CSHB 436(TRA): "An Act relating to purchase and sale of mobile homes by mobile home dealers; to mobile home titles; and providing for an effective date."

00CS FOR HOUSE BILL NO. 436(TRA) 01 "An Act relating to purchase and sale of mobile homes by mobile home 02 dealers; to mobile home titles; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 08.01.010 is amended by adding a new paragraph to read: 05  (37) regulation of mobile home dealers under AS 08.67. 06 * Sec. 2. AS 08 is amended by adding a new chapter to read: 07 CHAPTER 67. MOBILE HOME DEALERS. 08  Sec. 08.67.010. REGISTRATION OF MOBILE HOME DEALERS. A mobile 09 home dealer may not do business in the state unless the dealer is registered with the 10 department. 11  Sec. 08.67.020. APPLICATION, BOND, AND FEE. (a) In order to register 12 under AS 08.67.010, a person shall file with the department an application, a bond 13 required by AS 08.67.050, and application and registration fees established by the 14 department by regulation.

01  (b) The department shall prescribe and furnish the form of application for 02 dealer registration. The application must contain 03  (1) the name under which the business is conducted; 04  (2) the location of business; 05  (3) the name and address of all persons having an interest in the 06 business and, in the case of a corporation, the application must contain the name and 07 address of the two principal officers; 08  (4) the name and address of all sales representatives; 09  (5) the name and make of all new mobile homes handled; 10  (6) whether or not used mobile homes are handled; 11  (7) a statement that the applicant is a bona fide dealer in mobile home 12 sales with a principal office at the location given; 13  (8) if the applicant sells a mobile home as a new or current model 14 mobile home having a manufacturer's warranty, the name of the manufacturer of the 15 mobile home and the date and duration of the applicant's sales and service agreement 16 with the manufacturer; 17  (9) other information the department requires to administer this chapter. 18  Sec. 08.67.030. DEPARTMENT APPROVAL. The department shall approve 19 an application for registration under AS 08.67.020 if the application contains the 20 information required by AS 08.67.020 and the bond complies with AS 08.67.050. 21  Sec. 08.67.040. RENEWAL OF REGISTRATION. A dealer shall renew the 22 registration required by AS 08.67.010 every two years by filing with the department 23 a request for renewal, the bond required by AS 08.67.050, and a renewal fee 24 established by the department by regulation. 25  Sec. 08.67.050. BOND. (a) An applicant for registration under AS 08.67.020 26 or for renewal of a registration under AS 08.67.040 shall file with the application or 27 request for renewal, and shall maintain in force while registered, a $50,000 bond that 28 is in favor of the state, that is executed by an authorized corporate surety approved by 29 the department, and that is conditioned upon the applicant's promise to pay all 30  (1) taxes and contributions due the state or a political subdivision of 31 the state; and

01  (2) judgments entered against the applicant for fraud, negligence, or 02 breach of contract when acting as a dealer. 03  (b) The bond required by this section is conditioned on the applicant 04 complying with this chapter and not committing fraud or making fraudulent 05 representations in the course of doing business as a dealer. 06  (c) A surety may cancel the bond after giving the department 30 days' advance 07 written notice. Cancellation does not relieve a surety of liability arising on the bond 08 from a purchase negotiated by the bonded dealer before cancellation or a liability that 09 accrues against the bond before cancellation. The department shall retain the cancelled 10 bond on file. 11  (d) If the bond required under this section is cancelled, the department may 12 suspend the dealer's registration until the dealer is bonded as required under this 13 section. 14  Sec. 08.67.060. ACTION ON BOND. If a person suffers loss or damage by 15 reason of a dealer, or a person doing business as a dealer, violating this chapter or 16 committing fraud or making fraudulent representations in the course of doing business 17 as a dealer, the person may bring an action in the appropriate court against the dealer 18 and upon the bond. 19  Sec. 08.67.070. PENALTY. A person who knowingly violates this chapter is 20 guilty of a class A misdemeanor. In this section, "knowingly" has the meaning given 21 in AS 11.81.900. 22  Sec. 08.67.080. DEFINITIONS. In this chapter, 23  (1) "dealer" means a person who is engaged in the business of buying, 24 selling, or dealing in new or used mobile homes; 25  (2) "department" means the Department of Commerce and Economic 26 Development; 27  (3) "mobile home" means a vehicle designed and equipped for human 28 habitation, and that may only be moved by another motor vehicle when authorized by 29 permit. 30 * Sec. 3. AS 28.10.201(b) is amended to read: 31  (b) The owner of a vehicle described in AS 28.10.011 as being exempt from

01 registration and the owner of a snowmobile or off-highway vehicle may not apply for, 02 nor may the department issue, a certificate of title for the vehicle. However, the 03 department 04  (1) may issue a certificate of title to the owner of a vehicle exempt 05 from registration under AS 28.10.011(3), (6), (7), or (11) only upon application by that 06 owner; and 07  (2) shall [MAY] issue a certificate of title to the owner of a mobile 08 home upon application, display of evidence of ownership satisfactory to the 09 department, and payment of a fee of $100 by the owner; a certificate of title issued 10 under this paragraph must comply with AS 28.10.231. 11 * Sec. 4. This Act takes effect July 1, 1997.