Virginia Dealer Manual - Virginia Department of Motor Vehicles

Virginia Dealer’s Manual
October 1, 2009
If there is not enough money in the fund to fully reimburse all claimants, the fund will
pay claims in the order in which they were filed until the limit is reached.
Neither interest, punitive, nor exemplary damages will be paid from the fund. The fund
will be available to reimburse claimant beginning July 1, 1989 for claims that arise on or
after that date. For claims prior to that date a claimant may file a claim against the
dealer’s surety bond.
8.2.5 Assignment of Rights
MVDB will pay the claimant the amount of the unpaid judgment, up to $20,000 limit per
claim and subject to other limitations as to availability of funds, upon the claimant’s
execution and delivery of an Assignment of Claimant’s Rights, MVDB-24, against the
dealer or salesperson.
8.2.6 Revocation of License
When payment is made from the fund, the dealer or salesperson must reimburse the fund
within 30 days. If the fund is not reimbursed, the dealer’s or salesperson’s license will be
automatically revoked. The fund must be repaid in the full amount plus interest at the
rate of eight percent a year, prior to reapplying for a license/certificate or salesperson’s
license.
8.2.7 Source of Funding
The recovery fund is established through assessment fees paid by licensed and registered
motor vehicle dealers and salespersons. The MVTRF is not supported by tax revenues.
NOTE: The information contained in this Chapter is only a Summary. For actual
provisions, refer to the MVTRF in the Motor Vehicle Dealer Licensing Act.
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