1456ORDINANCE NO. __ 1 S{ S~ ____
AN ORDINANCE TO AMEND TITLE 5, CHAPTER 5.04, BUSINESS
LICENSES AND REGULATIONS, OF THE WEST MEMPHI8 MUNICIPAL
CODE BY ADDING A NEW SECTION 5.04.100 REGARDING
AUTOMOBILE DEALERS.
WHEREAS, State law requires that dealers of motor vehicles be
licensed by the Department of Motor Vehicles. The purpose for
licensure is to protect the public from unscrupulous and
i irresponsible persons who sell motor vehicles. Unlicensed dealers
~ create a risk to consumers because they are not subject to
regulations and control by the Department of Motor Vehicles or
the National Highway Traffic and Safety Administration (NHTSA).
WHEREAS, Dealers
required to maintain
records. However,
permanent places of
purchasers of motor
dealers if they have
licensed by the State of Arkansas are
a permanent place of business and certain
unlicensed dealers frequently da not have
business thereby making it difficult far
vehicles to locate or to identify such
consumer complaints.
WHEREAS, In order to display motor vehicles to potential
customers, persons frequently display them for sale on vacant
lots near major thoroughfares. The use of vacant lots far the
sale of motor vehicles encourages unlicensed dealer activity, and
is visually unattractive. Identifying unlicensed dealers far
citations or prosecution is difficult. The identification
requirements of this chapter are intended to assist in the
detection of unlicensed dealers, and to assist the Department of
Motor Vehicles and law enforcement personnel in identifying
unlicensed dealers. The purpose of this chapter is to restrict
the sale of these vehicles to premises properly zoned and
developed for the sale of motor vehicles.
WHEREAS, it is considered advisable to make some restrictions
on the sale of motor vehicles within the City of West Memphis,
Arkansas, and,
WHEREAS, the random selling of motor vehicles within the City
of West Memphis by unlicensed motor vehicle dealers hereby
constitutes an undesirable visual impact and,
WHEREAS, It is also thereby deemed that the sales of motor
vehicles by unlicensed dealers has a detrimental economic impact
upon the City of West Memphis, Arkansas, and the State of
Arkansas, as well as the licensed motor vehicle dealers.
THEREFORE PE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
WEST MEMPHIS, ARKANSAS:
1 Cli'{ =.;Li:Kit OFFICE
O~TE ~- -~~~
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$~CTION 1. Chapter 5.04, Business Licenses and
Regulations, of the West Memphis Municipal Code is hereby amended
by adding the following as Section 5.04.100:
A. State License Required. No city license shall be
issued to any person or entity engaging in the business of a
motor vehicle dealer unless the same has procured a state license
as provided by A.C.A. Section 23-112-601. A current copy of each
dealer's state master license registration shall be kept on file
at the City Clerk's office on an annual basis.
B. Motor Vehicle Dealer. Any person or entity engaged
in the business of selling, offering to sell, soliciting, or
advertising the sale of motor vehicles which have been purchased
by said person or entity far the purpose of resale, either on
their own account or on behalf of another, either as their
primary business or incidental thereto. The term "Motor Vehicle
Dealer" does not include.
i. Receivers, trustees, administrators, executors,
guardians or other persons or entities appointed by law
or acting under judgment, decree or order of any court;
or
2. Public officers while performing their duties as
officers; or
3. Persons or entities who are engaged in selling
personally owned and titled motor vehicles which were
acquired for purposes primarily other than resale to the
public; or
4. Motor vehicle auctioneers as defined by state law.
C. Any motor vehicle dealer having a motor vehicle for
sale must possess a valid title to said motor vehicle properly
assigned or registered, and must comply with all applicable West
Memphis zoning regulations to the West Memphis Zoning Ordinance,
including, but not limited to Ordinance #1258, as amended,
Article III, Section 2A, Paragraph 3, which defines C-2 Open
Display Commercial Districts Uses.
D. No motor vehicle dealer shall display a motor vehicle
for sale on premises not authorized by law.
E. This section does not prohibit or in any way regulate
motor vehicles displayed for sale which are otherwise lawfully.
parked on a public street or highway or in a parking facility
where such parking of the motor vehicle for display for sale is
incidental to the primary purpose for parking, such as for work,
a transaction of business, shopping, dining, or attending an
entertainment event.
SECTION Q. Any person, firm, property owner, or entity
of any kind found violating the provisions of this ordinance
shall be punished by a fine not to exceed X500 for each offense
and each day that a violation occurs shall be a separate offense.
RECTiON 3. If for any reason any portion of this
ordinance is held to be invalid such invalidity shall in no way
affect the remaining portions thereof which are valid and such
valid portions shall remain in full force and effect.
SECTION 4. All ordinances or parts of ordinances in
3
t
conflict herewith are hereby repealed.
$Ft^.TION 5. ~M~arFNGY CLAU5E. It having been found and
determined by the City Council of the City of West Memphis,
Arkansas, that there is an urgent need by the City of West
Memphis to regulate the sale of motor vehicles within the City of
West Memphis through proper licensing procedures and tha
licenses are renewable on the first of each year and that time is
of the essence, and emergency is hereby declared to exist, and
this Ordinance being necessary for the preservation of the public
peace, health, safety and welfare of the citizens of West
Memphis, Arkansas, shall be in full force and effect from and
after the date of its passage and approval.
PASSED AND APPROVED TH I S Co~b__ DAY OF _,~ e fern b e r __, 1990.
KEITH M. I NGRA , Mayar
ATTEST:
DAN CRAFT Cler
4
RDf1NSORED BY