An Act Regarding the Licensing of Online Used Car Dealers
Sponsored By: Timothy E. Nangle (Democratic)
Signed by Governor
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Bill Overview
Analyzed Economic Effects
4 provisions identified: 3 benefits, 0 costs, 1 mixed.
Online car buyers get inspection protections
Online dealers must have vehicles pass a Maine inspection before sale and cannot sell vehicles classified as reconstructable or unsafe. For Maine buyers, a licensed Maine station must inspect the vehicle before delivery. The vehicle must display a valid inspection sticker issued within 60 days of sale. Dealers must license their own inspection station or use a Maine-licensed partner; lacking either is grounds for license suspension. Partners must be listed in applications and renewals, and changes must be reported in writing. These pilot rules end December 31, 2028.
Online car buyers get required information
Online dealers are exempt from physical display requirements but must provide required state and federal vehicle disclosures on digital listings. At delivery, buyers must receive and sign a state-authorized disclosure form, which the dealer must retain. Dealers without a Maine repair facility must identify an authorized warranty-service location at or before sale and in warranty documents. That written notice must include the facility's name, address, and contact details. At sale, dealers must give buyers written support details, including a toll-free number and electronic address, and maintain reasonable contact hours. Dealers must also provide direct telephone access to a designated corporate representative. These pilot rules end December 31, 2028.
Online car buyers gain dealer accountability
Maine can suspend or revoke online dealers' licenses for breaking pilot rules, including inspection, disclosure, warranty, or recordkeeping duties. Breaking a consumer sales contract is also grounds for administrative action, including suspension or revocation. Dealers must keep sales and transaction records as Maine law requires; electronic storage is allowed. They must produce records within one business day when the Secretary of State, Attorney General, or law enforcement requests them. Each dealer must name a Maine registered agent to receive legal papers and give the bureau the agent's contact details. These pilot rules end December 31, 2028.
Online car dealers gain licenses with limits
Maine creates a two-year licensing pilot for used-car dealers selling only through digital platforms, without a required Maine retail lot. Applicants must be corporations or limited liability companies in good standing, meet state background-check rules, and show sales in multiple U.S. jurisdictions. They must also show at least 100 annual vehicle sales, file a $350,000 surety bond, and pay $500 yearly. Any physical location they choose to operate must meet applicable dealer standards, and other applicable vehicle-sales laws still apply. These dealers cannot get Maine dealer plates; Maine temporary plates are allowed only for sales to Maine buyers. The Secretary of State can set implementation rules and must report on effectiveness, risks, and consumer protections by January 15, 2028. The Transportation Committee can introduce follow-up legislation in the Second Regular Session of the 133rd Legislature. The pilot ends December 31, 2028.
Sponsors & Cosponsors
Sponsor
Timothy E. Nangle
Democratic • Senate
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
Actions Timeline
Signed by Governor, ACTPUB Chapter 637
4/3/2026PASSED TO BE ENACTED, in concurrence.
3/25/2026SenatePASSED TO BE ENACTED. Sent for concurrence. ORDERED SENT FORTHWITH.
3/24/2026HouseCONSENT CALENDAR - FIRST DAYUnder suspension of the rules CONSENT CALENDAR - SECOND DAY.The Bill was PASSED TO BE ENGROSSED as Amended by Committee Amendment "A" (S-549).In concurrence. ORDERED SENT FORTHWITH.
3/19/2026HouseCOMMITTEE ON BILLS IN THE SECOND READING REPORTS NO FURTHER VERBAL AMENDMENTS NECESSARY. REPORT ACCEPTED.READ A SECOND TIME and PASSED TO BE ENGROSSED AS AMENDED BY Committee Amendment "A" (S-549)Ordered sent down forthwith for concurrence.
3/18/2026SenateReport READ and ACCEPTED.Bill READ ONCE. Committee Amendment "A" (S-549) READ and ADOPTED. ASSIGNED FOR SECOND READING NEXT LEGISLATIVE DAY.
3/17/2026SenateThe Bill was REFERRED to the Committee on TRANSPORTATION.In concurrence. ORDERED SENT FORTHWITH.
1/27/2026HouseCommittee on TRANSPORTATION suggested and ordered printed REFERENCE to the Committee on TRANSPORTATION Ordered sent down forthwith for concurrence
1/27/2026Senate
Bill Text
Amendment C-A (S-549), adopted by House & Senate
Enacted
Introduced
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