Article 6. Violations and Hearings
13VAC6-20-170. Prohibited conduct; grounds for denying, suspending or revoking license.
A. The following acts by regulants are prohibited and may be considered by the board as grounds for action against the regulant:
1. Engaging in business as a manufactured home manufacturer, dealer, or broker without first obtaining a license from the board.
2. Engaging in business as a manufactured home salesperson without first applying to the board for a license.
3. Making a material misstatement in an application for license.
4. Failing to pay a required assessment to the Transaction Recovery Fund.
5. Failing to comply with the warranty service obligations and claims procedures required by this chapter.
6. Failing to comply with the set-up and tie-down requirements of the Code.
7. Knowingly failing or refusing to account for or pay over money or other valuables belonging to others which have come into the regulant's possession due to the sale of a manufactured home.
8. Using unfair methods of competition or unfair or deceptive commercial acts or practices.
9. Failing to comply with the advertising provisions in Part IV (13VAC6-20-270 et seq.) of this chapter.
10. Defrauding any buyer to the buyer's damage, and any other person in the conduct of the regulant's business.
11. Employing an unlicensed salesperson.
12. Knowingly offering for sale a manufactured home produced by a manufacturer that is not licensed as a manufacturer under this chapter.
13. Knowingly selling a manufactured home to a dealer who is not licensed as a dealer under this chapter.
14. Failing to appear before the board upon due notice.
15. Failing to comply with orders issued by the board pursuant to this chapter.
16. Failing to renew a license and continuing to engage in business as a manufacturer, dealer, broker, or salesperson after the expiration of any license.
17. A salesperson selling, exchanging, or offering to sell or exchange a manufactured home for any dealer or broker other than the licensed dealer or broker employing the salesperson.
18. A salesperson offering, transferring, or assigning any negotiated sale or exchange of a manufactured home to another dealer, broker, manufacturer, or salesperson.
19. Failing to comply with the statement of compliance.
20. Failing to notify the board of a change of location or address of the business office.
21. Failing to comply with any provisions of this chapter.
a. The board may revoke or deny renewal of an existing license or refuse to issue a license to any manufactured home broker, dealer, manufacturer, or salesperson who is shown to have a substantial identity of interest with a manufactured home broker, dealer, or manufacturer whose license has been revoked or not renewed by the board.
b. Any person whose license is revoked or not renewed for cause by the board shall not be eligible for a license under any circumstances or under any name, except as provided by regulations of the board pursuant to § 36-85.18 of the Code of Virginia.
22. Failing to comply with the regulations of state or federal agencies regarding the financing, titling, taxation, or transporting of manufactured homes.
23. Failing to perform a written contract between the regulant and seller or buyer that contains the following minimum requirements:
a. A statement of the total cost of the contract and the amounts, including specific statement on the cost of the home, any additional costs for work to be performed, and the amount of the down payment, taxes, and titling fees.
b. A listing of specified materials and work to be performed and who is to supply the materials and perform that work.
c. Contract to identify the business name as shown on the license issued per this chapter and to include the address and the phone number of the business.
d. Specify the make and model of the home.
e. Specify if the home is new or used.
f. Specify the length and width of the home as defined by the HUD Standards.
g. Specify the date of manufacture and the serial number, except when the home is specially ordered from the manufacturer for the buyer and this information is not known.
24. Failing to provide a statement notifying consumers of the limitations on damages retained by dealer disclosure to the buyer.
25. Failing to provide a statement notifying consumers of the dispute resolution program available to resolve disputes concerning defects in manufactured homes.
B. The board may deny, suspend, revoke, or refuse to renew or reinstate the license of a regulant because of, but not limited to, one or more of the following grounds:
1. Having had a license previously denied, revoked, or suspended under this chapter.
2. Having a license denied, suspended, or revoked by a similar licensing entity in another state.
3. Engaging in conduct in another state that would have been a violation of this chapter if the actions were committed in Virginia.
4. Failing to obtain a required certification of registration from the Motor Vehicle Dealer Board (MVDB), failing to renew the annual certificate of registration from the MVDB, or having the certificate of registration suspended or revoked by the MVDB.
5. Having been convicted or found guilty in any jurisdiction of a felony.
Statutory Authority
§ 36-85.18 of the Code of Virginia.
Historical Notes
Derived from VR449-01-02 § 2.16, eff. April 1, 1994; amended, Virginia Register Volume 12, Issue 3, eff. January 1, 1996; Volume 28, Issue 20, eff. July 4, 2012; Volume 35, Issue 20, eff. July 1, 2019.
13VAC6-20-180. Penalties; notice to regulant.
A. The board shall have the power to deny, suspend, revoke, or refuse to renew or reinstate the license of a regulant found to be engaging in prohibited conduct or otherwise failing to comply with this chapter or orders of the board.
B. The board shall have the authority to levy monetary penalties in addition to or instead of denying, suspending, revoking, or refusing to renew or reinstate a regulant's license. Such monetary penalties shall include the following:
1. Monetary penalties of up to $2,500 for each violation by a manufacturer.
2. Monetary penalties of up to $2,500 for each violation by a dealer or broker.
3. Monetary penalties of up to $2,500 for each violation by a salesperson.
C. The board shall notify the regulant, in writing, of any complaint directed against him. The notice shall include the time and place of a conference or hearing on the complaint. No penalties shall be imposed by the board until after the conference or hearing.
Statutory Authority
§§ 36-85.18 and 36-85-36 of the Code of Virginia.
Historical Notes
Derived from VR449-01-02 § 2.17, eff. April 1, 1994; amended, Virginia Register Volume 28, Issue 20, eff. July 4, 2012.
13VAC6-20-190. Conference; hearing; service of notice.
A. The board, or department acting on the board's behalf, shall send notice of the conference or hearing to the regulant at least 15 calendar days prior to the date of the conference or hearing. The notice shall be sent by certified mail to the address of the regulant, as shown on the license or other record of information in possession of the board.
B. The conference or hearing shall be conducted by the board according to the applicable provision of the Administrative Process Act and shall be open to the public. The regulant or applicant shall have the right to be heard in person or by counsel, and to provide evidence and witnesses on his behalf.
C. After the conference or hearing has been completed, if the board determines that the regulant or applicant has engaged in prohibited conduct, or is in violation of this chapter or orders of the board, or otherwise determines that it has grounds to impose any penalties under 13VAC6-20-180, the board shall immediately notify the regulant or applicant in writing, by certified mail, of the action imposed by the board. The department shall be responsible for carrying out the board's decision. The department shall also notify the Department of Motor Vehicles of the suspension or revocation of any dealer's or broker's license under this chapter.
Statutory Authority
§§ 36-85.18 and 36-85.36 of the Code of Virginia.
Historical Notes
Derived from VR449-01-02 § 2.18, eff. April 1, 1994; amended, Virginia Register Volume 28, Issue 20, eff. July 4, 2012.