                                 CODE OF VIRGINIA

NOTICE OF CANCELLATION OR REISSUANCE OF LICENSES; EFFECT OF NOTICE (§
58.1-2232)

A. If the Commissioner cancels the license of a distributor, importer, or
aviation consumer, the Commissioner shall notify all suppliers of the
cancellation. If the Commissioner issues a license to a distributor, importer or
aviation consumer whose license was previously canceled, the Commissioner shall
notify all suppliers of the issuance.

B. A supplier who sells motor fuel to a distributor, importer or aviation
consumer after receiving notice from the Commissioner that the Commissioner has
canceled the distributor&#8217;s, importer&#8217;s or aviation consumer&#8217;s
license shall be jointly and severally liable with the distributor, importer or
aviation consumer for any tax due on motor fuel the supplier sells to the
distributor, importer or aviation consumer after receiving the notice; however,
the supplier shall not be liable for tax due on motor fuel sold to a previously
unlicensed distributor, importer or aviation consumer after the supplier
receives notice from the Commissioner that the Commissioner has issued another
license to the distributor, importer or aviation consumer.

C. If the Commissioner cancels the license of a supplier, the Commissioner shall
notify all licensed distributors, exporters, importers and aviation consumers of
the cancellation. If the Commissioner issues a license to a supplier whose
license was previously canceled, the Commissioner shall notify all licensed
distributors, exporters, importers and aviation consumers of the issuance.

D. A licensed distributor, exporter, importer, or aviation consumer who
purchases motor fuel from a supplier after receiving notice from the
Commissioner that the Commissioner has canceled the supplier&#8217;s license
shall be jointly and severally liable with the supplier for any tax due on motor
fuel purchased from the supplier after receiving the notice; however, the
licensed distributor, exporter, importer, or aviation consumer shall not be
liable for tax due on motor fuel purchased from a previously unlicensed supplier
after the licensee receives notice from the Commissioner that the Commissioner
has issued another license to the supplier.

HISTORY: 2000, cc. 729, 758; 2002, c. 7.