BILL NUMBER: SB 91 CHAPTERED 09/09/02 CHAPTER 407 FILED WITH SECRETARY OF STATE SEPTEMBER 9, 2002 APPROVED BY GOVERNOR SEPTEMBER 6, 2002 PASSED THE SENATE AUGUST 22, 2002 PASSED THE ASSEMBLY AUGUST 19, 2002 AMENDED IN ASSEMBLY JUNE 19, 2002 AMENDED IN SENATE JANUARY 17, 2002 INTRODUCED BY Senator Figueroa JANUARY 16, 2001 An act to add Sections 11700.3, 11711.3, and 11740 to the Vehicle Code, relating to vehicles. LEGISLATIVE COUNSEL'S DIGEST SB 91, Figueroa. Vehicles: dealers: prohibited activities. (1) Existing law regulates various activities of motor vehicle dealers, and a violation of those provisions is a misdemeanor under other provisions of existing law. This bill would prohibit any person from aiding or abetting a person in the performance of any act in violation of vehicle dealer, remanufacturer, manufacturer, transporter, distributor, or related branch licensing laws. Because a violation of this prohibition would be a misdemeanor under other provisions of existing law, the bill would impose a state-mandated local program by creating a new crime. The bill would provide that any person acting as a dealer or a lessor-retailer, who is not duly licensed as a dealer or a lessor-retailer pursuant to law, may not enforce any security interest or bring or maintain any action in law or equity to recover any money or property or obtain other relief from the purchaser or lessee of a vehicle in connection with a transaction in which the person was required to be licensed as a dealer or a lessor-retailer at the time of the transaction. The bill would provide that remedies and penalties provided in the Vehicle Code for a violation of the vehicle occupational licensing laws are cumulative to the remedies and penalties provided by other laws. (2) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 11700.3 is added to the Vehicle Code, to read: 11700.3. No person may aid and abet a person in the performance of any act in violation of this chapter. SEC. 2. Section 11711.3 is added to the Vehicle Code, to read: 11711.3. A person acting as a dealer, who was not licensed as a dealer as required by this article, or a person acting as a lessor-retailer, who was not licensed as a lessor-retailer as required by Chapter 3.5 (commencing with Section 11600), may not enforce any security interest or bring or maintain any action in law or equity to recover any money or property or obtain other relief from the purchaser or lessee of a vehicle in connection with a transaction in which the person was, at the time at the transaction, required to be licensed as a dealer or a lessor-retailer. SEC. 3. Section 11740 is added to the Vehicle Code, to read: 11740. The remedies and penalties provided in this code for a violation of this article are cumulative to the remedies and penalties provided by other laws. SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.