California car dealers are facing legislation that would require a bond increase from $50,000 to $100,000. Dealers who sell trailers used exclusively to transport vessels may also be affected. If the bill passes the state will require dealers who sell trailers to obtain a $50,000 California MVD.
The text reviews the expectations for dealers with required surety bonds: if a customer suffers loss or damage at the hands of the dealer then that person has a right to take action against the dealer and his surety. In this bill there are a few minor changes in wording regarding payment of sureties.
The bill is called the Car Buyers’ Protection Act of 2009 and can be tracked as SB 95.
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