HARRY HUGHES, Governor

4021

a sales branch or agency of a manufacturer, or certain
distributors; prohibiting an issuance of a dealer's license
to a certain manufacturer, distributor, or other person;
providing a certain exception; prohibiting manufacturers,
distributors, or certain persons from selling a new vehicle
to a retail buyer; and generally relating to certain
requirements for an issuance by the Administration of a
license to deal in new vehicles.

BY repealing and reenacting, with amendments,

Article - Transportation

Section 15-305

Annotated Code of Maryland

(1984 Replacement Volume and 1985 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - Transportation

15-305.

(a)  A license to deal in new   [Class A] vehicles may not be
issued to any person unless the  manufacturer or distributor of
the vehicles is in compliance with   the surety bond requirements
of § 15-205 of this title.

(b)  A license to deal in new vehicles may be issued only
for[:

(1)  A sales branch or agency of the manufacturer of
the vehicles;

(2)  A distributor of new vehicles who holds a
franchise from the manufacturer of the vehicles; or

(3)  A] A dealer in new vehicles who holds a franchise
from:

[(i)] (1) The manufacturer of the vehicles; or

[(ii)] (2) A [franchised] distributor WHO IS
AUTHORIZED BY THE MANUFACTURER OR THE MANUFACTURER'S AUTHORIZED
IMPORTER of the vehicles.

(c)  If an applicant for a license to deal in new vehicles
seeks to qualify under subsection (b) [(2) or (3)] of this
section, the applicant shall submit with the application an exact
copy of the required franchise.

(d)  If a franchise required by this section is terminated
in accordance with § 15-209 of this title, the license of the
dealer shall be suspended automatically unless, before the
effective date of termination, the licensed dealer files