Motor Vehicle Dealer Bond
Motor vehicle dealer bonds guarantee that a dealership will comply with state regulations, protecting consumers from fraud and other wrongful actions committed by dealerships and their employees. This type of license and permit bond may also be referred to as motor vehicle dealer bond, used car dealer bond, etc.
Claims can be made against your client’s bond if their dealership:
- misrepresent merchandise
- use unethical business practices to sell vehicles
- fails to deliver a valid certificate of title
- does not pay necessary motor vehicle fees
- does not forward sales tax payments to the state