This affidavit verifies that the dealer license number referenced below has failed to meet the licensure law or has been suspended, revoked, cancelled, expired, or is otherwise no longer valid in the State of Florida.
A division employee will place a check mark in the box indicating the specific circumstance. The check box for “failed to meet the licensure law” will be used when a dealer has abandoned their location.
The check box for “suspended” will be used when the dealer’s license has been suspended. If allegations have been made against a dealer and the Division determines that the facts are warranted, an administrative complaint is prepared. An administrative complaint is a legal document that contains the specific actions alleged to have been committed by the dealer, the specific statutes and rules violated, and notification of the dealer’s right to a hearing. This document is signed by the DMV Director.
If the case involves serious violations, allowing the dealer to continue in business while awaiting a hearing may be detrimental to the welfare of the public. Therefore, an Order of Emergency Suspension may be issued to suspend the dealer’s right to do business pending the outcome of the hearing and issuance of a final order. Orders of emergency suspension are issued very sparingly and only in cases where allowing a dealer to remain in operation may cause irreparable harm (loss of money) to the public who may continue to purchase vehicles from the dealer.
In several cases, the dealer’s license is revoked. If this occurs, the check box for “revoked” will be marked.
Dealers also voluntarily decide to go out of business for a number of reasons, e.g. the economy, unable to obtain garage liability insurance or a surety bond, or they just decide to retire. When dealers voluntarily relinquish their license, the dealer’s record is cancelled, therefore in these types of cases; the “cancelled” box will be marked.
Many times the dealer will allow their license to expire. In those cases, the check box for “expired” will be marked.
The rest of the document is fairly self explanatory, however, the information shown under the heading “Vehicle Lien Holder Information” is of great importance. If the document contains lien holder information under this section, that lien must be brought forward onto the title. As you process the title transaction, if a lien exists in FRVIS, the consumer must have a lien satisfaction or the transaction cannot be processed.
It is important to remember that if the dealer’s invoice or bill of sale indicates that sales tax was collected, we do not require the consumer to pay sales tax again. Also remember, the consumer has already proven to the division that they are the rightful owner of the vehicle, thus the issuance of the Authorization to Title and Register a Motor Vehicle, Mobile Home or Recreational Vehicle. The consumer should submit the Authorization to Title and Register a Motor Vehicle, Mobile Home or Recreational Vehicle along with originals or copies of all supporting documentation to be submitted for imaging.
If you have any questions about this new form or any other dealer license issues, please call your local DMV Regional Office.