Instructions for Form K-7 "Application for Automobile Dealer's or Repairer's License" - Connecticut

This document contains official instructions for Form K-7, Application for Automobile Dealer's or Repairer's License - a form released and collected by the Connecticut Department of Motor Vehicles. An up-to-date fillable Form K-7 is available for download through this link.

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Download Instructions for Form K-7 "Application for Automobile Dealer's or Repairer's License" - Connecticut

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PROCEDURE FOR OBTAINING A CONNECTICUT
AUTOMOTIVE DEALER'S OR REPAIRER'S LICENSE
K-36 REV. 12-2017
STATE OF CONNECTICUT
DEPARTMENT OF MOTOR VEHICLES
REGULATED BUSINESS LICENSE
60 STATE STREET, WETHERSFIELD, CONNECTICUT 06161-0001
On the Web at ct.gov/dmv
INSTRUCTIONS:
APPLICATION FOR AUTOMOBILE DEALER'S OR REPAIRER'S LICENSE (K-7)
SECTION 1
Business Information: Must be completed by the applicant and must provide the following
-
information:
Type of License: The type of license being applied for must be checked
Name under which business is to be conducted: This is the legal licensed name of the business and
all corresponding documents in regards to the license MUST reflect this name.
Full Address of location for which license is requested: This is the EXACT address where business
will be conducted. In addition, all records pertaining to business must be maintained at this location for
inspection for a period of two (2) years. NOTE: If you are requesting a license for more than one (1)
location a separate application for each location must be submitted.
Mailing Address, if different from location address: This is where all documentation and letters from
the DMV will be sent.
Type of Ownership: Depending on the type of ownership additional information will be required (i.e.,
LLC or Corporation).
The business holds a factory franchise to sell the following makes(s) of vehicle(s) at the above
location: A listing of the make(s) of vehicles(s) must be recorded on the application. In addition, for all
new car dealers, a franchise certificate/letter must be on file with the DMV for all makes listed for the
location.
The title, name, home address, telephone number, date of birth, and sex of all owners, partners, principal
officers, members or managers must be provided.
Certification: The application must be signed by owner, partner, managing member or authorized officer
in the presence of a notary.
SECTION 2 - Certificate of Approval for Proposed Location: Must be completed by an authorized official
in the city or town in which the location is proposed. (K-7 - Section 2)
An authorized official is defined as the Zoning Board of Appeals. If there is no ZBA in the municipality
approval must be obtained from the selectman or town manager of the town, mayor of the city, the warden of
the borough.
The local authorities may hold a hearing on the application before it is granted.
In addition, local authorities must indicate type of vehicles that are approved for sale at the location, and if
there are any restrictions placed on the use of the property.
In addition an authorized official, Fire Marshall and Building Official must sign the Application for Automobile
Dealer's or Repairer's License (K-7).
BUSINESS LICENSE PERSONNEL LIST (K-26)
The Business License Personnel List (K-26) is not required to be completed when submitting a License
Inspection Application (K-8), but will be required on other various transactions.
Page 1 of 6
PROCEDURE FOR OBTAINING A CONNECTICUT
AUTOMOTIVE DEALER'S OR REPAIRER'S LICENSE
K-36 REV. 12-2017
STATE OF CONNECTICUT
DEPARTMENT OF MOTOR VEHICLES
REGULATED BUSINESS LICENSE
60 STATE STREET, WETHERSFIELD, CONNECTICUT 06161-0001
On the Web at ct.gov/dmv
INSTRUCTIONS:
APPLICATION FOR AUTOMOBILE DEALER'S OR REPAIRER'S LICENSE (K-7)
SECTION 1
Business Information: Must be completed by the applicant and must provide the following
-
information:
Type of License: The type of license being applied for must be checked
Name under which business is to be conducted: This is the legal licensed name of the business and
all corresponding documents in regards to the license MUST reflect this name.
Full Address of location for which license is requested: This is the EXACT address where business
will be conducted. In addition, all records pertaining to business must be maintained at this location for
inspection for a period of two (2) years. NOTE: If you are requesting a license for more than one (1)
location a separate application for each location must be submitted.
Mailing Address, if different from location address: This is where all documentation and letters from
the DMV will be sent.
Type of Ownership: Depending on the type of ownership additional information will be required (i.e.,
LLC or Corporation).
The business holds a factory franchise to sell the following makes(s) of vehicle(s) at the above
location: A listing of the make(s) of vehicles(s) must be recorded on the application. In addition, for all
new car dealers, a franchise certificate/letter must be on file with the DMV for all makes listed for the
location.
The title, name, home address, telephone number, date of birth, and sex of all owners, partners, principal
officers, members or managers must be provided.
Certification: The application must be signed by owner, partner, managing member or authorized officer
in the presence of a notary.
SECTION 2 - Certificate of Approval for Proposed Location: Must be completed by an authorized official
in the city or town in which the location is proposed. (K-7 - Section 2)
An authorized official is defined as the Zoning Board of Appeals. If there is no ZBA in the municipality
approval must be obtained from the selectman or town manager of the town, mayor of the city, the warden of
the borough.
The local authorities may hold a hearing on the application before it is granted.
In addition, local authorities must indicate type of vehicles that are approved for sale at the location, and if
there are any restrictions placed on the use of the property.
In addition an authorized official, Fire Marshall and Building Official must sign the Application for Automobile
Dealer's or Repairer's License (K-7).
BUSINESS LICENSE PERSONNEL LIST (K-26)
The Business License Personnel List (K-26) is not required to be completed when submitting a License
Inspection Application (K-8), but will be required on other various transactions.
Page 1 of 6
SITE DRAWING
A site drawing of the proposed location must be prepared. This drawing must be prepared
in accordance with the License Application Drawing Specifications (K-93).
REQUEST FOR MARKER PLATES (FORM K-6)
This application is utilized to obtain marker plates to be used in conjunction with the business. C.G.S. 14-58
provides a detailed description of fees and requirements associated with general distinguishing number
plates. The fees for general distinguishing number plates are listed on Page 5 of this hand-out.
STATE OF CONNECTICUT DEPARTMENT OF ENERGY & ENVIRONMENTAL PROTECTION (DEEP)
REFERRAL SHEET
A completed State of Connecticut Department of Energy & Environmental Protection (DEEP) Referral sheet
must be submitted with each application and a letter of intent from the waste oil company.
TRADE NAME CERTIFICATE FROM TOWN CLERK
A trade name certificate is required whenever a person, firm or corporation does business under a name
different from the person's name or different from the names of the partners or officers. The trade name
certificate must show the signature of the town or city clerk in the municipality in which the licensee will do
business. If the applicant is a Corporation or LLC a Certificate of Existence from the Office of Secretary of
State will be required, in addition to the trade name certificate. The trade name (dba) must appear on all
documents submitted for the license.
VEHICLE STORAGE RATES REQUIREMENT APPLICATION (K-89)
This form must be on file with the DMV listing all information in relation to vehicle storage (i.e., operating
hours, type of security, number of vehicles which may be stored, etc.) if a wrecker is operated or if vehicles
will be towed into the location.
SALES TAX PERMIT
A clear copy of your CT State Sales Tax Permit must be submitted with your application (K-7). A permit must
be obtained by contacting the State of CT Department of Revenue Services, 450 Columbus Blvd,
Hartford, CT 06103.
INSURANCE CERTIFICATE
A CT Financial Responsibility Insurance Certificate (Form R1325d) must be submitted with each application.
An original and duplicate of this form must be received and must indicate the number of plates being insured.
A fax copy of this form IS NOT acceptable. (Sample Attached).
LICENSE INSPECTION APPLICATION (K-8)
Section 1-7 of the License Inspection Application must be completed by the applicant.
Section 1 Business and Management Information: This must be completed with business name, address,
phone number, etc.
Section 2A Personnel Information: Must list all personnel (by name) responsible for handling DMV
complaints, repairs and sales for the business.
Section 2B - Personnel Information: Must list the names of all certified personnel. In addition, a copy of
any certificates or credentials (indicating expiration dates) issued to listed personnel.
CT MV Regulations require at least one mechanic fully qualified to properly service the vehicles sold or
repairer with a thorough knowledge of the product sold or serviced. If the mechanic is an employee, the
mechanic must be employed at the licensed location (substantiated by payroll records for a minimum of 35
hours in each 7 day week).
Page 2 of 6
LICENSE INSPECTION APPLICATION (K-8) - (con't)
Section 2C - Personnel Information: This section requires that all owners, partners, members, (LLC) or
corporate officers are listed with required information as indicated. In addition, a CLEAR photo copy of the
drivers license for all listed individuals must be attached.
Section 2D - Personnel Information: This section must be completed for EACH owner, officer, manager or
member, and at least one mechanic. All positions held which are necessary for determining their eligibility as a
licensee should be listed.
NOTE: All applicants for licensing by the DMV will have their prior experience verified by the Department. If
the applicant's experience is with an out of state employer, a letter from their prior employer on their business
letterhead will be required. The letter must indicate the time employed, position held and the specific duties
performed.
On all applicants with experience in this state, a phone call will be made to the prior employers confirming
employment and duties performed. When the prior employer is out of business, it is the applicants
responsibility to provide a letter similar to the out of state experience letter.
Section 3 Site Information: This section must be completed with information in relation to the property where
the license will be located. The minimum requirements for each type of license is as follows:
1.
LIMITED REPAIRER: A building adequate to receive at least one (1) motor vehicle for repairs with a
suitable office and storage space for parts and accessories.
2.
GENERAL REPAIRER: A building adequate to receive at least one (1) motor vehicle for repairs with a
suitable office and storage space for parts and accessories.
3.
USED CAR DEALER: An area for the display of used cars with a repair department capable of
accommodating at least two (2) motor vehicles simultaneously for the purpose of repair and/or inspection
along with a suitable office in which business may be conducted.
The requirements for this subsection may be waived for second and subsequent licenses, provided the
location for which license is applied is adjacent to a location licensed by such application under Section
14-52, C.G.S.
4.
NEW CAR DEALER: An area for the display and storage of new and used motor vehicles with a repair
department capable of accommodating at least two (2) motor vehicles for the purpose of repair and/or
inspection and an office and parts department suitable to conduct business. Each applicant for a new car
dealers license must also hold a contract (franchise) from the manufacturer or importer, properly license
by the State of Connecticut, for each new make of vehicles offered for sale. This contract must be
certified by each such manufacturer or importer and submitted to the DMV.
Section 4 Office Information and Section & Repairer Service Information:
Depending on the type of license being applied for there are certain documents, required signs,
requirements and repair information required. The following is a list of documents, required signs and
requirements for each license type:
New and Used Car Dealers will be required to have and demonstrate the proper use of:
• Sales orders
• Waiver of estimates
• Sales invoices
• Loan agreements (dealer plates)
• Federal Odometer Statements
• Repair orders
• Buyers guide stickers
• Supplemental ID cards for plate use
• Estimate order and your provisions for documenting
• K-208 Form
oral authorization
Page 3 of 6
Repairers will be required to have and demonstrate the proper use of:
• Repair orders
• Waiver of estimates
• Loan agreements (repairer plates)
• Supplemental ID cards for plate use
• Estimate order and your provisions for documenting
oral authorization
In addition, if performing towing you will be required to have a tow record (invoices) and be knowledgeable in
the proper methods to dispose of abandoned vehicles.
All licensee's must have the proper tools and equipment to perform repairers and vehicle safety checks.
The following signs must be displayed at the business location for each type of license.
TYPE OF SIGN
NEW CAR
USED CAR
REPAIRER
DEALER
DEALER
Lemon Law
(Auto Dispute
Program) signs must be posted
Required
in the service area
VIN etching cost
Required
Required
Dealer Conveyance Fee
Required
Required
Customer Rights
Required
Required
Required
Labor and Storage Price
Required
Required
Required
Sign
The following two sections are to be completed at the time of inspection in the presence of DMV inspector.
Section 6 Questionnaire/Summary Information: This section is a questionnaire to provide the
Department with further details to your knowledge and ability to properly operate under the license for
which you are making application.
Section 7 Notarization: This section must be completed in the presence of an inspector of the DMV or
notary.
SURETY BOND
A surety bond must be submitted with each application (K-7). The type of license will determine the
surety bond amount
Type of License
Bond Amount
NEW and USED CAR
$50,000
GENERAL REPAIRER
$ 5,000
LIMITED REPAIRER
$ 5,000
The name and address on the bond must exactly match the business name and address that appears
on the Application (K-7).
CERTIFICATE OF FILING ETCHING OF VIN
C.G.S. 14-99h requires each new or used car dealer to offer the option of VIN etching, a new or used
dealer may also offer the service of marking component parts with the complete VIN number (this
service not required by law). A certificate of filing for the cost of this option must be on file with the
DMV and must be listed on the purchase orders.
Page 4 of 6
NEW CAR DEALERS ONLY
Franchise Appointment Certificate: This certificate/letter must state the full business name and
address of the dealership, the specific product that the dealer is authorized to sell and if it is a new or
replacement dealer. It must reflect that all dealers in the relevant market area were properly notified.
C.G.S. 14-133dd is the reference.
Dealer Agreement and Standard Provision: A copy of the Dealer Agreement and Standard Provisions
is required to be submitted with your application (K-7) and is obtained from the manufacturer.
LLC or CORPORATION
Certificate of existence: This is obtained from the Secretary of State office.
Corporate/Company Agent for Service of Process as registered with Secretary of State
form to be completed and submitted with application.
LLC ONLY
Copy of Operating Agreement when 2 or more members as defined in 34-202 as referenced
in 34-144. Reference Public Act 97-70 Section 4 content.
Copy of Articles of Organization and all Amendments as defined in 34-101 and referenced
in 34-144.
FEES TO BE PAID PRIOR TO APPROVAL
• $140.00 Application fee (License fees - 2 year license only).
FEES TO BE PAID AFTER FINAL APPROVAL (prior to license being issued):
Transaction
Fee
New Car Dealer
$700.00
Used Car Dealer
$560.00
General or Limited Repairer Marker Fee(s)
$340.00
Dealer or Repairer Plate
$140.00 per plate
Safety Plate Fee
$
5.00 per plate
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