                                 CODE OF VIRGINIA

DUTIES OF LICENSEES (§ 46.2-1603.1)

A. If a salvage vehicle is purchased by a salvage dealer and the vehicle is sold
as a unit to anyone other than a demolisher, rebuilder, vehicle removal
operator, or scrap metal processor, the purchaser shall obtain from the
Department a salvage certificate. If the sale is to a demolisher or vehicle
removal operator, the salvage vehicle shall be assigned in the space provided
for such assignments on the existing salvage certificate. If a vehicle is
purchased by a salvage dealer and disassembled for parts only or demolished by a
demolisher, the salvage dealer shall immediately and conspicuously indicate on
the salvage certificate or title that the vehicle was disassembled for parts
only or demolished and immediately forward the salvage certificate or title to
the Department for cancellation. The Department shall cancel the title or
salvage certificate and issue a nonrepairable certificate for the vehicle to the
salvage dealer.

   1. If a vehicle for which a title or salvage certificate or other ownership
   document has been issued by a foreign jurisdiction and is purchased by a
   salvage dealer or demolisher and disassembled for parts only or demolished by
   a demolisher, the salvage dealer or demolisher shall immediately and
   conspicuously indicate on the salvage certificate, title, or other ownership
   document that the vehicle was disassembled for parts only or demolished and
   immediately forward the salvage certificate, title or other ownership document
   to the Department for cancellation. The Department shall cancel the title,
   salvage certificate, or other ownership document and issue a nonrepairable
   certificate for the vehicle to the salvage dealer.

   2. There shall be no fee for the issuance of a nonrepairable certificate.

B. If a licensee acquires any late model vehicle, he shall immediately compare
the vehicle identification number assigned by the manufacturer or the Department
or the identification number issued or assigned by another state with the title
or salvage certificate of the vehicle and shall notify the Department as
provided in subsection C. Such comparison and notification shall not be required
of a demolisher if the vehicle was acquired from a licensed salvage dealer,
rebuilder, salvage pool, or vehicle removal operator and such licensee delivers
to the demolisher a title or salvage certificate for the vehicle.

C. If the vehicle identification number has been altered, is missing, or appears
to have been otherwise tampered with, the licensee shall take no further action
with regard to the vehicle except to safeguard it in its then-existing condition
and shall promptly notify the Department. The Department shall, after an
investigation has been made, notify the licensee whether the vehicle can be
freed from this limitation. In no event shall the vehicle be disassembled,
demolished, processed, or otherwise modified or removed prior to authorization
by the Department. If the vehicle is a motorcycle, the licensee shall cause to
be noted on the title or salvage certificate, certifying on the face of the
document, in addition to the above requirements, the frame number of the
motorcycle and motor number, if available.

D. Except as provided in &#xA7; 46.2-1203, after a vehicle has been demolished,
the demolisher shall, within five working days, deliver to the Department the
salvage certificate or title, certifying on the face of the document that the
vehicle has been destroyed.

E. Except as provided in &#xA7; 46.2-1203, it shall be unlawful for any licensee
to purchase, receive, take into inventory, or otherwise accept from any person
any late model vehicle unless, as a part of any such transaction, the licensee
also receives a title, salvage certificate, nonrepairable certificate, or other
ownership documents, issued by an appropriate regulatory agency within or
without the Commonwealth, relating to such vehicle. Every licensee shall
maintain as a part of his business records a title, salvage certificate,
nonrepairable certificate, or other ownership documents, issued by an
appropriate regulatory agency within or without the Commonwealth, pertaining to
every late model vehicle in his inventory or possession.

F. If a licensee intends to utilize machinery to crush, flatten, or otherwise
reduce one or more vehicles to a state where it can no longer be considered a
vehicle at a location other than the location specified on the license filed
with the Department, the licensee shall apply to the Department for a permit of
operation in a manner prescribed by the Commissioner. Each permit shall be valid
for a period not to exceed 15 days and shall specify the location of intended
operation. The cost of each permit shall be $15.

G. The licensee shall comply with all applicable federal title reporting
requirements, including the reporting requirements of the National Motor Vehicle
Title Information System pursuant to 28 C.F.R. &#xA7; 25.56.

HISTORY: 1992, c. 148; 1995, cc. 390, 394; 2004, c. 369; 2011, c. 824; 2014, c.
58.