218.164 Warranty obligation. (1) Each warrantor shall do all of the following: (a) Specify, in writing, to each of the warrantor’s dealers, the dealer’s obligations, if any, for preparation, delivery, and warranty service on the warrantor’s products. (b) Compensate the dealer for warranty service performed by the dealer that is covered by the warrantor’s own warranty. (c) Provide the dealer with the schedule of compensation to be paid and the time allowances for the performance of any work and service. The schedule of compensation shall include reasonable compensation for diagnostic work as well as warranty labor. If the schedule of compensation required by this paragraph does
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not include a particular repair, the warrantor shall reimburse the dealer for warranty service for the actual time expended unless the warrantor demonstrates that the actual time was not reasonable. If the warrantor demonstrates that the actual time was not reasonable, the dealer shall be paid a reasonable sum. (2) Time allowances for the diagnosis and performance of warranty labor shall be reasonable for the work to be performed. The compensation of a dealer for warranty labor may not be less than the lowest retail labor rate actually charged by the dealer in the ordinary course of business for like nonwarranty labor as long as the rate is reasonable. (3) The warrantor shall reimburse the dealer for any warranty part at actual wholesale cost plus a minimum 30 percent handling charge and the cost, if any, of freight to return such part to the warrantor. If a part is sent to the dealer at no cost, the dealer is entitled to payment of 30 percent of the wholesale cost of the part from the warrantor as a handling charge. The maximum handling charge for a part shall not exceed $300. If the warrantor requires the dealer to return a warranty part, accessory, or complete component, the warrantor shall reimburse the dealer the cost of freight to return the part, accessory, or component. (4) Warranty audits of dealer records may be conducted by the warrantor on a reasonable basis, and dealer claims for warranty compensation may not be denied except for cause, including performance of nonwarranty repairs, material noncompliance with the warrantor’s published policies and procedures, lack of material documentation, fraud, or misrepresentation. (5) A dealer shall submit warranty claims within 45 days after completing work. (6) A dealer shall notify the warrantor as soon as is reasonably possible, verbally or in writing, if the dealer is unable or unwilling to perform material or repetitive warranty repairs. (7) A warrantor shall disapprove warranty claims in writing within 45 days after the date of submission by the dealer in the manner and form prescribed by the warrantor. Claims not specifically disapproved in writing within 45 days shall be construed to be approved and must be paid within 60 days. (8) No warrantor may do any of the following: (a) Fail to perform any of its warranty obligations with respect to its warranted products. (b) Fail to include, in written notices of factory campaigns to recreational vehicle owners and dealers, the expected date by which necessary parts and equipment, including tires and chassis or chassis parts, will be available to dealers to perform the factory campaign work. A warrantor may ship parts to the dealer to affect the factory campaign work, and, if parts provided are in excess of the dealer’s requirements, the dealer may return unused parts to the warrantor for credit after completion of the campaign. (c) Fail to compensate any of its dealers for authorized repairs effected by the dealer of merchandise damaged in manufacture or transit to the dealer if the carrier is designated by the warrantor, factory branch, distributor, or distributor branch. (d) Fail to compensate any of its dealers for authorized warranty service in accordance with the time allowances set forth in the schedule of compensation under sub. (1) (c) if performed in a timely and competent manner. (e) Intentionally misrepresent in any way to purchasers of recreational vehicles that warranties with respect to the manufacture, performance, or design of the vehicle are made by the dealer as warrantor or co-warrantor. (f) Require the dealer to make warranties to customers in any manner related to the manufacture of the recreational vehicle. (9) No dealer may do any of the following:
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(a) Fail to perform predelivery inspection functions, as specified by the warrantor, in a competent and timely manner. (b) Fail to perform warranty service work authorized by the warrantor in a reasonably competent and timely manner on any transient customer’s vehicle of the same line-make unless the dealer determines that the customer is acting in a manner detrimental to its business. (c) Fail to track actual time expended to perform warranty work not governed by time allowances in the schedule of compensation under sub. (1) (c). (d) Claim an agency relationship with the warrantor or manufacturer. (e) Misrepresent the terms of any warranty. (10) Notwithstanding the terms of any dealer agreement, all of the following apply: (a) A warrantor shall indemnify, defend, and hold harmless its dealer against any losses or damages to the extent such losses or damages are caused by the negligence or willful misconduct of the warrantor. A dealer may not be denied indemnification or a defense for failing to discover, disclose, or remedy a defect in the design or manufacturing of the recreational vehicle. A dealer shall provide to the warrantor a copy of any suit in which allegations are made under this section within 10 days after receiving the suit. This paragraph shall continue to apply even after the recreational vehicle is titled. Indemnification shall include court costs, reasonable attorney fees, and expert witness fees incurred by the dealer. (b) A dealer shall indemnify, defend, and hold harmless its warrantor against any losses or damages to the extent such losses or damages are caused by the negligence or willful misconduct of the dealer. The warrantor shall provide to the dealer a copy of any suit in which allegations are made under this section within 10 days after receiving the suit. This paragraph shall continue to apply even after the recreational vehicle is titled. Indemnification must include court costs, reasonable attorney fees, and expert witness fees incurred by the warrantor. History: 2023 a. 164; 2025 a. 129.
218.165 Inspection of recreational vehicles. (1) Whenever a new recreational vehicle is damaged prior to transit to the dealer or is damaged in transit to the dealer when the carrier or means of transportation has been selected by the manufacturer or distributor, the dealer shall notify the manufacturer or distributor of the damage within the time frame specified in the dealer agreement and do any of the following: (a) Request from the manufacturer or distributor authorization to replace the components, parts, and accessories damaged or otherwise correct the damage. (b) Reject the vehicle within the time frame set forth in sub. (4). (2) If a manufacturer or distributor refuses or fails to authorize repair of damage described under sub. (1) within 10 days after receipt of notification under sub. (1) or if the dealer rejects the recreational vehicle because of damage, ownership of the new recreational vehicle reverts to the manufacturer or distributor. (3) A dealer shall exercise due care in custody of a damaged recreational vehicle, but the dealer shall have no other obligations, financial or otherwise, with respect to that recreational vehicle. (4) The time frame for inspection and rejection by the dealer shall be part of the dealer agreement and may not be less than 2 business days after the physical delivery of the recreational vehicle. History: 2023 a. 164.
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218.166 Coercion. (1) In this section, “coerce” includes threatening to terminate, cancel, or not renew a dealer agreement without good cause or threatening to withhold product lines or delay product delivery as an inducement to amending the dealer agreement. (2) A manufacturer or distributor may not coerce or attempt to coerce a dealer to do any of the following: (a) Purchase a product that the dealer did not order. (b) Enter into an agreement with the manufacturer or distributor. (c) Take any action that is unfair or unreasonable to the dealer. (d) Enter into an agreement that requires the dealer to submit its disputes to binding arbitration or otherwise waive rights or responsibilities provided under this subchapter. (e) Forego exercising a right authorized by a dealer agreement or any law governing the manufacturer-dealer relationship. (3) A dealer bears the burden of proof regarding the prohibited acts described in sub. (2). History: 2023 a. 164.
218.167 Dispute resolution. (1) A dealer, manufacturer, distributor, or warrantor injured by a violation of this subchapter by another dealer, manufacturer, distributor, or warrantor may bring a civil action in circuit court to recover actual damages. The court shall award attorney fees and costs to the prevailing party in an action under this section. Venue for any civil action authorized by this section shall be exclusively in the county in which the dealership is located. In an action involving more than one dealer, venue may be in any county in which a dealer who is party to the action is located. (2) (a) Before bringing suit under this section, the party bringing suit for an alleged violation shall serve a written demand for mediation upon the offending party. This paragraph does not apply to a proceeding for injunctive relief. (b) A demand for mediation under this subsection shall be served upon the offending party by certified mail at the address stated within the dealer agreement between the parties or, if the address is not contained in the agreement or the address is no longer valid, the address on the offending party’s license filed with this state. In the event of a civil action between 2 dealers, the demand shall be mailed to the address on the dealer’s license filed with this state. (c) A demand for mediation under this subsection shall contain a brief statement of the dispute and the relief sought by the party filing the demand. (d) Within 20 days after the date a demand for mediation is served under par. (b), the parties shall mutually select an independent mediator and meet with the mediator for the purpose of attempting to resolve the dispute. The meeting place shall be in this state in a location selected by the mediator. The mediator may extend the date of the meeting for good cause shown by either party or upon stipulation of both parties. (e) The service of a demand for mediation under this subsection stays the time for the filing of any complaint, petition, protest, or action under this subchapter until representatives of both parties have met with a mutually selected mediator for the purpose of attempting to resolve the dispute. If a complaint, petition, protest, or action is filed before that meeting, the court shall enter an order suspending the proceeding or action until the meeting has occurred and may, upon written stipulation of all parties to the proceeding or action that they wish to continue to mediate under this subsection, enter an order suspending the proceeding or action for as long a period as the court considers appropriate. A suspension order issued under this paragraph may be revoked by the court.
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(f) The parties to a mediation under this subsection shall bear their own costs for attorney fees and divide equally the cost of the mediator. (3) In addition to the remedies provided in this section, and notwithstanding the existence of any additional remedy at law, a dealer or manufacturer may apply to a circuit court for the grant, upon a hearing and for cause shown, of a temporary or permanent injunction, or both, restraining any person from acting as a dealer, manufacturer, or distributor without being properly licensed under this chapter, from violating or continuing to violate any of the provisions of this subchapter, or from failing or refusing to comply with the requirements of this subchapter. An injunction under this subsection shall be issued without bond. A single act in violation of any of the provisions of this subchapter is sufficient to authorize the issuance of an injunction. History: 2023 a. 164.
218.17 Penalties. (2) In any court action brought by the department for violations of this subchapter, the department may recover all costs of testing and investigation, in addition to costs otherwise recoverable, if it prevails in the action. (3) Nothing in this subchapter prohibits an aggrieved customer from bringing a civil action against a dealer or salesperson. If judgment is rendered for the customer based on an act or omission by the dealer or salesperson, which constituted a violation of this subchapter, the plaintiff shall recover actual and proper attorney fees in addition to costs otherwise recoverable. History: 1973 c. 116; 1991 a. 39, 269; 1993 a. 490; 1999 a. 9. Sub. (3) allows a customer to recover attorney fees when an incomplete warranty or no warranty has been tendered, but it does not allow recovery for a breach of warranty. Lightcap v. Steenberg Homes, Inc., 160 Wis. 2d 607, 466 N.W.2d 904 (1991).
SUBCHAPTER VII MOTOR VEHICLE SALVAGE DEALERS Cross-reference: See also ch. Trans 136, Wis. adm. code.
218.20 Definitions. In this subchapter: (1) “Department” means the department of transportation. (1g) “License period” means the period during which a license issued under s. 218.22 is effective, as established by the department under s. 218.22 (2) (b) 1. (1r) “Motor vehicle salvage dealer” means a person who purchases and resells motor vehicles for wrecking, processing, scrapping, recycling, or dismantling purposes or who carries on or conducts the business of wrecking, processing, scrapping, or dismantling motor vehicles or selling parts of motor vehicles so processed. Motor vehicle salvage dealer includes a motor vehicle scavenger and a scrap metal processor or scrap metal dealer who acquires a motor vehicle for scrap or salvage. (1t) “Motor vehicle scavenger” means a person who carries on or conducts the business of purchasing motor vehicles and reselling the vehicles to a motor vehicle salvage dealer or scrap metal processor. (1v) “Scrap metal dealer” has the meaning given in s. 134.405 (1) (h). (2) “Scrap metal processor” means a motor vehicle salvage dealer who sells no motor vehicles or motor vehicle parts and whose business is limited to a fixed location at which machinery and equipment are utilized for the processing and manufacturing of iron, steel or nonferrous metallic scrap into prepared grades and whose principal product is scrap iron, scrap steel or nonferrous metal scrap for sale for remelting purposes. History: 1987 a. 351; 1989 a. 31; 2015 a. 55; 2017 a. 170.
218.205 Motor vehicle salvage dealers to be licensed. (1) No person may carry on or conduct the business of a motor
218.21
vehicle salvage dealer unless licensed to do so by the department. Any person violating this section may be required to forfeit not less than $500 nor more than $5,000 for the first offense and may be fined not less than $500 nor more than $5,000 or imprisoned for not more than 60 days or both for a second or subsequent conviction within 5 years. (2) This section shall not apply to: (a) Motor vehicle dealers licensed under s. 218.0114 who remove, but do not sell, as such, parts of motor vehicles prior to sale of such vehicles to motor vehicle salvage dealers or scrap metal processors. (b) Scrap metal processors and portable scrap metal crushers who accept motor vehicles from only: 1. Licensed motor vehicle dealers; 2. Licensed motor vehicle salvage dealers; or 3. Municipalities, all of whom shall submit titles and reports to the department and retain records. (c) Any person who acquires a motor vehicle for salvage purposes for his or her own use and then sells the remainder to a motor vehicle salvage dealer or to another person who will further use that motor vehicle for salvage purposes for his or her own use before selling it to a motor vehicle salvage dealer. (d) Collectors of special interest vehicles who purchase or sell parts cars in compliance with s. 341.266. History: 1971 c. 40; 1975 c. 288; 1977 c. 29 s. 1654 (7) (a); 1977 c. 415; 1987 a. 351 s. 2; Stats. 1987 s. 218.205; 1997 a. 120; 1999 a. 31; 2013 a. 218. Cross-reference: See also s. Trans 136.01, Wis. adm. code.
218.21 Application for salvage dealer’s license. (1) Application for license shall be made to the department, at such time, in such form or in an automated format as prescribed by the department and contain such information as the department requires and shall be accompanied by the required fee. Except as provided in sub. (1m), the department may require in the application, or otherwise, information relating to the applicant’s solvency, financial standing or other pertinent matter commensurate with the safeguarding of the public interest in the locality in which the applicant proposes to engage in business, all of which may be considered by the department in determining the fitness of the applicant to engage in business as set forth in this section. (1m) The department may not require information relating to the applicant’s solvency or financial standing if the applicant provides a bond in the amount provided in sub. (4) and under conditions specified in s. 218.0114 (20) (b). (2) Application for a motor vehicle salvage dealer’s license shall be made upon the form prescribed by the department and, except as provided in sub. (2f), shall contain: (a) The name under which the applicant is transacting business within the state. (ag) If the applicant is an individual, the social security number of the individual. (am) If the applicant is a person who is not an individual, the person’s federal employer identification number. (b) The place or places where the business is to be conducted, which must be an established place of business. (c) If the applicant is a sole proprietorship, the personal name and address of the applicant. (d) If the applicant is a partnership, the name and address of each partner. (dL) If the applicant is a limited liability company, the name and address of each member. (e) If the applicant is a corporation, the names and addresses of its principal officers. (eg) A copy of correspondence on department of natural resources letterhead indicating that the applicant has permit cover-
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age under s. 283.33, or a statement from the department of natural resources that the applicant is not required to have a permit under s. 283.33. (em) A copy of correspondence on department of natural resources letterhead indicating that the applicant has registered or certified its compliance with refrigerant recovery to the department of natural resources, under its rules promulgated pursuant to s. 285.59, or a statement from the department of natural resources that the applicant is not required to register or certify under rules promulgated by the department of natural resources pursuant to s. 285.59. (f) Such other pertinent information as may be required by the department for the purpose of determining the eligibility of the applicant to be licensed. (2f) (a) If an applicant who is an individual does not have a social security number, the applicant, as a condition of applying for or applying to renew a motor vehicle salvage dealer’s license, shall submit a statement made or subscribed under oath or affirmation to the department that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of children and families. (b) Any motor vehicle salvage dealer’s license issued or renewed in reliance upon a false statement submitted by an applicant under par. (a) is invalid. (2m) (a) The department shall deny an application for the issuance or renewal of a license if any information required under sub. (2) (ag) or (am) is not included in the application or if a document required under sub. (2) (eg) and (em) is not included with the application. (b) The department of transportation may not disclose any information received under sub. (2) (ag) or (am) to any person except to the department of children and families for purposes of administering s. 49.22, the department of revenue for the sole purpose of requesting certifications under s. 73.0301, and the department of workforce development for the sole purpose of requesting certifications under s. 108.227. (3) Every application shall be executed by the applicant, if an individual, or in the event the applicant is a partnership, limited liability company or corporation, by a partner, member or officer thereof. Every such application shall be accompanied by the fee required by law. (4) (a) Unless the applicant furnishes a bond, or other adequate collateral as security, of not less than $25,000 under conditions provided by s. 218.0114 (20) (b), every application shall be accompanied by a current financial statement to determine the applicant’s solvency as required under sub. (1). Except as provided in par. (b), this paragraph does not apply to the application of a scrap metal processor. (b) Paragraph (a) does not preclude the department from requiring an applicant who is a scrap metal processor to provide information relating to the applicant’s solvency or financial standing if the applicant does not furnish a bond or other collateral as specified in par. (a) and the department has reasonable cause to believe that the applicant is financially insolvent. (5) (a) Except as provided in par. (b), when a motor vehicle salvage dealer has an established place of business in more than one municipality in this state, he or she shall make separate application and submit a separate license fee remittance for each such municipality. A motor vehicle salvage dealer who fails to apply for each such separate license may be required to forfeit not more than $200. (b) A scrap metal processor with an established place of business in more than one municipality may make a single application listing all places of business to be licensed and pay a single fee for the licensing of the listed places of business.
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(6) A bond may be required under conditions as provided by s. 218.0114 (20) (b). (7) Any person who knowingly makes a false statement in an application for a motor vehicle salvage dealer license is guilty of a Class H felony. History: 1975 c. 288; 1977 c. 29 s. 1654 (7) (a); 1977 c. 272, 415, 447; 1979 c. 32; 1987 a. 351; 1991 a. 39; 1993 a. 112; 1997 a. 191, 237, 283; 1999 a. 9, 31, 32; 2001 a. 109; 2005 a. 339; 2007 a. 20; 2013 a. 36. Cross-reference: See also s. Trans 136.01 and ch. Trans 140, Wis. adm. code.
218.22 When department to license salvage dealers. (1) The department shall issue a license to the applicant for a motor vehicle salvage dealer’s license upon the receipt of a properly completed application form accompanied by the fee required under sub. (2) (c) or (d), upon being satisfied that the applicant is financially solvent or that the applicant has furnished a bond, or other adequate collateral as security, of not less than $25,000 under conditions provided by s. 218.0114 (20) (b), and of good character and: (a) If the application is for renewal of an existing license, upon being satisfied that the applicant has complied with and will comply with this subchapter; (b) If the application is for an original license, upon being satisfied that: 1. The applicant will comply with this subchapter; and 2. The proposed site or operation will comply with all laws, the rules promulgated by the department and the locally applicable zoning or permit requirements, before beginning operations, including all laws, rules and local requirements already enacted as promulgated as of the date of application and scheduled to take effect at a later date. (2) (a) A motor vehicle salvage dealer’s license entitles the licensee to carry on and conduct the business of a motor vehicle salvage dealer during the license period. (b) 1. The department shall promulgate rules establishing a license period. 2. The department may promulgate rules establishing a uniform expiration date for all licenses issued under this section. (c) Except as provided in par. (d), the fee for a license issued under this section equals $75 multiplied by the number of years in the license period. The fee shall be prorated if the license period is not evenly divisible into years. (d) If the department issues a license under this section during the license period, the fee for the license shall equal $75 multiplied by the number of calendar years, including parts of calendar years, during which the license remains in effect. A fee determined under this paragraph may not exceed the license fee for the entire license period under par. (c). (2m) License fees collected under this subchapter shall be deposited in the transportation fund. (3) The department may deny, suspend or revoke a license on any of the following grounds: (a) Proof of financial insolvency or other unfitness. (b) Material misstatement in application for license. (c) Filing a materially false or fraudulent income or franchise tax return as certified by the department of revenue. (d) Willful failure to comply with any provision of this section or any rule promulgated by the department under this section. (e) Willfully defrauding any retail buyer to the buyer’s damage. (f) Willful failure to perform any written agreement with any retail buyer. (g) Failure or refusal to furnish and keep in force any bond required.
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(h) Having made a fraudulent sale, transaction or repossession. (i) Fraudulent misrepresentation, circumvention or concealment through whatsoever subterfuge or device of any of the material particulars or the nature thereof required hereunder to be stated or furnished to the retail buyer. (j) Employment of fraudulent devices, methods or practices in connection with compliance with the statutes with respect to the retaking of goods under retail installment contracts and the redemption and resale of such goods. (k) Having indulged in any unconscionable practice relating to said business. (L) Having charged interest in excess of 15 percent per year. (m) Having sold a retail installment contract to a sales finance company not licensed under ss. 218.0101 to 218.0163. (n) Having violated any law relating to the sale, distribution or financing of salvaged parts. (o) Failure to comply with this subchapter. (3m) (a) The department shall deny, restrict, limit or suspend a license if the applicant or licensee is an individual who is delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, or who fails to comply, after appropriate notice, with a subpoena or warrant issued by the department of children and families or a county child support agency under s. 59.53 (5) and related to paternity or child support proceedings, as provided in a memorandum of understanding entered into under s. 49.857. (b) The department of transportation shall suspend or revoke a license if the department of revenue certifies under s. 73.0301 that the licensee is liable for delinquent taxes. A licensee whose license is suspended or revoked under this paragraph for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and a hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this section. (c) The department of transportation shall suspend or revoke a license if the department of workforce development certifies under s. 108.227 that the licensee is liable for delinquent unemployment insurance contributions. A licensee whose license is suspended or revoked under this paragraph for delinquent unemployment insurance contributions is entitled to a notice under s. 108.227 (2) (b) 1. b. and a hearing under s. 108.227 (5) (a) but is not entitled to any other notice or hearing under this section. (4) (a) The licensor may without notice deny the application for a license within 60 days after receipt thereof by written notice to the applicant, stating the grounds for such denial. Within 30 days after such notice, the applicant may petition the division of hearings and appeals to conduct a hearing to review the denial, and a hearing shall be scheduled with reasonable promptness. This paragraph does not apply to denials of applications for licenses under sub. (3m). (b) No license shall be suspended or revoked except after a hearing thereon. The licensor shall give the licensee at least 5 days’ notice of the time and place of such hearing. The order suspending or revoking such license shall not be effective until after 10 days’ written notice thereof to the licensee, after such hearing has been had; except that the licensor, when in its opinion the best interest of the public or the trade demands it, may suspend a license upon not less than 24 hours’ notice of hearing and with not less than 24 hours’ notice of the suspension of the license. Matters involving suspensions and revocations brought before the department shall be heard and decided upon by the division of hearings and appeals. This paragraph does not apply to licenses that are suspended or revoked under sub. (3m).
218.23
(c) The licensor may inspect the pertinent books, records, letters and contracts of a licensee. The actual cost of each such examination shall be paid by such licensee so examined within 30 days after demand therefor by the licensor, and the licensor may maintain an action for the recovery of such costs in any court of competent jurisdiction. (5) No salvage dealer licensed under ss. 218.205 to 218.23 shall be licensed as a dealer under s. 218.0114 at his or her salvage dealer location, provided that nothing herein shall prohibit licensing and transacting of both businesses at the same location where the salvage operations are physically separated. History: 1975 c. 288; 1977 c. 29 ss. 1373m, 1374, 1654 (7) (a), (e); 1977 c. 415; 1979 c. 110 s. 60 (13); 1981 c. 347 s. 80 (2); 1983 a. 192; 1987 a. 351; 1989 a. 31; 1991 a. 39, 316; 1993 a. 16; 1997 a. 191, 237; 1999 a. 31; 2007 a. 20; 2009 a. 177; 2013 a. 36; 2021 a. 239. Cross-reference: See also s. Trans 136.01, Wis. adm. code.
218.23 Licensee to maintain records; purchase and sale of vehicles by licensee. (1) Whenever a licensed motor vehicle salvage dealer acquires a motor vehicle for the purpose of wrecking it, the dealer shall mail or deliver the certificate of title or if the transfer to the salvage dealer was by a bill of sale, the bill of sale, for such vehicle to the department within 30 days after the vehicle is delivered to the salvage yard unless the previous owner already has done so or, if another person is in possession of the certificate of title, as shown by the records of the department of transportation, that person already has done so. If the dealer subsequently wishes to transfer such vehicle to another person, the dealer shall make such transfer only by bill of sale. In such bill of sale, the dealer shall describe the vehicle and shall state that the certificate of title for the vehicle has been mailed or delivered to the department because the vehicle was to have been junked. (1d) No motor vehicle scavenger may acquire a motor vehicle by a bill of sale for the purpose of wrecking or junking the motor vehicle. (1g) Before a licensed motor vehicle salvage dealer may acquire a motor vehicle for the purpose of wrecking or junking the motor vehicle, the dealer shall examine the certificate of title for the motor vehicle, or examine the title records of the department if the person transferring the motor vehicle is not in possession of the certificate of title, to determine whether there is any security interest in the motor vehicle. A licensed motor vehicle salvage dealer who demonstrates that the dealer has acted in accordance with this subsection is not liable for any damages incurred by a person who asserts a security interest in a motor vehicle and who is not named on the certificate of title of the vehicle. (1r) No licensed motor vehicle salvage dealer may acquire a motor vehicle for the purpose of wrecking or junking the motor vehicle if the certificate of title for the motor vehicle identifies a holder of a security interest in the motor vehicle, unless the dealer, when obtaining the certificate of title for the vehicle, pays the outstanding amount of the obligation represented by the security interest in full to the holder of the security interest. (2) Every licensed motor vehicle salvage dealer shall maintain a record of every vehicle which is bought or otherwise acquired and wrecked by the salvage dealer, which record shall state the name and address of the person from whom such vehicle was acquired and the date thereof. The record shall be in the form prescribed by the department. (3) (a) Any person violating sub. (1) or (2) may be fined not less than $25 nor more than $200 or imprisoned not more than 60 days or both. (b) Any person knowingly violating sub. (1d), (1g), or (1r) may be fined not more than $250 for a first offense, not more than $750 for a 2nd offense, and not more than $1,500 for a 3rd or subsequent offense. Each day on which a licensed motor vehicle sal-
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vage dealer knowingly violates sub. (1g) or (1r) constitutes a separate offense. History: 1971 c. 164 s. 83; 1975 c. 288; 1977 c. 29 s. 1654 (7) (a); 1977 c. 273; 2011 a. 32; 2015 a. 55; 2017 a. 170. Cross-reference: See also s. Trans 136.03, Wis. adm. code.
218.24 Salvage dealer license number displayed on trucks and truck-tractors. (1) Each motor vehicle salvage dealer licensed under this subchapter shall prominently display his or her salvage dealer license number on both sides of each truck or truck-tractor owned by such dealer and operated for hauling, towing or pushing salvage vehicles. (2) The letters “DMV SAL” shall be placed directly ahead of the assigned license certificate number. (3) The markings required by this section shall be not less than 2 inches in height and not less than one-fourth inch brush stroke, and in sharp color contrast to the background on which it is applied. Such identification shall be maintained in such manner as to remain legible while the vehicle is in operation. (4) Any person violating this section may be fined not less than $25 nor more than $200 or imprisoned not more than 60 days or both. History: 1975 c. 288.
218.25 Rules. The department shall make rules under ch. 227 and establish the standards necessary to carry out the purposes of this subchapter and to provide for the orderly operation of motor vehicle salvage sites. History: 1975 c. 288; 1977 c. 29 s. 1654 (7) (a). Cross-reference: See also ch. Trans 136, Wis. adm. code.
SUBCHAPTER VIII MOTOR VEHICLE AUCTION DEALERS
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(d) The place or places where the business is to be conducted and the nature of the business. (e) Such other pertinent information as may be required by the department for the purpose of determining the eligibility of the applicant to be licensed. (1f) (a) If an applicant who is an individual does not have a social security number, the applicant, as a condition of applying for or applying to renew a motor vehicle auction dealer’s license, shall submit a statement made or subscribed under oath or affirmation to the department that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of children and families. (b) Any motor vehicle auction dealer’s license issued or renewed in reliance upon a false statement submitted by an applicant under par. (a) is invalid. (1m) (a) The department shall deny an application for the issuance or renewal of a license if any information required under sub. (1) (ag) or (am) is not included in the application. (b) The department of transportation may not disclose any information received under sub. (1) (ag) or (am) to any person except to the department of children and families for purposes of administering s. 49.22, the department of revenue for the sole purpose of requesting certifications under s. 73.0301, and the department of workforce development for the sole purpose of requesting certifications under s. 108.227. (2) Every application shall be executed by the applicant, if an individual, or in the event the applicant is a partnership, limited liability company or corporation, by a partner, member or officer thereof. Every such application shall be accompanied by the fee required by law. History: 1977 c. 29 s. 1654 (7) (a); 1993 a. 112; 1997 a. 191, 237; 1999 a. 9, 32; 2007 a. 20; 2013 a. 36.
Cross-reference: See also ch. Trans 138, Wis. adm. code.
218.30 Definitions. In this subchapter: (1) “Department” means the department of transportation. (2) “License period” means the period during which a license issued under s. 218.32 is effective, as established by the department under s. 218.32 (2) (b) 1. History: 1989 a. 31.
218.305 Motor vehicle auction dealers to be licensed. No person shall carry on or conduct the business of auctioning motor vehicles at wholesale unless licensed to do so by the department. Any person violating this section may be fined not less than $25 nor more than $200 or imprisoned not more than 60 days, or both. History: 1971 c. 40; 1977 c. 29 s. 1654 (7) (a); 1989 a. 31 s. 2487dp; Stats. 1989 s. 218.305.
218.31 Application for auction dealer’s license. (1) Application for a motor vehicle auction dealer’s license shall be made upon the form prescribed by the department and, except as provided in sub. (1f), shall contain: (a) The name and address of the applicant. (ag) When the applicant is an individual, the social security number of the individual. (am) When the applicant is a person who is not an individual, the person’s federal employer identification number. (b) When the applicant is a partnership, the name and address of each partner. (bL) When the applicant is a limited liability company, the name and address of each member. (c) When the applicant is a corporation, the names of the principal officers of the corporation and the name of the state in which incorporated.
218.32 When department to license auction dealer. (1) The department shall issue a license certificate to the applicant for a motor vehicle auction dealer’s license upon receipt of a properly completed application form accompanied by the fee required under sub. (2) (c) or (d) and upon being satisfied that the applicant is of good character and that, so far as can be ascertained, the applicant has complied with and will comply with the laws of this state with reference to ss. 218.305 to 218.33. (2) (a) A motor vehicle auction dealer’s license entitles the licensee to carry on and conduct the business of a motor vehicle auction dealer during the license period. (b) 1. The department shall promulgate rules establishing a license period. 2. The department may promulgate rules establishing a uniform expiration date for all licenses issued under this section. (c) Except as provided in par. (d), the fee for a license issued under this section equals $50 multiplied by the number of years in the license period. The fee shall be prorated if the license period is not evenly divisible into years. (d) If the department issues a license under this section during the license period, the fee for the license shall equal $50 multiplied by the number of calendar years, including parts of calendar years, during which the license remains in effect. A fee determined under this paragraph may not exceed the license fee for the entire license period under par. (c). (3) The department may deny, suspend or revoke a license on the following grounds: (a) Proof of unfitness. (b) Material misstatement in application for license. (c) Filing a materially false or fraudulent income or franchise tax return as certified by the department of revenue.
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(d) Willful failure to comply with any provision of this section or any rule promulgated by the department under this section. (e) Willfully defrauding any buyer to the buyer’s damage. (f) Willful failure to perform any written agreement with any buyer. (g) Failure or refusal to furnish and keep in force any bond required. (h) Having made a fraudulent sale, transaction or repossession. (i) Fraudulent misrepresentation, circumvention or concealment through whatsoever subterfuge or device of any of the material particulars or the nature thereof required hereunder to be stated or furnished to the buyer. (k) Having indulged in any unconscionable practice relating to said business. (L) Having charged interest in excess of 15 percent per year. (n) Having violated any law relating to the sale, distribution or financing of motor vehicles. (o) Failure to comply with ss. 218.305 to 218.33. (3m) (a) The department shall deny, restrict, limit or suspend a license if the applicant or licensee is an individual who is delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, or who fails to comply, after appropriate notice, with a subpoena or warrant issued by the department of children and families or a county child support agency under s. 59.53 (5) and related to paternity or child support proceedings, as provided in a memorandum of understanding entered into under s. 49.857. (b) The department of transportation shall suspend or revoke a license if the department of revenue certifies under s. 73.0301 that the licensee is liable for delinquent taxes. A licensee whose license is suspended or revoked under this paragraph for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and a hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this section. (c) The department of transportation shall suspend or revoke a license if the department of workforce development certifies under s. 108.227 that the licensee is liable for delinquent unemployment insurance contributions. A licensee whose license is suspended or revoked under this paragraph for delinquent unemployment insurance contributions is entitled to a notice under s. 108.227 (2) (b) 1. b. and a hearing under s. 108.227 (5) (a) but is not entitled to any other notice or hearing under this section. (4) (a) The licensor may without notice deny the application for a license within 60 days after receipt thereof by written notice to the applicant, stating the grounds for such denial. Within 30 days after such notice, the applicant may petition the division of hearings and appeals to conduct a hearing to review the denial, and a hearing shall be scheduled with reasonable promptness. This paragraph does not apply to denials of applications for licenses under sub. (3m). (b) No license shall be suspended or revoked except after a hearing thereon. The licensor shall give the licensee at least 5 days’ notice of the time and place of such hearing. The order suspending or revoking such license shall not be effective until after 10 days’ written notice thereof to the licensee, after such hearing has been had; except that the licensor, when in its opinion the best interest of the public or the trade demands it, may suspend a license upon not less than 24 hours’ notice of hearing and with not less than 24 hours’ notice of the suspension of the license. Matters involving suspensions and revocations brought before the department shall be heard and decided upon by the division of hear-
218.34
ings and appeals. This paragraph does not apply to licenses that are suspended or revoked under sub. (3m). (c) The licensor may inspect the pertinent books, records, letters and contracts of a licensee. The actual cost of each such examination shall be paid by such licensee so examined within 30 days after demand therefor by the licensor, and the licensor may maintain an action for the recovery of such costs in any court of competent jurisdiction. History: 1977 c. 29 ss. 1375, 1654 (7) (a), (e); 1977 c. 273; 1979 c. 110 s. 60 (13); 1981 c. 347 s. 80 (2); 1983 a. 192; 1989 a. 31; 1991 a. 39; 1993 a. 16; 1997 a. 191, 237; 1999 a. 141; 2007 a. 20; 2009 a. 177; 2013 a. 36. Cross-reference: See also ch. Trans 138, Wis. adm. code.
218.33 Motor vehicle auction dealer to be bonded; conduct of auction business. (1) Each licensee under s. 218.32 shall furnish and maintain a corporate surety bond in the amount of $25,000 in such form as the department approves, conditioned upon the licensee’s complying with the laws applicable to the licensee and as indemnity for any loss sustained by any person by reason of acts of the licensee constituting grounds for refusal or revocation of the auction dealer’s license. The bond shall run to the state of Wisconsin for the benefit of aggrieved parties, but the aggregate liability of the surety for all such parties shall not exceed the amount of said bond. (2) The following rules shall govern the conduct of motor vehicle auction sales: (a) Sales of motor vehicles shall be confined to those offered by licensed motor vehicle dealers and shall be made only to a person who is qualified under s. 218.34 to purchase, or submit a bid for the purchase of, a motor vehicle from a motor vehicle auction. (b) For each motor vehicle offered for sale by a motor vehicle dealer, the transferring dealer shall provide the motor vehicle auction dealer with clear title or shall furnish title insurance at the time of the sale. For each motor vehicle sold at an auction, the motor vehicle auction dealer shall enter on the certificate of title, or on the form or in the automated format used to reassign the title, any information that the department requires to indicate that ownership of the vehicle was transferred through an auction sale. (c) Payment for motor vehicles bought and sold shall be made immediately after sale. (2m) Section 342.157 applies to motor vehicle auction sales under this section. (3) Any person violating this section may be fined not less than $25 nor more than $200 or imprisoned not more than 60 days, or both. History: 1977 c. 29 s. 1654 (7) (a); 1977 c. 273; 1993 a. 159; 1997 a. 27; 2003 a. 216.
218.34 Purchases from a motor vehicle auction. (1) No person may purchase or submit a bid for the purchase of a motor vehicle from a motor vehicle auction unless the following conditions are satisfied: (a) The person holds a valid motor vehicle dealer, motor vehicle wholesaler, or motor vehicle buyer license. (b) If licensed as a motor vehicle buyer, the person bids on a vehicle for only one motor vehicle dealer at a time, and uses that dealer’s funds when purchasing the vehicle. (c) The person displays his or her valid motor vehicle dealer, motor vehicle wholesaler, or motor vehicle buyer license to the motor vehicle auction and includes his or her license number on each sheet of any bid submitted to a motor vehicle auction for the purchase of a motor vehicle or other document evidencing the purchase of a motor vehicle from a motor vehicle auction. (2) No motor vehicle auction may accept a bid for the purchase of a motor vehicle or complete the sale transaction unless the person who submits the bid or offers to purchase a motor vehicle from the motor vehicle auction satisfies the requirements of
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sub. (1) and the motor vehicle auction verifies that the motor vehicle dealer license, motor vehicle wholesaler license, or motor vehicle buyer license number displayed on the person’s license and included on each sheet of that person’s bid or other document evidencing the purchase of a motor vehicle are identical. (3) For each motor vehicle sold by a motor vehicle auction, the motor vehicle auction shall enter on the certificate of title, or on the form or in the automated format used to reassign the title, any information that the department requires to indicate that ownership of the vehicle was transferred by a motor vehicle auction. History: 2003 a. 216.
SUBCHAPTER IX MOPED DEALERS 218.40 Definitions. In this subchapter: (1) “Department” means the department of transportation. (1m) “License period” means the period during which a license granted under s. 218.41 is effective, as established by the department under s. 218.41 (2m) (a) 1. (2) “Moped” has the meaning designated in s. 340.01 (29m). (3) “Moped dealer” means any person, firm or corporation, who is engaged wholly or in part in the business of selling mopeds, except that a person, firm or corporation who is also a motor vehicle dealer under ss. 218.0101 to 218.0163 shall be governed and regulated by the provisions of ss. 218.0101 to 218.0163 and not this section. History: 1977 c. 288; 1981 c. 20; 1989 a. 31; 1999 a. 31.
218.41 Moped dealers regulated. (1) No person may engage in the business of selling mopeds in this state without a license therefor as provided in this section. (2) (a) Application for license shall be made to the department at such time and in such form, and containing such information, as the department requires. (am) 1. In addition to any other information required under this subsection and except as provided in subd. 3., an application for a license under this section shall include the following: a. In the case of an individual, the individual’s social security number. b. In the case of a person that is not an individual, the person’s federal employer identification number. 2. The department of transportation may not disclose any information received under subd. 1. a. or b. to any person except to the department of children and families for the sole purpose of administering s. 49.22, the department of revenue for the sole purpose of requesting certifications under s. 73.0301, and the department of workforce development for the sole purpose of requesting certifications under s. 108.227. 3. If an applicant who is an individual does not have a social security number, the applicant, as a condition of applying for or applying to renew a license under this section, shall submit a statement made or subscribed under oath or affirmation to the department that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of children and families. Any license issued or renewed in reliance upon a false statement submitted by an applicant under this subdivision is invalid. (b) The application shall be accompanied by the fee required under sub. (2m) (b) or (c). (c) The department may require in such application, or otherwise, information relating to the applicant’s solvency, financial standing or other pertinent matter, commensurate with the safeguarding of the public interest in the locality in which the appli-
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cant proposes to engage in business, all of which may be considered by the department in determining the fitness of the applicant to engage in business as set forth in this section. (d) All licenses shall be granted or refused within 30 days after the department receives the application for the license. (e) Each license shall specify the location of the office or branch for which it is issued and must be available for inspection there. In case such location is changed, the department shall endorse the change of location on the license without charge if it is within the same municipality. A change of license to another municipality shall require a new license. (2m) (a) 1. The department shall promulgate rules establishing a license period. 2. The department may promulgate rules establishing a uniform expiration date for all licenses granted under this section. (b) The department shall establish by rule the amount of the fee for a license granted under this section. The fee may not exceed a total of $50 per year for each year that the license is effective. The fee shall be prorated if the license period is not evenly divisible into years. (c) If the department grants a license under this section during the license period, the fee for the license shall equal the annual amount established under par. (b) multiplied by the number of calendar years, including parts of calendar years, during which the license remains in effect. A fee determined under this paragraph may not exceed the total license fee for the entire license period under par. (b). (3) A license may be denied, suspended or revoked on any of the following grounds: (a) Proof of unfitness of applicant. (b) Material misstatement in application for license. (c) Filing a materially false or fraudulent income or franchise tax return as certified by the department of revenue. (d) Willful failure to comply with any provision of this section or any rule or regulation promulgated by the department under this section. (e) Willfully defrauding any retail buyer to the buyer’s damage. (f) Willful failure to perform any written agreement with any retail buyer. (3m) (a) A license shall be denied, restricted, limited or suspended if the applicant or licensee is an individual who is delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, or who fails to comply, after appropriate notice, with a subpoena or warrant issued by the department of children and families or a county child support agency under s. 59.53 (5) and related to paternity or child support proceedings, as provided in a memorandum of understanding entered into under s. 49.857. (b) 1. A license shall be denied if the applicant fails to provide any information required under sub. (2) (am) 1. 2. A license shall be suspended or revoked if the department of revenue certifies under s. 73.0301 that the licensee is liable for delinquent taxes. A licensee whose license is suspended or revoked under this subdivision for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this section. 3. A license shall be suspended or revoked if the department of workforce development certifies under s. 108.227 that the licensee is liable for delinquent unemployment insurance contributions. A licensee whose license is suspended or revoked under this subdivision for delinquent unemployment insurance contri-
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218.51
butions is entitled to a notice under s. 108.227 (2) (b) 1. b. and hearing under s. 108.227 (5) (a) but is not entitled to any other notice or hearing under this section. (4) The department may without notice deny the application for a license within 30 days after receipt thereof by written notice to the applicant, stating the grounds for such denial. Upon request by the applicant whose license has been so denied, the division of hearings and appeals shall set the time and place of hearing a review of such denial, the same to be heard with reasonable promptness. This subsection does not apply to denials of applications for licenses under sub. (3m). (5) (a) No license may be suspended or revoked except after a hearing thereon. (b) Except as provided in par. (c), the division of hearings and appeals shall give the licensee at least 5 days’ notice of the time and place of the hearing. The order suspending or revoking the license shall not be effective until after 10 days’ written notice thereof to the licensee, after the hearing has been had. (c) When the department finds that the best interest of the public or the trade demands such action, the department may suspend a license upon not less than 24 hours’ notice of hearing and with not less than 24 hours’ notice of the suspension of the license. (d) This subsection does not apply to licenses that are suspended or revoked under sub. (3m). (6) The department may inspect the pertinent books, records, letters and contracts of a licensee. The actual cost of each such examination shall be paid by the licensee so examined within 30 days after demand therefor by the department, and the department may maintain an action for the recovery of the costs in any court of competent jurisdiction. (7) If a licensee is a firm or corporation, it shall be sufficient cause for the denial, suspension or revocation of a license that any officer, director or trustee of the firm or corporation, or any member in case of a partnership or limited liability company, has been guilty of any act or omission which would be cause for refusing, suspending or revoking a license to the party as an individual. Each licensee shall be responsible for the acts of any or all salespersons while acting as the licensee’s agent, if the licensee approved of or had knowledge of the acts or other similar acts and after such approval or knowledge retained the benefit, proceeds, profits or advantages accruing from the acts or otherwise ratified the acts. (8) Any department or other person in interest being dissatisfied with an order of the division of hearings and appeals may have a review thereof as provided in ch. 227.
(3) Any license canceled under this section may not be renewed for 12 months.
History: 1977 c. 288; 1981 c. 347 s. 80 (2); 1989 a. 31; 1991 a. 39; 1993 a. 16, 112; 1997 a. 191, 237; 1999 a. 9; 2007 a. 20; 2013 a. 36.
218.51 Buyer identification cards. (1) The department shall issue buyer identification cards to qualified applicants who wish to purchase or submit bids for the purchase of used or damaged motor vehicles from a motor vehicle salvage pool. The department shall specify the form of the buyer identification card. (2) A buyer identification card entitles a cardholder to purchase or submit bids for the purchase of a motor vehicle from a motor vehicle salvage pool during the buyer identification card period. (3) (a) The department shall administer this section and specify the form of the application for a buyer identification card and the information required to be provided in the application. (am) 1. In addition to any other information required under par. (a) and except as provided in subd. 3., an application for a buyer identification card shall include the following: a. In the case of an individual, the individual’s social security number.
218.42 Examination by department. No licensee is subject to examination or audit by the department under this subchapter other than as provided in s. 218.41 (6). History: 1977 c. 288.
218.43 Penalty. Any person violating s. 218.41 or a lawful rule or order issued thereunder may be required to forfeit not less than $25 nor more than $100 for the first offense and may be fined not less than $25 nor more than $100 for a 2nd or subsequent conviction within 3 years. (1) The department may cancel the license of the convicted licensee. (2) The license issued to any convicted licensee shall be surrendered to any police officer upon direction of the department without any refund of the fees paid.
History: 1977 c. 288; 2013 a. 370.
SUBCHAPTER X MOTOR VEHICLE SALVAGE POOLS AND BUYER IDENTIFICATION 218.50 Definitions. In this subchapter: (1) “Buyer identification card” means a card issued by the department authorizing the cardholder to bid on and purchase motor vehicles being held and offered for sale by a motor vehicle salvage pool and containing the full name, business and residence address and a brief description of the cardholder, the buyer identification number assigned to the cardholder by the department, either a facsimile of the cardholder’s signature or a space upon which the cardholder shall write his or her name immediately upon receipt of the card and such other information as the department specifies. (1m) “Buyer identification card period” means the period during which a buyer identification card issued under s. 218.51 is effective, as established by the department under s. 218.51 (3) (b) 1. (2) “Buyer identification number” means the distinguishing sequence of numbers or numbers and letters assigned by the department to a cardholder and appearing on that cardholder’s buyer identification card. (3) “Cardholder” means a person to whom the department has issued a buyer identification card. (4) “Department” means the department of transportation. (5) “Motor vehicle salvage pool” means a person who is engaged primarily in the business of selling or distributing damaged motor vehicles at wholesale, whether or not the motor vehicles are owned by that person. (6) “Qualified applicant” means a motor vehicle dealer, wholesaler salvage dealer licensed under this chapter, a motor vehicle dealer, wholesaler or salvage dealer licensed in another jurisdiction or an employee of a motor vehicle dealer, wholesaler or salvage dealer under this subsection. History: 1987 a. 349; 1989 a. 31, 56.
218.505 Salvage pools to be licensed as wholesalers. No motor vehicle salvage pool may engage in business as such unless licensed as a wholesaler under ss. 218.0101 to 218.0163. History: 1987 a. 349; 1999 a. 31.
May 22, 2026, are designated by NOTES. (Published 5-22-26)
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b. In the case of a person that is not an individual, the person’s federal employer identification number. 2. The department of transportation may not disclose any information received under subd. 1. a. or b. to any person except to the department of children and families for the sole purpose of administering s. 49.22, the department of revenue for the sole purpose of requesting certifications under s. 73.0301, and the department of workforce development for the sole purpose of requesting certifications under s. 108.227. 3. If an applicant for the issuance or renewal of a buyer identification card is an individual who does not have a social security number, the applicant, as a condition of applying for or applying to renew the buyer identification card, shall submit a statement made or subscribed under oath or affirmation to the department that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of children and families. Any buyer identification card issued or renewed in reliance upon a false statement submitted by an applicant under this subdivision is invalid. (b) 1. The department shall promulgate rules establishing the buyer identification card period. 2. The department may promulgate rules establishing a uniform expiration date for all buyer identification cards issued under this section. (c) The department shall establish by rule the amount of the fee for a buyer identification card issued under this section. The department may not require a fee for an individual who is eligible for the veterans fee waiver program under s. 45.44 for a buyer identification card issued under this section. (d) If the department issues a buyer identification card under this section during the buyer identification card period, the fee for the buyer identification card shall equal the amount established under par. (c), expressed at an annual rate, multiplied by the number of calendar years, including parts of calendar years, during which the buyer identification card remains in effect. A fee determined under this paragraph may not exceed the total buyer identification card fee for the entire buyer identification card period under par. (b). (4) The department may deny, suspend or revoke a buyer identification card on any of the following grounds: (a) Proof of unfitness. (b) Material misstatement in the application for a buyer identification card. (c) Filing a materially false or fraudulent income or franchise tax return as certified by the department of revenue. (d) Willful failure to comply with any provision of this subchapter or any rule promulgated by the department under this subchapter. (e) Failure or refusal to furnish and keep in force any bond required. (f) Having made a fraudulent transaction or having permitted the fraudulent use of his or her buyer identification card. (g) Fraudulent misrepresentation, circumvention or concealment through whatsoever subterfuge or device of any of the material particulars required under this subchapter to be stated or furnished to a motor vehicle salvage pool. (h) Having violated any law relating to the sale, distribution or financing of salvaged parts. (4m) (a) The department shall deny, restrict, limit or suspend a license if the applicant or licensee is an individual who is delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, or who fails to comply, after appropriate notice, with a subpoena or war-
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rant issued by the department of children and families or a county child support agency under s. 59.53 (5) and related to paternity or child support proceedings, as provided in a memorandum of understanding entered into under s. 49.857. (b) 1. A buyer identification card shall be denied if the applicant fails to provide any information required under sub. (3) (am) 1. 2. A buyer identification card shall be suspended or revoked if the department of revenue certifies under s. 73.0301 that the cardholder is liable for delinquent taxes. A cardholder whose buyer identification card is suspended or revoked under this subdivision for delinquent taxes is entitled to a notice under s. 73.0301 (2) (b) 1. b. and hearing under s. 73.0301 (5) (a) but is not entitled to any other notice or hearing under this section. 3. A buyer identification card shall be suspended or revoked if the department of workforce development certifies under s. 108.227 that the cardholder is liable for delinquent unemployment insurance contributions. A cardholder whose buyer identification card is suspended or revoked under this subdivision for delinquent unemployment insurance contributions is entitled to a notice under s. 108.227 (2) (b) 1. b. and hearing under s. 108.227 (5) (a) but is not entitled to any other notice or hearing under this section. (5) (a) The department may without notice deny the application for a buyer identification card within 60 days after receipt thereof by written notice to the applicant, stating the grounds for such denial. Within 30 days after such notice, the applicant may petition the division of hearings and appeals to conduct a hearing to review the denial, and a hearing shall be scheduled with reasonable promptness. This paragraph does not apply to denials of applications for licenses under sub. (4m). (b) No buyer identification card may be suspended or revoked except after a hearing thereon. The department shall give the cardholder at least 5 days’ notice of the time and place of such hearing. The order suspending or revoking a buyer identification card shall not be effective until after 10 days’ written notice thereof to the cardholder, after such hearing has been had; except that the department, when in its opinion the best interest of the public or the trade demands it, may suspend a buyer identification card upon not less than 24 hours’ notice of hearing and with not less than 24 hours’ notice of the suspension of the buyer identification card. Matters involving suspensions and revocations brought before the department shall be heard and decided upon by the division of hearings and appeals. This paragraph does not apply to licenses that are suspended or revoked under sub. (4m). (c) The department may inspect the pertinent books, records, letters and contracts of a cardholder. The actual cost of each such examination shall be paid by the cardholder so examined within 30 days after demand therefor by the department, and the department may maintain an action for the recovery of such costs in any court of competent jurisdiction. History: 1987 a. 349; 1989 a. 31; 1991 a. 39; 1993 a. 16; 1997 a. 191, 237; 1999 a. 9; 2007 a. 20; 2011 a. 209; 2013 a. 36. Cross-reference: See also ch. Trans 147, Wis. adm. code.
218.52 Purchases from motor vehicle salvage pools. (1) No person may purchase or submit a bid for the purchase of a motor vehicle from a motor vehicle salvage pool unless the following conditions are satisfied: (a) The person is a cardholder and the person’s buyer identification card has not been suspended or revoked. (b) The person displays his or her valid buyer identification card to the salvage pool and includes his or her buyer identification number on each sheet of any bid submitted to a motor vehicle salvage pool for the purchase of a motor vehicle or other docu-
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ment evidencing the purchase of a motor vehicle from a motor vehicle salvage pool. (2) No motor vehicle salvage pool may accept a bid for the purchase of a motor vehicle or complete the sales transaction unless the person who submits the bid or offers to purchase a motor vehicle from the motor vehicle salvage pool satisfies the conditions under sub. (1) (b) and the motor vehicle salvage pool verifies that the buyer identification number displayed on the person’s buyer identification card and included on each sheet of that person’s bid or other document evidencing the purchase of a motor vehicle are identical. (3) For each motor vehicle sold by a motor vehicle salvage pool, the motor vehicle salvage pool shall enter on the certificate
218.53
of title, or on the form or in the automated format used to reassign the title, any information that the department requires to indicate that ownership of the vehicle was transferred by a motor vehicle salvage pool. (4) Section 342.157 applies to motor vehicles sold by a motor vehicle salvage pool under this section. History: 1987 a. 349; 1993 a. 159; 1997 a. 27. Cross-reference: See also ch. Trans 147, Wis. adm. code.
218.53 Penalties. Any person who violates this subchapter shall be fined not less than $1,000 nor more than $10,000 and may be imprisoned for not more than 90 days or both. History: 1987 a. 349.
May 22, 2026, are designated by NOTES. (Published 5-22-26)