The state of Oregon has passed legislation amending requirements and bond amounts for those applying for Oregon motor vehicle dealer certification. These changes go into effect on January 1, 2018, in accordance with the passage of Oregon Senate Bill 974.
How are bond amounts affected?
Applicants seeking an Oregon motor vehicle dealer certificate will now have to post a $50,000 surety bond. This is an increase from the previous $40,000 surety bond requirement. Additionally, those who hold dealer certificates exclusively for motorcycles, mopeds, Class I all-terrain vehicles or snowmobiles will have to post a surety bond of $10,000, which is a significant increase from the previous surety bond requirement of $2,000 for these specific dealers.
What are the Oregon motor vehicle certification changes?
Oregon will no longer allow new applicants to become certified specifically for motorcycles, mopeds, Class I all-terrain vehicles or snowmobiles. Every new applicant will now be required to apply for the generic motor vehicle dealer certification, regardless of the type of vehicle they intend to sell. The new legislation does allow Oregon motor vehicle dealers who are already certified in any of the specific vehicle categories to retain their certification in this area.
Who can make a claim against an Oregon motor vehicle dealer surety bond?
Once the new law is in effect, only retail customers of the dealer in question may make a claim against the bond if the dealer holds a vehicle dealer certificate exclusively in motorcycles, mopeds, Class I all-terrain vehicles or snowmobiles. The bill also reduces the maximum amount available under a bond for the payment of any claims against motor vehicle dealers by non-retail customers to $10,000—a decrease from the $20,000 that was previously available.
Where can I get a surety bond?
Our team is ready to help you through the process of getting an Oregon motor vehicle dealer bond. Click below for your free quote or give us a call at 1 (800) 308-4358 to learn more about getting a motor vehicle dealer bond in Oregon.