AB969,22,216 218.0114 (4) Application for a license under this section shall be made to the
7licensor, at such the time, in such the form and with such information as that the
8licensor shall may require and shall be accompanied by the required fees. An
9applicant for a sales finance company license, other than a motor vehicle dealer, shall
10pay to the division of banking a nonrefundable $300 investigation fee in addition to
11the license fee under par. (dr) sub. (16). If the cost of an investigation exceeds $300,
12the applicant shall, upon demand of the division of banking, pay the amount by
13which the cost of the investigation exceeds the nonrefundable fee. A licensee is not
14required to pay an investigation fee for the renewal of a license. The licensor may
15require the applicant to provide information relating to any pertinent matter that
16is commensurate with the safeguarding of the public interest in the locality in which
17the applicant proposes to engage in business, except that information relating to the
18applicant's solvency and financial standing may not be required for motor vehicle
19dealers except as provided in par. (h) 1. sub. (20) (a). The information provided may
20be considered by the licensor in determining the fitness of the applicant to engage
21in business as set forth in this section ss. 218.0101 to 218.0163.
AB969, s. 59 22Section 59. 218.01 (2) (bb) of the statutes is renumbered 218.0114 (5) and
23amended to read:
AB969,23,624 218.0114 (5) (a) A motor vehicle dealer or an applicant for a motor vehicle
25dealer license shall provide and maintain in force a bond or irrevocable letter of credit

1of not less than $25,000 or, if the dealer or applicant sells or proposes to sell
2motorcycles and not other types of motor vehicles, a bond or irrevocable letter of
3credit of not less than $5,000. The bond or letter of credit shall be executed in the
4name of the department of transportation for the benefit of any person who sustains
5a loss because of an act of a motor vehicle dealer that constitutes grounds for the
6suspension or revocation of a license under this section ss. 218.0101 to 218.0163.
AB969,23,147 (b) A sales finance company or an applicant for a sales finance company license
8shall provide and maintain in force a bond or irrevocable letter of credit of not less
9than $25,000 issued by a surety company licensed to do business in this state or a
10federally insured financial institution, as defined in s. 705.01 (3). The bond or letter
11of credit shall be payable to the state of Wisconsin for the use of the state and of any
12person who sustains a loss because of an act of a sales finance company that
13constitutes grounds for the suspension or revocation of a license under this section
14ss. 218.0101 to 218.0163.
AB969, s. 60 15Section 60. 218.01 (2) (bc) of the statutes is renumbered 218.0114 (6) and
16amended to read:
AB969,24,517 218.0114 (6) Except as provided in this subsection section every dealer and
18distributor of new motor vehicles shall, at the time of application for a license, file
19with the department of transportation a certified copy of the applicant's written
20agreement and a certificate of appointment as dealer or distributor, respectively. The
21certificate of appointment shall be signed by an authorized agent of the
22manufacturer of domestic vehicles on direct manufacturer-dealer agreements; or,
23where the manufacturer is wholesaling through an appointed distributorship, by an
24authorized agent of the distributor on indirect distributor-dealer agreements. The
25certificate shall be signed by an authorized agent of the importer on direct

1importer-dealer agreements of foreign-made vehicles; or by an authorized agent of
2the distributor on indirect distributor-dealer agreements. The distributor's
3certificate of appointment shall be signed by an authorized agent of the
4manufacturer; or by an agent of the manufacturer or importer of foreign
5manufactured vehicles.
AB969, s. 61 6Section 61. 218.01 (2) (bd) 1. of the statutes is renumbered 218.0114 (7) (a) 1.
7(intro.) and amended to read:
AB969,24,128 218.0114 (7) (a) 1. (intro.) A written agreement need not be filed for each dealer
9or distributor if the manufacturer on or importer for direct dealerships or distributor
10on for indirect dealerships or importer on direct dealerships utilizes the identical
11basic agreement for all its dealers or distributors in Wisconsin and certifies in the
12certificate of appointment that such blanket all of the following:
AB969,24,14 13a. That the basic agreement is on file and such written with the department
14of transportation.
AB969,24,17 15b. That the manufacturer's, distributor's or importer's agreement with such
16dealer
each of its dealers or distributor distributors, respectively, is identical with to
17the filed blanket basic agreement , and.
AB969,24,20 18c. That the manufacturer, distributor or importer has filed with the department
19of transportation
one such executed basic agreement together with a list of its
20authorized dealers or distributors. Such with the department of transportation.
AB969,24,22 212. A manufacturer, distributor or importer shall notify the department of
22transportation immediately of any of the following:
AB969,24,24 23a. The appointment of any additional dealers or distributors, of any not
24included in the list filed under subd. 1. c.
AB969,25,2
1b. Any revisions of or additions to the basic agreement on file, or of any under
2subd. 1. a.
AB969,25,4 3c. Any individual dealer or distributor supplements to such the basic
4agreement on file under subd. 1. a.
AB969,25,14 53. Except as provided in subd. 1g., the par. (b), a manufacturer, distributor or
6importer shall notify the a dealer or distributor and forward a copy of such notice to
7the department of transportation
of the discontinuation or cancellation of the
8manufacturer's, distributor's or importer's
agreement of any of its dealers or
9distributors
at least 60 days before the effective date thereof together with of the
10discontinuation or cancellation. The notice shall state
the specific grounds for
11discontinuation or cancellation of the agreement, if discontinued or canceled. The
12manufacturer, distributor or importer that issues the notice of discontinuation or
13cancellation shall forward a copy of the notice to the department of transportation
14at least 60 days before the effective date of the discontinuation or cancellation
.
AB969,25,19 15(e) Agreements and certificates of appointment are deemed considered to be
16continuing unless the manufacturer, distributor or importer has notified the
17department of transportation of the discontinuation or cancellation of the agreement
18of any of its dealers or distributors, and annual renewal of certifications filed as
19provided in this subsection section is not necessary.
AB969, s. 62 20Section 62. 218.01 (2) (bd) 1g. of the statutes is renumbered 218.0114 (7) (b).
AB969, s. 63 21Section 63. 218.01 (2) (bd) 1r. of the statutes is renumbered 218.0114 (7) (c),
22and 218.0114 (7) (c) (intro.), as renumbered, is amended to read:
AB969,25,2523 218.0114 (7) (c) (intro) The notice served upon a motor vehicle dealer under
24subds. 1. and 1g. pars. (a) 3. and (b) is not effective unless it conspicuously displays
25the following statement:
AB969, s. 64
1Section 64. 218.01 (2) (bd) 2. of the statutes is renumbered 218.0114 (7) (d) and
2amended to read:
AB969,26,143 218.0114 (7) (d) Any dealer or distributor discontinued or canceled may, on or
4before the date on which the discontinuation or cancellation becomes effective, file
5with the department of transportation and division of hearings and appeals and
6serve upon the respondent manufacturer, distributor or importer a complaint for a
7determination of unfair discontinuation or cancellation under sub. (3) (a) 17. s.
8218.0116 (1) (i).
Allowing opportunity for an answer, the The division of hearings and
9appeals shall thereafter schedule a hearing on and decide the matter after allowing
10the respondent an opportunity to answer
. Agreements and certificates of
11appointment shall continue in effect until final determination of the issues raised in
12such the complaint. If the complainant prevails he or she shall have a cause of action
13against the defendant respondent for reasonable expenses and attorney fees
14incurred by him or her in such the matter.
AB969, s. 65 15Section 65. 218.01 (2) (bd) 3. of the statutes is renumbered 218.0114 (2m) and
16amended to read:
AB969,26,2517 218.0114 (2m) No manufacturers', distributors' or importers' vehicles shall be
18sold in this state unless either the manufacturer on direct dealerships of domestic
19vehicles, the importer of foreign manufactured vehicles on direct dealerships or the
20distributor on indirect dealerships of either domestic or foreign vehicles are licensed
21under s. 218.01 ss. 218.0101 to 218.0163. The obtaining of a license under s. 218.01
22ss. 218.0101 to 218.0163 shall conclusively establish that such a manufacturer,
23distributor or importer is doing business in this state and shall subject the licensee
24to all provisions of the Wisconsin statutes regulating manufacturers, importers and
25distributors.
AB969, s. 66
1Section 66. 218.01 (2) (bf) of the statutes is renumbered 218.0114 (8) and
2amended to read:
AB969,27,63 218.0114 (8) Within 60 days after the department of transportation issues a
4declaratory ruling under s. 227.41 that an agreement is inconsistent with par. (bm)
5sub. (9), a manufacturer, distributor or importer shall remove or revise any provision
6of the agreement declared to be inconsistent with par. (bm) sub. (9).
AB969, s. 67 7Section 67. 218.01 (2) (bm) 1. (intro.) of the statutes is renumbered 218.0114
8(9) (a) (intro.) and amended to read:
AB969,27,109 218.0114 (9) (a) (intro.) Except as provided in par. (bo) sub. (10), provisions of
10an agreement which do any of the following are void and prohibited:
AB969, s. 68 11Section 68. 218.01 (2) (bm) 1. a. of the statutes is renumbered 218.0114 (9) (a)
121. and amended to read:
AB969,27,1613 218.0114 (9) (a) 1. Waive a remedy or defense available to a distributor or dealer
14or other provision protecting the interests of a distributor or dealer under this section
15ss. 218.0101 to 218.0163 or under rules promulgated by the department of
16transportation under this section ss. 218.0101 to 218.0163.
AB969, s. 69 17Section 69. 218.01 (2) (bm) 1. b. of the statutes is renumbered 218.0114 (9) (a)
182.
AB969, s. 70 19Section 70. 218.01 (2) (bm) 1. c. of the statutes is renumbered 218.0114 (9) (a)
203.
AB969, s. 71 21Section 71. 218.01 (2) (bm) 2. of the statutes is renumbered 218.0114 (9) (b)
22and amended to read:
AB969,28,323 218.0114 (9) (b) 1. Notwithstanding subd. 1. b. par. (a) 2. and subject to sub. (3)
24(a) 36. d.
s. 218.0116 (1) (qm) 4., an agreement may provide for the resolution of
25disputes by arbitration, including binding arbitration, if both parties to the

1agreement voluntarily agree to an arbitration provision. An arbitrator acting under
2this subd. 2. a. subdivision shall be bound by the laws of this state, including par. (bd)
32.
sub. (7) (d) and other provisions of this section ss. 218.0101 to 218.0163.
AB969,28,64 2. No finding of an arbitrator is binding upon any person who is not a party to
5the agreement. A finding of an arbitrator does not bind the department of
6transportation with respect to enforcement of this section ss. 218.0101 to 218.0163.
AB969, s. 72 7Section 72. 218.01 (2) (bm) 3. of the statutes is renumbered 218.0114 (9) (c)
8and amended to read:
AB969,28,119 218.0114 (9) (c) Notwithstanding subd. 1. b. par. (a) 2., an agreement may
10require a dealer or distributor to submit disputes to a nonbinding and reasonably
11prompt dispute resolution procedure before bringing an action in another forum.
AB969, s. 73 12Section 73. 218.01 (2) (bo) (intro.) of the statutes is renumbered 218.0114 (10)
13(intro.) and amended to read:
AB969,28,1514 218.0114 (10) (intro.) Paragraph (bm) Subsection (9) does not apply to any of
15the following:
AB969, s. 74 16Section 74. 218.01 (2) (bo) 1. of the statutes is renumbered 218.0114 (10) (a).
AB969, s. 75 17Section 75. 218.01 (2) (bo) 2. of the statutes is renumbered 218.0114 (10) (b)
18and amended to read:
AB969,28,2119 218.0114 (10) (b) An agreement, made after a dealer receives notice under sub.
20(3) (f) 1.
s. 218.0116 (7) (a), which waives the dealer's right to file a complaint
21protesting the establishment or relocation of a dealership proposed in the notice.
AB969, s. 76 22Section 76. 218.01 (2) (bs) of the statutes is renumbered 218.0114 (11) and
23amended to read:
AB969,29,224 218.0114 (11) A manufacturer, distributor or importer shall designate in
25writing the area of sales responsibility assigned to a motor vehicle dealer. A

1manufacturer, distributor or importer may not modify the area of sales responsibility
2to avoid the requirements of sub. (3) (f) s. 218.0116 (7).
AB969, s. 77 3Section 77. 218.01 (2) (c) 1. of the statutes is renumbered 218.0114 (12) (a) and
4amended to read:
AB969,29,75 218.0114 (12) (a) Except as provided in subd. 2. par. (b), all licenses shall be
6granted or refused within 60 days after the licensor receives the application for the
7license.
AB969, s. 78 8Section 78. 218.01 (2) (c) 2. a. of the statutes is renumbered 218.0114 (12) (b)
91.
AB969, s. 79 10Section 79. 218.01 (2) (c) 2. b. of the statutes is renumbered 218.0114 (12) (b)
112. and amended to read:
AB969,29,1512 218.0114 (12) (b) 2. In cases where a complaint has been filed under sub. (3)
13(f)
s. 218.0116 (7) protesting the proposed establishment or relocation of a dealership
14in a relevant market area, no license may be issued until the division of hearings and
15appeals has rendered a decision permitting the issuance of the license.
AB969, s. 80 16Section 80. 218.01 (2) (cm) of the statutes is renumbered 218.0114 (13) and
17amended to read:
AB969,29,1918 218.0114 (13) (a) Licenses described in par. (dr) sub. (16) expire on December
1931 of the calendar year for which the licenses are granted.
AB969,29,2120 (b) The department of transportation shall promulgate rules establishing the
21license period for each type of license described in par. (d) 1. to 6. sub. (14) (a) to (f).
AB969,29,2422 (c) The department of transportation may promulgate rules establishing
23expiration dates for the various types of licenses described in par. (d) 1. to 6. sub. (14)
24(a) to (f).
AB969,30,2
1(d) The division of banking shall promulgate rules establishing the license
2period for the license described in par. (d) 8. sub. (14) (g).
AB969,30,43 (e) The division of banking may promulgate rules establishing expiration dates
4for licenses issued under par. (d) 8. sub. (14) (g).
AB969, s. 81 5Section 81. 218.01 (2) (d) (intro.) of the statutes is renumbered 218.0114 (14)
6(intro.) and amended to read:
AB969,30,97 218.0114 (14) (intro.) Subject to par. (dm) sub. (15), the fee for licenses
8described in this paragraph subsection equals the number of years in a license period
9multiplied by whichever of the following applies:
AB969, s. 82 10Section 82. 218.01 (2) (d) 1. of the statutes is renumbered 218.0114 (14) (a) and
11amended to read:
AB969,30,1512 218.0114 (14) (a) For motor vehicle dealers, to the department of
13transportation, $20 for each office or branch thereof of the motor vehicle dealer, plus
14$1 for a supplemental license for each used motor vehicle lot within the same
15municipality, but not immediately adjacent to the office or to a branch.
AB969, s. 83 16Section 83. 218.01 (2) (d) 2. of the statutes is renumbered 218.0114 (14) (b).
AB969, s. 84 17Section 84. 218.01 (2) (d) 3. of the statutes is renumbered 218.0114 (14) (c).
AB969, s. 85 18Section 85. 218.01 (2) (d) 4. of the statutes is renumbered 218.0114 (14) (d) and
19amended to read:
AB969,30,2120 218.0114 (14) (d) Any person licensed under subd. 2. or 3. next preceding, par.
21(b) or (c)
may also operate as a motor vehicle dealer, without any additional fee.
AB969, s. 86 22Section 86. 218.01 (2) (d) 5. of the statutes is renumbered 218.0114 (14) (e).
AB969, s. 87 23Section 87. 218.01 (2) (d) 6. of the statutes is renumbered 218.0114 (14) (f).
AB969, s. 88 24Section 88. 218.01 (2) (d) 8. of the statutes is renumbered 218.0114 (14) (g) and
25amended to read:
AB969,31,2
1218.0114 (14) (g) 1. Except as provided in subd. 8. b. 2., for motor vehicle
2dealers, to the division of banking, $10.
AB969,31,63 2. For motor vehicle dealers that operate as a sales finance company or that
4carry or retain retail instalment contracts or consumer leases for more than 30 days,
5to the division of banking, the same as for sales finance companies under par. (dr)
6sub. (16).
AB969, s. 89 7Section 89. 218.01 (2) (dm) of the statutes is renumbered 218.0114 (15) and
8amended to read:
AB969,31,129 218.0114 (15) (a) If the department of transportation or division of banking
10establishes a license period that is not evenly divisible into years, the department of
11transportation or division of banking shall prorate the remainder when determining
12the license fee under par. (d) sub. (14).
AB969,31,1913 (b) If the department of transportation or division of banking grants a license
14described under par. (d) sub. (14) during the license period, the fee for the license
15shall equal the applicable dollar amount under par. (d) 1. to 8. sub. (14) (a) to (g)
16multiplied by the number of calendar years, including parts of calendar years, during
17which the license remains in effect. A fee determined under this subdivision
18paragraph may not exceed the license fee for an entire license period under par. (d)
19sub. (14).
AB969, s. 90 20Section 90. 218.01 (2) (dr) of the statutes, as affected by 1997 Wisconsin Act
2148
, is renumbered 218.0114 (16).
AB969, s. 91 22Section 91. 218.01 (2) (e) of the statutes is renumbered 218.0114 (17) and
23amended to read:
AB969,32,624 218.0114 (17) The licenses of dealers, manufacturers, factory branches,
25distributors, distributor branches and sales finance companies shall specify the

1location of the office or branch and must be conspicuously displayed there at that
2location
. In case such the location be of the office or branch is changed, the licensor
3shall indorse the change of location on the license, without charge, if it be the new
4location is
within the same municipality as the previous location. A change of
5location to another municipality shall require a new license, except for sales finance
6companies.
AB969, s. 92 7Section 92. 218.01 (2) (f) of the statutes is renumbered 218.0114 (18) and
8amended to read:
AB969,32,169 218.0114 (18) Every salesperson, factory representative or distributor
10representative shall carry his or her license when engaged in business, and display
11the license upon request. The license shall name his or her the licensee's employer,
12and in case of
. Upon leaving an employer, the salesperson licensee shall immediately
13surrender the license to his or her employer who shall mail the license to the licensor.
14If during the license period the individual licensee again is employed or acts as a
15salesperson, he or she shall make application for reissue of a salesperson's license.
16There shall be no fee in connection with such the subsequent applications.
AB969, s. 93 17Section 93. 218.01 (2) (g) of the statutes is renumbered 218.0114 (19).
AB969, s. 94 18Section 94. 218.01 (2) (h) 1. of the statutes is renumbered 218.0114 (20) (a) and
19amended to read:
AB969,32,2420 218.0114 (20) (a) If the licensor has reasonable cause to doubt the financial
21responsibility of the applicant or licensee or the compliance by the applicant or
22licensee with this section ss. 218.0101 to 218.0163, the licensor may require the
23applicant or licensee to furnish information relating to the applicant's or licensee's
24solvency and financial standing.
AB969, s. 95
1Section 95. 218.01 (2) (h) 2. of the statutes is renumbered 218.0114 (20) (b) and
2amended to read:
AB969,33,173 218.0114 (20) (b) Provided If the licensor has reasonable cause to doubt the
4financial responsibility of the applicant or licensee or the compliance by the
5applicant or licensee with this section ss. 218.0101 to 218.0163, the licensor may
6require the applicant or licensee to furnish and maintain a bond in the form, amount
7and with the sureties it approves, but not less than $5,000, nor more than $100,000,
8conditioned upon the applicant or licensee complying with the statutes applicable to
9the licensee and as indemnity for any loss sustained by any person by reason of any
10acts of the licensee constituting grounds for suspension or revocation of the license
11under this section ss. 218.0101 to 218.0163. The bonds shall be executed in the name
12of the department of transportation for the benefit of any aggrieved parties;
13provided
, except that the aggregate liability of the surety to all such aggrieved
14parties shall, in no event, exceed the amount of the bond. The bonding requirements
15in this subdivision paragraph shall not apply to manufacturers, factory branches,
16and their agents and is in addition to the bond or letter of credit required of a motor
17vehicle dealer under par. (bb) 1. sub. (5) (a).
AB969, s. 96 18Section 96. 218.01 (2) (h) 3. of the statutes is renumbered 218.0114 (20) (c) and
19amended to read:
AB969,34,420 218.0114 (20) (c) An applicant or licensee furnishing information under subd.
211.
par. (a) may designate the information as a trade secret, as defined in s. 134.90 (1)
22(c), or as confidential business information. The licensor shall notify the applicant
23or licensee providing the information 15 days before any information designated as
24a trade secret or as confidential business information is disclosed to the legislature,
25a state agency, as defined in s. 13.62 (2), a local governmental unit, as defined in s.

1605.01 (1), or any other person. The applicant or licensee furnishing the information
2may seek a court order limiting or prohibiting the disclosure. In such cases in which
3case
, the court shall weigh the need for confidentiality of the information against the
4public interest in the disclosure.
AB969, s. 97 5Section 97. 218.01 (2) (i) of the statutes is renumbered 218.0114 (21) and
6amended to read:
AB969,34,197 218.0114 (21) Application for dealers' licenses shall be submitted to the
8department of transportation in duplicate and shall contain such information as the
9licensors require. Application for sales finance company licenses shall contain such
10information as the division of banking requires. No motor vehicle dealer or sales
11finance company, unless so licensed, shall be permitted to register or receive or use
12registration plates under ss. 341.47 to 341.57. The department of transportation
13shall transmit the duplicate copy of each application for a dealer's license to the
14division of banking with the fee required under par. (d) 8. sub. (14) (g). The division
15of banking may not refund the fee required under par. (d) 8. sub. (14) (g). The division
16of banking shall approve a sales finance company license for a dealer if no prior sales
17finance company license has been suspended or revoked, and if the applicant meets
18the requirements of this section ss. 218.0101 to 218.0163 relating to sales finance
19companies.
AB969, s. 98 20Section 98. 218.01 (2) (j) of the statutes is renumbered 218.0114 (22) and
21amended to read:
AB969,34,2422 218.0114 (22) A motor vehicle dealer licensed in accordance with the provisions
23of this section ss. 218.0101 to 218.0163 shall make reports to the licensor at such
24intervals and showing such information as the licensor may require.
AB969, s. 99 25Section 99. 218.01 (2) (k) of the statutes is renumbered 218.0114 (23).
AB969, s. 100
1Section 100. 218.01 (2a) (title) of the statutes is renumbered 218.0119 (title).
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