Colorado Code § 42-3-116

Manufacturers or dealers - fees - rules - definition - penalty
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(1) Upon
application using the proper form and payment of the fees required by law, a manufacturer of,
drive-away or tow-away transporter of, or dealer in, motor vehicles, trailers, special mobile
machinery, or semitrailers operating such vehicle upon any highway, in lieu of registering each
vehicle, may obtain from the department and attach to each such vehicle one number plate, as
required in this article for different classes of vehicles. Such plate shall bear a distinctive
number; the name of this state, which may be abbreviated; the year issued; and a distinguishing
word or symbol indicating that such plate was issued to a manufacturer, drive-away or tow-away
transporter, or dealer. Such plates may, during the registration period for which they were issued,
be transferred from one such vehicle to another when owned and operated by or with the
authority of such manufacturer or representative of such manufacturer or operated by such drive-
away or tow-away transporter or dealer.
(2) No manufacturer of or dealer in motor vehicles, trailers, or semitrailers shall cause or
permit a vehicle owned by such person to be operated or moved upon a public highway without
displaying upon such vehicle a number plate, except as otherwise authorized in this article.
(3) A manufacturer of motor vehicles, trailers, or semitrailers may operate or move upon
the highways any such vehicle from the factory where manufactured to a railway depot, vessel,
or place of shipment or delivery, without registering the same and without an attached number
plate, under a written permit first obtained from the police authorities with jurisdiction over such
highways and upon displaying upon each such vehicle a placard bearing the name and address of
the manufacturer authorizing or directing such movement, plainly readable from one hundred
feet away during daylight.
(4) (a) Any dealer in motor vehicles, trailers, or semitrailers may operate, move, or
transport a vehicle owned by such dealer on the streets and highways of this state without
registering such vehicle and without an attached numbered plate if there is displayed on such
vehicle a depot tag issued by the department. Such tag may be purchased from the department
for a fee of five dollars. Such tags shall only be used for moving authorized vehicles for
purposes of testing, repairs, or transporting them from the point of delivery to the dealer's place
of business and for similar legitimate business purposes; but nothing in this section shall be
construed to allow the use of such tag for private purposes.
(b) The executive director of the department shall promulgate rules for the use of depot
tags and dealer plates, and a violation of such rules shall subject the violator to a suspension or
revocation of the violator's depot tag and dealer plates after a hearing pursuant to article 4 of title
24, C.R.S.
(5) A manufacturer or dealer, upon transferring a motor vehicle, trailer, or semitrailer,
whether by sale, lease, or otherwise, to any person other than a manufacturer or dealer shall
immediately give written notice of such transfer to the department upon the form provided by the
department. Such notice shall contain the date of such transfer, the names and addresses of the
transferor and transferee, and such description of the vehicle as may be required by the
department.
(6) (a) (I) An application for a full-use dealer plate may be submitted by a motor vehicle
dealer or wholesaler who:
(A) Has sold more than twenty-five motor vehicles in the twelve-month period
preceding application;
(B) Purchases an existing motor vehicle dealership or wholesale business that has sold
more than twenty-five vehicles during the twelve-month period preceding application; or
(C) Obtains a license to operate a new or used motor vehicle dealership or wholesale
business with an inventory of fifty or more motor vehicles.
(II) Full-use dealer plates may be used in lieu of, in the same manner as, and to the same
extent as number plates issued pursuant to section 42-3-201.
(b) (I) The department shall issue full-use dealer plates upon payment of the fee
specified in subparagraph (II) of this paragraph (b) and upon application of a motor vehicle
dealer or wholesaler accompanied by satisfactory evidence that the applicant is entitled to the
plate in accordance with the criteria established in subparagraph (I) of paragraph (a) of this
subsection (6).
(II) The department shall establish and annually adjust the annual fee for full-use dealer
plates based on the average of specific ownership taxes and registration fees paid for passenger
vehicles and light-duty trucks that are seven model years old or newer and that were registered
during the one-year period preceding January 1 of each year. The department shall prorate the
annual fee on a monthly basis. The department shall establish and annually adjust the annual fee
for full-use dealer plates for motorcycles and autocycles based on the average of specific
ownership taxes and registration fees paid for motorcycles and autocycles that are seven model
years old or newer and that were registered during the one-year period preceding January 1 of
each year. The department shall prorate the annual fee for motorcycles and autocycles on a
monthly basis.
(III) Full-use dealer plates shall be valid for a period not to exceed one year.
(IV) Each full-use dealer plate shall be returned to the department within ten days after
the sale or closure of a motor vehicle dealership or wholesale business listed in an application
submitted pursuant to subparagraph (I) of this paragraph (b).
(c) Full-use dealer plates may be used only for vehicles owned and offered for sale by
the dealer or wholesaler. Full-use dealer plates shall not be used on vehicles owned by
dealerships or wholesalers that are commonly used by that dealer as tow trucks or vehicles
commonly used by that dealer to pick up or deliver parts. At the dealer's or wholesaler's
discretion, the full-use plate may be transferred from one motor vehicle to another motor vehicle.
The dealer or wholesaler shall not be required to report any such transfer to the department.
(d) A motor vehicle dealer or wholesaler may assign a full-use dealer plate only to the
following persons:
(I) Owners or co-owners of the licensed dealership or wholesale motor vehicle business;
(II) An employee of the motor vehicle dealer or wholesaler;
(III) To any person, including former, current, and prospective customers, in order to
serve the legitimate business interest of the motor vehicle dealership or motor vehicle wholesale
business; and
(IV) A spouse or dependent child living in the same household as the licensed dealer or
wholesaler.
(e) As used in this subsection (6), "motor vehicle dealer or wholesaler" includes motor
vehicle dealers, used motor vehicle dealers, and wholesalers as those terms are defined in section
44-20-102.
(7) (a) A person who sells special mobile machinery in the ordinary course of business
may submit an application for a demonstration plate.
(b) (I) The department shall issue a demonstration plate upon payment of the fee
specified in subparagraph (II) of this paragraph (b) and upon application of a motor vehicle
dealer or wholesaler accompanied by satisfactory evidence that the applicant is entitled to the
plate in accordance with this subsection (7).
(II) The department shall establish and adjust the annual fee for a demonstration plate
based on the average of specific ownership taxes and registration fees paid for items of special
mobile machinery that are seven model years old or newer during the previous year.
(III) A demonstration plate shall be valid for one year.
(IV) The owner of a demonstration plate shall return the plate to the department within
ten days after the sale or closure of the business that sells special mobile machinery in the
ordinary course of business.
(c) No person shall operate special mobile machinery with a demonstration plate unless
the machinery is offered for sale and being demonstrated for the purposes of a sale. The owner
may transfer the plate from one item of special mobile machinery to another and without
reporting the transfer to the department.
(d) A person who violates this subsection (7) commits a class A traffic infraction.

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