South Dakota Codified Laws
Chapter 06B - Regulation Of Vehicle Dealers
Section 32-6B-73 - Notification of decision to transfer, assign, or sell franchise agreement or dealership--Notification as application for approval.

32-6B-73. Notification of decision to transfer, assign, or sell franchise agreement or dealership--Notification as application for approval.
In order to transfer, assign, or sell a franchise agreement or controlling interest in the dealership to another person, a dealer shall notify the manufacturer or franchisor whose vehicles the dealer is franchised to sell of the dealer's decision to transfer, assign, or sell the dealership. The notification shall be by certified mail, return receipt requested, and is the application by the dealer for approval by the manufacturer or franchisor of the transfer.

Source: SL 2000, ch 150, §1.

Structure South Dakota Codified Laws

South Dakota Codified Laws

Title 32 - Motor Vehicles

Chapter 06B - Regulation Of Vehicle Dealers

Section 32-6B-1 - Definition of terms.

Section 32-6B-1.1 - Motor home defined.

Section 32-6B-1.2 - Recreational park trailer defined.

Section 32-6B-1.3 - Temporary special events lot defined.

Section 32-6B-1.4 - Temporary supplemental lot defined.

Section 32-6B-2 - Principal place of business defined.

Section 32-6B-3 - Sale on consignment--Contract required--Form.

Section 32-6B-3.1 - Sale on consignment prohibited for vehicle without statement of origin.

Section 32-6B-3.2 - Odometer reading required for consignment or auction--Violation a misdemeanor.

Section 32-6B-3.3 - Consignment or auction of vehicle with lien--Written consent and release by lien holder.

Section 32-6B-3.4 - Auction on consignment of older vehicle titled in another state.

Section 32-6B-3.5 - Auction on consignment of older motorcycle titled in another state.

Section 32-6B-3.6 - Sale of used motorcycles and off-road vehicles on consignment where dealer possesses state title or title from bordering state--Exception.

Section 32-6B-4 - License required--Violation as misdemeanor.

Section 32-6B-4.1 - Brokering prohibited--Violation as misdemeanor.

Section 32-6B-5 - Exemptions from licensing requirements.

Section 32-6B-5.2 - Permit for dealer licensed in another state to sell motorcycles at event.

Section 32-6B-5.3 - Permit for dealer licensed in another state to sell trailers at event.

Section 32-6B-5.4 - Permit for dealer licensed in another state to sell older vehicles and motorcycles on consignment at public auction.

Section 32-6B-5.5 - Permit for manufacturer to display trailers at event.

Section 32-6B-5.6 - Permit for manufacturer to display or demonstrate customized motor vehicle at event.

Section 32-6B-5.7 - Permit for sponsor to display customized motorcycles at event.

Section 32-6B-6 - Application required--Contents.

Section 32-6B-7 - Bond required--Amount--Term--Continuation certificate--Notification of payment or cancellation--Additional bond.

Section 32-6B-7.1 - Pooling of assets to satisfy bond requirements--Right, title, and interest in state--Termination--Notice of payment of claim--Replenishment of pool.

Section 32-6B-7.2 - Increase in dealer bond amount--Implementation.

Section 32-6B-8 - Dealer in new vehicles to maintain repair shop.

Section 32-6B-9 - Dealer in new vehicles to give bond to cover warranty obligations--Amount--Exemption.

Section 32-6B-10 - Manufacturer's contract or franchise prerequisite to license for dealer in new vehicles.

Section 32-6B-11 - Verification of application by department--Refusal to issue license.

Section 32-6B-12 - Classification of licenses--Issuance of license certificate.

Section 32-6B-12.1 - Low-speed vehicle retail sales.

Section 32-6B-13 - Fees for dealer's licenses--Disposition of fees.

Section 32-6B-14 - Dealer license--Annual review--Renewal notice--Suspension or revocation--Promulgation of Rules.

Section 32-6B-15 - Renewal application--Fees.

Section 32-6B-16 - Modification of license certificate--Display of license.

Section 32-6B-17 - Separate licenses--Requirement.

Section 32-6B-18 - Permission to change principal place of business within county.

Section 32-6B-19 - Supplemental licenses for supplemental lots within county--Exemptions.

Section 32-6B-20 - Books, records, and files to be kept--Inspection.

Section 32-6B-20.1 - Certificate kept at another dealership or at lending institution--Requirements--Notice.

Section 32-6B-20.2 - Offer to sell, sale, or exchange of vehicle without certificate of title allowed under specified circumstances.

Section 32-6B-20.3 - Agreement that dealer will satisfy lien by paying lienholder--Trade of vehicle or consignment agreement--Theft.

Section 32-6B-20.4 - Time period to satisfy lien after receipt of funds--Offering vehicle for sale prior to tender to lienholder.

Section 32-6B-21 - Issuance of dealer plates--Numbering--Fees--Return of plates--Misdemeanor.

Section 32-6B-21.1 - Mailing fees.

Section 32-6B-22 - Use of dealer plates--Transfer of plates--Violation as misdemeanor.

Section 32-6B-22.1 - Commercial motor vehicles licensed to dealers--Dealer 88 license plates--Return of plates--Violation as misdemeanor.

Section 32-6B-22.2 - Use of dealer 88 license plates_Transfer of plates.

Section 32-6B-23 - Issuance of motorcycle dealer and trailer dealer plates--Numbering--Display and use--Fees.

Section 32-6B-24 - Repossession of dealer plates.

Section 32-6B-25 - Use of vehicles bearing dealer's demonstration or in-transit permits--Time limitation--Issuance of permits for unauthorized purposes prohibited--Violation as misdemeanor.

Section 32-6B-26 - Temporary license permit--Provision by dealer.

Section 32-6B-27 - Location of temporary license permit.

Section 32-6B-28 - Time for application for registration by owner--Inspection of documents by law enforcement officer.

Section 32-6B-29 - Restrictions on dealer use of temporary license permits--Renewal prohibited--Violation as misdemeanor.

Section 32-6B-30 - Design of dealers' demonstration, in-transit and temporary license permits--Information required--Source of permits.

Section 32-6B-34 - Dealer's car auction agency--Defined--Applicability of chapter--Additional provisions.

Section 32-6B-35 - Dealer's car auction agency--Bond requirements--Dealer's right of action--Liability of surety.

Section 32-6B-35.1 - Dealer's car auction agency--Announcement at sale when title denotes any brand or damage--Return of vehicle.

Section 32-6B-36 - Dealer's car auction agency--Vehicles acceptable for sale--Permitted purchasers--Unauthorized sale a misdemeanor.

Section 32-6B-36.1 - Dealer's car auction agency--Government-owned vehicles.

Section 32-6B-36.3 - Issuance of auction agency plates--Numbering--Fees--Return of plates--Misdemeanor.

Section 32-6B-36.4 - Use of agency plates--Transfer of plates--Violation as misdemeanor.

Section 32-6B-37 - Dealer's car auction agency--Records required.

Section 32-6B-37.1 - Public auction to keep records--Inspection by dealer appointed inspectors.

Section 32-6B-38 - Appointment of inspectors--Entry authorized--Complaints.

Section 32-6B-39 - Investigation of dealers--Authorized.

Section 32-6B-41 - Grounds for denial of license or application of provisions of §§ 32-6B-41.1 to 32-6B-41.6, inclusive.

Section 32-6B-41.1 - Cease and desist order for specified violations--Period of effectiveness.

Section 32-6B-41.2 - Cease and desist order--Request for hearing--Procedure.

Section 32-6B-41.3 - Finality of cease and desist order.

Section 32-6B-41.4 - Order to pay fine or suspend or revoke license upon failure to comply with cease and desist order--Deposit of monetary penalties.

Section 32-6B-41.5 - Contest of order--Procedure.

Section 32-6B-41.6 - Finality of order.

Section 32-6B-41.7 - Cease and desist order--Failure to comply--Penalty.

Section 32-6B-42 - Notification of surety of license denial, suspension or revocation.

Section 32-6B-45 - Good cause required for franchisor termination, cancellation, nonrenewal, or change in competitive circumstances.

Section 32-6B-47 - When franchisor may establish additional vehicle dealership for same line-make--Hearing.

Section 32-6B-48 - Factors in determining cause for establishing additional franchise for same line-make.

Section 32-6B-49 - Factors which are not cause for termination or noncontinuance of franchise or for establishing additional franchise for same line-make.

Section 32-6B-49.1 - Terms or conditions not allowed in franchise agreement.

Section 32-6B-50 - Notice of intention to enter into additional franchise for same line-make.

Section 32-6B-51 - Copies of notice to be sent to franchisees and other interested persons.

Section 32-6B-52 - Objection to approval of notice--Time for filing written objection--Approval absent timely objection.

Section 32-6B-53 - Hearing on objection--Time and place--Notice--Continuance.

Section 32-6B-54 - Burden of proof at hearing.

Section 32-6B-55 - Hearing upon change of circumstances.

Section 32-6B-56 - Dealer's license not to be issued to franchisee absent compliance by franchisor.

Section 32-6B-56.1 - Trailer franchisees not subject to certain provisions.

Section 32-6B-57 - Sale by franchisor to franchisee at lower price than that charged to other franchisee prohibited--Exceptions--Violation as misdemeanor--Damages.

Section 32-6B-58 - Duty of franchisor or manufacturer to fulfill warranty agreements and compensate dealers for labor and parts--Disposition of dealer claims.

Section 32-6B-58.1 - Franchisor or manufacturer--Duties--Separate warranty for an engine, transmission, or rear axle--Disposition of dealer and customer claims.

Section 32-6B-59 - Right of department to apply for injunction against violation of chapter.

Section 32-6B-60 - Adoption of rules.

Section 32-6B-61 - Schedule of compensation for warranty work.

Section 32-6B-62 - Trailer dealers exempt from certain liability insurance requirements.

Section 32-6B-63 - Regulation of advertising.

Section 32-6B-64 - Advertising defined.

Section 32-6B-66 - In-transit permits for certain trailer manufacturer's trailers.

Section 32-6B-67 - Promulgation of rules for in-transit permits for trailer manufacturer's trailers.

Section 32-6B-69 - Franchise agreement--Change of terms--Dealer rights.

Section 32-6B-69.1 - Audit by franchisor--Limitation--Exception.

Section 32-6B-70 - License required for certain activities--Violation as misdemeanor--Additional violations as felony.

Section 32-6B-71 - Vehicle dealership--Death of owner--Succession of interest.

Section 32-6B-72 - Succession--Refusal to honor.

Section 32-6B-73 - Notification of decision to transfer, assign, or sell franchise agreement or dealership--Notification as application for approval.

Section 32-6B-74 - Contents of notice.

Section 32-6B-75 - Manufacturer or franchisor to determine prospective transferee's qualification--Notice of decision--Statement of reasons for rejection.

Section 32-6B-76 - Approval may not be unreasonably withheld.

Section 32-6B-78 - Transferee's qualification as sole issue in objection.

Section 32-6B-79 - Manufacturer defined.

Section 32-6B-80 - Manufacturer or franchisor may not own or operate dealership--Exceptions.

Section 32-6B-81 - Manufacturer or franchisor may own or operate for limited period--Conditions.

Section 32-6B-82 - Exceptions for the purpose of broadening diversity of dealer body.

Section 32-6B-83 - Extension of time period in 32-6B-81--Application--Limit.

Section 32-6B-85 - Civil action for injunction and damages.

Section 32-6B-86 - Applicability of SL 2010, ch 156 amendments.

Section 32-6B-87 - Dealers permitted to lease space in common area of shopping mall for displaying new vehicles--Restrictions--Exception.

Section 32-6B-88 - Off-road vehicle dealers exempt from certain special event permit requirements, fees, and taxes.

Section 32-6B-89 - Licensed dealer permitted to take vehicle to adjoining county for demonstration.