2000 Minnesota Statutes

     327B.05 Denial, suspension and revocation of licenses. 

    Subdivision 1.    Grounds.  The commissioner may by 
 order deny, suspend or revoke any license on finding(1) that the 
 order is in the public interest and (2) that the applicant or 
 licensee or any of its directors, officers, limited or general 
 partners, controlling shareholders or affiliates:  

    (a) has filed an application for a license or a license 
 renewal which fails to disclose any material information or 
 contains any statement which is false or misleading with respect 
 to any material fact; 

    (b) has violated any of the provisions of sections 327B.01 
 to 327B.12 or any rule or order issued by the commissioner or 
 any prior law providing for the licensing of manufactured home 
 dealers or manufacturers; 

    (c) has had a previous manufacturer or dealer license 
 revoked in this or any other state; 

    (d) has engaged in acts or omissions which have been 
 adjudicated or amount to a violation of any of the provisions of 
 section 325D.44, 325F.67 or 325F.69; 

    (e) has sold or brokered the sale of a home containing a 
 material violation of sections 327.31 to 327.35 about which the 
 dealer knew or which should have been obvious to a reasonably 
 prudent dealer; 

    (f) has failed to make or provide all listings, notices and 
 reports required by the commissioner; 

    (g) has failed to pay a civil penalty assessed under 
 subdivision 5 within ten days after the assessment becomes 
 final; 

    (h) has failed to pay to the commissioner or other 
 responsible government agency all taxes, fees and arrearages 
 due; 

    (i) has failed to duly apply for license renewal; 

    (j) has violated any applicable manufactured home building 
 or safety code; 

    (k) has failed or refused to honor any express or implied 
 warranty as provided in section 327B.03; 

    (l) has failed to continuously occupy a permanent, 
 established place of business licensed under section 327B.04; 

    (m) has, without first notifying the commissioner, sold a 
 new and unused manufactured home other than the make of 
 manufactured home described in a franchise or contract filed 
 with the application for license or license renewal; 

    (n) has wrongfully failed to deliver a certificate of title 
 to a person entitled to it; 

    (o) is insolvent or bankrupt; 

    (p) holds an impaired or canceled bond; 

    (q) has failed to notify the commissioner of bankruptcy 
 proceedings within ten days after a petition in bankruptcy has 
 been filed by or against the dealer or manufacturer; 

    (r) has, within the previous ten years, been convicted of a 
 crime that either related directly to the business of the dealer 
 or manufacturer or involved fraud, misrepresentation or misuse 
 of funds; 

    (s) has suffered a judgment within the previous five years 
 in a civil action involving fraud, misrepresentation or misuse 
 of funds; or 

    (t) has failed to reasonably supervise any employee or 
 agent of the dealer or manufacturer, resulting in injury or harm 
 to the public.  

    The commissioner may establish rules pursuant to section 
 327B.10 further specifying, defining or establishing standards 
 of conduct for manufactured home dealers and manufacturers.  

    Subd. 2.    Denial; appeal; reconsideration.  The 
 commissioner shall inform the applicant and summarize in writing 
 the reasons for a denial.  Within 15 days of receiving the 
 commissioner's notice, the applicant may request in writing that 
 the commissioner reconsider.  The request for reconsideration 
 shall explain why the commissioner's previous decision was wrong 
 and shall specifically address each reason given by the 
 commissioner for the denial.  Within 20 days of receiving the 
 request for reconsideration, the commissioner shall decide 
 whether to withdraw the denial and grant a license.  If the 
 commissioner reaffirms the denial, the applicant may appeal in 
 accordance with chapter 14.  An applicant whose application is 
 denied may also cure the defects in the application cited by the 
 commissioner and resubmit the application at no extra charge. 

    Subd. 3.    License suspension or revocation; hearing.  
 Upon the commissioner's motion or upon the complaint of another, 
 the commissioner may prepare and serve upon a licensee a written 
 notice or complaint summarizing the violations charged, and 
 requiring the licensee to appear at a specified time and place 
 to show cause why the license should not be revoked.  The 
 hearing on the suspension or revocation shall be conducted 
 pursuant to the contested case provisions of the Administrative 
 Procedure Act.  Upon the completion of the hearing, if the 
 commissioner finds the existence of any of the causes for 
 suspension or revocation set forth in subdivision 1 and 
 determines that the license should be revoked or suspended, the 
 commissioner shall make a written order of revocation or 
 suspension.  A copy of the order shall be served upon the 
 licensee in the manner provided by law for the service of 
 summons in a civil action.  

    If the commissioner revokes or suspends the license of any 
 person holding more than one license under the provisions of 
 section 327B.04, subdivision 2, the commissioner shall revoke or 
 suspend all of the licenses of that person and of the affiliates 
 of that person.  

    Subd. 4.    Summary license suspension.  The 
 commissioner may by order summarily suspend a license pending 
 final determination of any order to show cause if necessary to 
 prevent immediate and substantial public harm.  If a license is 
 suspended pending final determination of an order to show cause, 
 a hearing on the merits shall be held within 30 days of the 
 issuance of the order of suspension.  

    Subd. 5.    Penalties.  After having conducted the 
 hearing provided for in subdivision 3, the commissioner may, in 
 addition to or in lieu of revoking or suspending a license, 
 order restitution to an injured consumer customer, or assess a 
 penalty or penalties of not more than $10,000 against any person 
 who commits any act that is grounds for the suspension or 
 revocation of a license under subdivision 1.  

    Subd. 6.    Appeals.  The contested case provisions of 
 chapter 14 shall apply to appeals from any order by the 
 commissioner denying, suspending or revoking a license, or 
 assessing penalties. 

    HIST: 1982 c 526 art 1 s 5; 1983 c 142 s 4,6; 1983 c 216 art 1 
 s 55; 1983 c 247 s 133; 1986 c 444