2002 Minnesota Statutes

     168A.11 Purchase of vehicle by dealer. 

    Subdivision 1.    Application upon subsequent transfer.  
 (a) If a dealer buys a vehicle and holds it for resale and 
 procures the certificate of title from the owner, and complies 
 with subdivision 2 hereof, the dealer need not apply for a 
 certificate of title, but upon transferring the vehicle to 
 another person other than by the creation of a security interest 
 shall promptly execute the assignment and warranty of title by a 
 dealer, showing the names and addresses of the transferee and of 
 any secured party holding a security interest created or 
 reserved at the time of the resale, and the date of the security 
 agreement in the spaces provided therefor on the certificate or 
 secure reassignment.  

    (b) With respect to motor vehicles subject to the 
 provisions of section 325E.15, the dealer shall also, in the 
 space provided therefor on the certificate or secure 
 reassignment, state the true cumulative mileage registered on 
 the odometer or that the exact mileage is unknown if the 
 odometer reading is known by the transferor to be different from 
 the true mileage.  

    (c) The transferee shall complete the application for title 
 section on the certificate of title or separate title 
 application form prescribed by the department.  The dealer shall 
 mail or deliver the certificate to the registrar or deputy 
 registrar with the transferee's application for a new 
 certificate and appropriate taxes and fees, within ten business 
 days. 

    Subd. 2.    Purchase receipt.  A dealer, on buying a 
 vehicle for which the seller does not present a certificate of 
 title, shall at the time of taking delivery of the vehicle 
 execute a purchase receipt for the vehicle in a format 
 designated by the department, and deliver a copy to the seller.  
 In a format and at a time prescribed by the registrar, the 
 dealer shall notify the registrar that the vehicle is being held 
 for resale by the dealer. 

    Subd. 3.    Records.  Every dealer shall maintain for 
 three years at an established place of business a record in the 
 form the department prescribes of every vehicle bought, sold, or 
 exchanged, or received for sale or exchange, which shall be open 
 to inspection by a representative of the department or peace 
 officer during reasonable business hours.  With respect to motor 
 vehicles subject to the provisions of section 325E.15, the 
 record shall include either the true mileage as stated by the 
 previous owner or the fact that the previous owner stated the 
 actual cumulative mileage was unknown; the record also shall 
 include either the true mileage the dealer stated upon 
 transferring the vehicle or the fact the dealer stated the 
 mileage was unknown. 

    HIST: 1971 c 162 s 11; 1977 c 105 s 4,5; 1986 c 444; 1989 c 
 148 s 8; 1994 c 536 s 17; 1997 c 250 s 5; 1998 c 285 s 4; 1998 c 
 405 s 4; 2002 c 371 art 1 s 19; 2002 c 388 s 3