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<law><site_title>Virginia Decoded</site_title><site_url>https://vacode.org</site_url><law_id>76803</law_id><section_number>46.2-1508</section_number><catch_line>Licenses required; penalty</catch_line><edition url="https://vacode.org/2025/" slug="2025" current="TRUE" last_updated="">2025</edition><referred_to_by><reference>46.2-1158.01</reference><reference>46.2-1503.4</reference><reference>46.2-1521</reference><reference>46.2-1545.2</reference><reference>46.2-1557.3</reference><reference>46.2-644.1</reference><reference>46.2-644.3</reference><reference>58.1-2405</reference></referred_to_by><structure><unit label="title" level="1" order_by="1" identifier="46.2">Motor Vehicles</unit><unit label="subtitle" level="2" order_by="1" identifier="IV">Dealers and Driver Training Schools</unit><unit label="chapter" level="3" order_by="1" identifier="15">Motor Vehicle Dealers</unit><unit label="article" level="4" order_by="1" identifier="2">Motor Vehicle Dealer Licenses</unit></structure><text>
						<section id="A"><p><span class="prefix-number">A.</span> It shall be unlawful for any person to engage in business in the Commonwealth as a <span class="dictionary">motor vehicle dealer</span> or <span class="dictionary">salesperson</span> without first obtaining a license as provided in this chapter. It shall be unlawful for any person to engage in business in the Commonwealth as a <span class="dictionary">manufacturer</span>, <span class="dictionary">factory branch</span>, distributor, <span class="dictionary">distributor branch</span>, or factory or <span class="dictionary">distributor representative</span> without first obtaining a license from the <span class="dictionary">Department</span>. Every person licensed as a <span class="dictionary">manufactured home dealer</span> under Chapter 4.2 (&#xA7; <a class="law" title="Definitions" href="/36-85.16/">36-85.16</a> et seq.) of Title 36 shall obtain a certificate of dealer registration as provided in this chapter. Every person licensed as a watercraft dealer under Chapter 8 (&#xA7; <a class="law" title="Short title" href="/29.1-800/">29.1-800</a> et seq.) of Title 29.1 and who offers for sale <span class="dictionary">watercraft trailers</span> shall obtain a certificate of dealer registration as provided in this chapter but shall not be required to obtain a dealer license unless he also sells other types of trailers. Any nonprofit organization exempt from taxation under &#xA7; 501(c)(3) of the Internal Revenue Code, after having obtained a nonprofit organization certificate as provided in this chapter, may consign donated <span class="dictionary">motor vehicles</span> to licensed Virginia <span class="dictionary">motor vehicle dealers</span>. Any person licensed in another state as a <span class="dictionary">motor vehicle dealer</span> may sell <span class="dictionary">motor vehicles</span> at <span class="dictionary">wholesale auctions</span> in the Commonwealth after having obtained a certificate of dealer registration as provided in this chapter. The offering or granting of a <span class="dictionary">motor vehicle dealer</span> <span class="dictionary">franchise</span> in the Commonwealth shall constitute engaging in business in the Commonwealth for purposes of this section, and no <span class="dictionary">new motor vehicle</span> may be sold or offered for sale in the Commonwealth unless the franchisor of <span class="dictionary">motor vehicle dealer</span> <span class="dictionary">franchises</span> for that <span class="dictionary">line-make</span> in the Commonwealth, whether such franchisor is a <span class="dictionary">manufacturer</span>, <span class="dictionary">factory branch</span>, distributor, <span class="dictionary">distributor branch</span>, or otherwise, is licensed under this chapter. In the event a license issued to a franchisor of <span class="dictionary">motor vehicle dealer</span> <span class="dictionary">franchises</span> is suspended, revoked, or not renewed, nothing in this section shall prevent the sale of any <span class="dictionary">new motor vehicle</span> of such franchisor&#x2019;s <span class="dictionary">line-make</span> manufactured in or brought into the Commonwealth for sale prior to the <span class="dictionary">suspension</span>, <span class="dictionary">revocation</span> or expiration of the license.
			Violation of any provision of this subsection shall constitute a Class 1 <span class="dictionary">misdemeanor</span>, and such violation may also serve as the basis for injunctive relief pursuant to subsection B or C. <a id="paragraph-275764" class="section-permalink" href="https://vacode.org/46.2-1508/#A"><i class="fa fa-link"/></a></p></section>
						<section id="B"><p><span class="prefix-number">B.</span> The <span class="dictionary">Board</span> may file a <span class="dictionary">motion</span> with the <span class="dictionary">circuit</span> <span class="dictionary">court</span> for the county or city in which a person who violated any provision of subsection A is located, or with the <span class="dictionary">circuit</span> <span class="dictionary">court</span> for the City of Richmond, and, upon a <span class="dictionary">hearing</span> and for cause shown, the <span class="dictionary">court</span> may grant an <span class="dictionary">injunction</span> restraining such person from violating any provision of subsection A, regardless of whether an adequate remedy at <span class="dictionary">law</span> exists. A single act in violation of the provisions of subsection A is sufficient basis to authorize the issuance of an <span class="dictionary">injunction</span>. The <span class="dictionary">Board</span> shall not be required to post an <span class="dictionary">injunction</span> <span class="dictionary">bond</span> or other security. <a id="paragraph-275765" class="section-permalink" href="https://vacode.org/46.2-1508/#B"><i class="fa fa-link"/></a></p></section>
						<section id="C"><p><span class="prefix-number">C.</span> Any licensed <span class="dictionary">motor vehicle dealer</span> who <span class="dictionary">sustains</span> injury or damage to his business or property by reason of a violation of subsection A by any person that is not licensed as required by subsection A may file a <span class="dictionary">motion</span> with the <span class="dictionary">circuit</span> <span class="dictionary">court</span> for the county or city in which a person alleged to have committed such violation is located, and, upon a <span class="dictionary">hearing</span> and for cause shown, the <span class="dictionary">court</span> may grant a temporary or permanent <span class="dictionary">injunction</span> prohibiting any further such violation. A single act in violation of the provisions of subsection A shall be sufficient basis to show injury or damage to the business or property of the licensed <span class="dictionary">motor vehicle dealer</span>. A licensed <span class="dictionary">motor vehicle dealer</span> shall not be required to post an <span class="dictionary">injunction</span> <span class="dictionary">bond</span> or other security. <a id="paragraph-275766" class="section-permalink" href="https://vacode.org/46.2-1508/#C"><i class="fa fa-link"/></a></p></section>
						<section id="D"><p><span class="prefix-number">D.</span> If the <span class="dictionary">Board</span>, pursuant to subsection B, or a licensed <span class="dictionary">motor vehicle dealer</span>, pursuant to subsection C, is awarded an <span class="dictionary">injunction</span>, the <span class="dictionary">court</span> may also award reasonable attorney fees and costs. <a id="paragraph-275767" class="section-permalink" href="https://vacode.org/46.2-1508/#D"><i class="fa fa-link"/></a></p></section>
						<section id="E"><p><span class="prefix-number">E.</span> Notwithstanding the provisions of subsection A, a <span class="dictionary">manufacturer</span>, <span class="dictionary">factory branch</span>, distributor, <span class="dictionary">distributor branch</span>, or factory or <span class="dictionary">distributor representative</span> engaged in the manufacture or distribution of <span class="dictionary">all-terrain vehicles</span> or <span class="dictionary">off-road motorcycles</span> that does not also manufacture or distribute in the Commonwealth any <span class="dictionary">motorcycle</span> designed for lawful use on the public <span class="dictionary"><span class="dictionary">highways</span></span> shall not be required to obtain a license from the <span class="dictionary">Department</span>. <a id="paragraph-275768" class="section-permalink" href="https://vacode.org/46.2-1508/#E"><i class="fa fa-link"/></a></p></section>
						<section id="F"><p><span class="prefix-number">F.</span> Notwithstanding the provisions of subsection A, any <span class="dictionary">manufacturer</span> or distributor of transit buses that sells transit buses to a local government authority or nonprofit provider in the Commonwealth for the purposes of public transportation, as defined in 49 U.S.C. &#xA7; 5302, shall not be required to obtain a <span class="dictionary">manufacturers</span> license from the <span class="dictionary">Department</span> of <span class="dictionary">Motor Vehicles</span> or a dealers license from the <span class="dictionary">Motor Vehicle Dealer</span> <span class="dictionary">Board</span> for such sales. For purposes of this subsection, &#x201C;<span class="dictionary">transit bus</span>&#x201D; means a rubber-tired automotive vehicle <span class="dictionary">used</span> for the provision of public transportation service by or for a recipient of federal or state funding allocated annually by the Commonwealth Transportation <span class="dictionary">Board</span>. <a id="paragraph-275769" class="section-permalink" href="https://vacode.org/46.2-1508/#F"><i class="fa fa-link"/></a></p></section></text><history>Code 1950, &#xA7; 46-514; 1958, c. 541, &#xA7; 46.1-523; 1974, c. 189; 1976, c. 362; 1988, c. 865; 1989, c. 727; 1993, c. 123; 1995, cc. 767, 816; 1997, c. 848; 2000, c. 180; 2014, c. 695; 2015, c. 615; 2018, c. 509; 2022, c. 718.</history><metadata></metadata></law>
