00 CS 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.