Section 138.03. Dealer business facilities.

 

(1)  Business facilities required to be provided and maintained by motor vehicle dealers are:

(a) A permanent building in this state wherein there are facilities for:

1. A business office to maintain the books, records, and files necessary to conduct business.

2. A minimum 12 x 20 foot area accessible for automobile display, pre-sale preparation, or repair purposes. Motorcycle dealers who do not also sell automobiles shall provide an area of sufficient size to display, prepare, or repair at least 3 units. Truck dealers who do not sell automobiles are exempt from the requirements of this subdivision.

3. A repair shop, or a service agreement with a nearby repair shop, where there are repair tools, repair equipment and personnel to service such vehicles. Any service agreement shall be on the form provided by the department.

(b) A vehicle display lot adjacent to the business office, unless all vehicles offered for sale are displayed within the business building.

(c) The business premises which provide all required facilities shall comply with local zoning, building code and permit requirements.

(2)  A residence, tent, or temporary stand is not a sufficiently permanent business facility within the meaning of this section. As used in this section and s. 218.0116 (3) , Stats., "residence" means the domicile of a person who is an employee or owner of the dealership licensed, or applying for a license, under ss. 218.0101 to 218.0163 , Stats. "Residence" does not include a building either formerly used as a residence or used as a residence by persons having no interest in an existing dealership. A motor vehicle dealer licensed by the department prior to July 1, 1991 despite having the required business office or indoor display or repair area in his or her residence may continue to use those facilities so long as ownership of the business remains unchanged and his or her dealer license is renewed continuously on or after July 1, 1991.

(3)  More than one motor vehicle dealer, wholesaler or other business may share a single permanent building.

(a) If a licensed motor vehicle dealer shares facilities with another motor vehicle dealer, wholesaler, or other business, each licensee shall:

1. Display a dealership sign which satisfies s. Trans 138.06 .

2. Separate its own vehicle display lot from areas used by other licensees; and

3. With each license application, provide a copy of the lease agreement between the owner of the property and the dealer along with a diagram of the facilities for the designated location. If the dealer sublets the facilities from a lessee, that dealer shall provide a copy of the sublease and a copy of the lease authorizing the lessee to execute subleases.

(b) Each licensee sharing a permanent building with another licensee shall satisfy all the requirements of par. (a) within 1 year after July 1, 1991 or the license for each noncomplying dealership may be denied or suspended until the dealership facilities comply with this section.

(c) If the dealerships which share facilities also share majority ownership, they are exempt from the requirements of par. (a) .

(4)  The business premises which provide all required facilities shall comply with local zoning, building code and permit requirements.

(5)  Motor vehicle wholesalers of used vehicles are subject to subs. (1) (a) 1. , (b) , and (3) and (4) .

(6)  A motor vehicle dealer who is not located in this state, who accepts vehicle purchase orders or lease agreements placed by fax, telephone, the Internet, mail, or some other remote means from persons within this state, and who delivers vehicles to persons within this state is exempt from the dealer business facilities requirements of sub. (1) , provided that the dealer maintains a business office in another jurisdiction at which the books, records and files pertaining to vehicle sales or leases to persons in this state are maintained and the dealer makes these documents available to the department for inspection upon demand. Nothing in this section shall be construed to exempt the dealer from the license requirement of s. 218.0114 (1) , Stats.

History: Cr. Register, May, 1966, No. 125 , eff. 6-1-66; am. (1), r. and recr. (2), r. (3), Register, April, 1977, No. 256 , eff. 5-1-77; renum. from MVD 13.01 and r. and recr. Register, July, 1981, No. 307 , eff. 8-1-81; emerg. am. (1) (b), eff. 1-13-83; am. (1) (b), r. (2), renum. (3) to be (2), Register, October, 1984, No. 346 , eff. 11-1-84; am. (1) (a) 1. and 2., cr. (2) and (3), renum. (1) (c) to be (4), renum. (2) to be (5) and am., Register, June, 1991 , No 426, eff. 7-1-91; CR 99-135 : cr. (6) Register February 2004 No. 578 , eff. 3-1-04; corrections in (2) made under s. 13.93 (2m) (b) 7., Stats., Register February 2004 No. 578 ; CR 06-135 : am. (1) (a) (intro.) and (6), Register August 2007 No. 620 , eff. 9-1-07.