AB150,1890,22 21217.10 (title) Powers of office department. (intro.) The office department
22may:

AB150,1891,324 217.10 (2) Investigate, at any time, the business and examine the books,
25accounts, records and files used therein of every licensee or agent thereof. The cost

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1of each such examination shall be paid by every licensee so examined within 30 days
2after demand therefor by the office department, and the state may maintain an
3action for recovery of such costs in any court of competent jurisdiction;

AB150,1891,75 217.12 (4) Name, forbidden use. No company shall use a name which indicates
6that it is a branch, unit or agency of the state or federal government or of any
7department or branch thereof.

AB150,1891,12 9217.15 Delinquent seller of checks. The commissioner of banking
10department may take possession of any insolvent seller of checks under the
11circumstances and utilizing the procedure prescribed in s. 218.04 (9m), so far as
12applicable.

AB150,1891,1514 217.17 (1) The office department may, in relation to any matter within the
15office's department's powers, issue subpoenas and take testimony.

AB150,1891,2217 217.17 (2) Witnesses shall be entitled to the same fees as are allowed to
18witnesses in courts of record. Such fees shall be audited and paid by the state in the
19same manner as other expenses of the office department are audited and paid. No
20witness subpoenaed at the instance of any party other than the office department
21shall be entitled to payment of fees by the state, unless the office department certifies
22that the testimony of such witness was material to the hearing or proceeding.

AB150,1892,324 217.18 (1) The office department may, by general or special order require
25licensees to file with the office department at such time and in such manner as it may

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1direct, sworn or unsworn reports, or sworn or unsworn answers in writing to specific
2questions as to any matter upon which the office department may demand
3information under this chapter.

AB150,1892,95 217.18 (2) The office department or any official, employe or agent authorized
6by it may, for purposes within the office's department's powers, have access during
7business hours to the offices and places of business, books, accounts, papers, records,
8files, safes and vaults of persons engaged in business as a seller of checks, whether
9licensees or not.

AB150,1892,1511 217.18 (3) No person shall refuse, neglect or fail to render any reports or answer
12required under this section at such time and in such manner as the office department
13may prescribe. No person shall wilfully make any false entry or statement in any
14report or answer, nor shall wilfully fail to make full and true entries and statements
15in any report or answer required under authority of this chapter.

AB150,1892,17 17217.19 (title) Office Department orders; rules of procedure.

AB150,1892,2019 217.19 (1) The office department, prior to the issuance of any general order
20under this chapter, shall hold a public hearing.

AB150,1893,322 217.19 (2) The office department, prior to the issuance of any special order,
23shall serve a complaint, prepared in the name of the office department, upon the
24person against whom the complaint is made and shall accompany such complaint by
25notice of a public hearing to be held in the matter not sooner than 10 days after such

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1service. The person against whom the complaint is made shall be entitled to be heard
2in person, or by agent or attorney, and shall have the benefit of subpoena process to
3compel the attendance of witnesses.

AB150,1893,75 217.19 (4) The office department shall serve a copy of any special order upon
6the person against whom the order is issued and such an order shall be effective upon
7such service, unless otherwise indicated in the order.

AB150,1893,119 217.19 (5) A complaint, notice of hearing, subpoena, special order or any other
10process issued by the office department may be served in the same manner that
11process in a civil action is served.

AB150,1893,1613 217.19 (6) The office department shall make its own rules of practice and
14procedure for the conduct of hearings and other proceedings before it, not
15inconsistent with any provision of this chapter or with any other provision of law
16governing such practice or procedure.

AB150,1893,19 18217.20 Court review. Orders of the office department under this chapter shall
19be subject to review in the manner provided in ch. 227.

AB150,1893,2421 217.21 (1) The licensee shall keep and use in the licensee's business such books,
22accounts and records as the office department, by general or special order, may find
23to be necessary and require to enable it to determine whether such licensee is
24complying with this chapter and with the lawful orders issued hereunder.

AB150,1894,8

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1217.21 (2) Each licensee shall annually, on or before March 15, file a report with
2the office department giving such reasonable and relevant information as the office
3department may, by general or special order, require concerning the business and
4operations conducted by such licensee within the state. Such report shall be made
5under oath and shall be in the form prescribed by the office department and shall be
6subject to public inspection in the discretion of the office department. The office
7department shall make and publish annually an analysis and recapitulation of such
8reports.

AB150,1894,1512 218.01 (1) (jm) "License period" means the period during which a particular
13type of license described in sub. (2) (d) is effective, as established by the department
14of transportation or commissioner department of financial institutions under sub. (2)
15(cm) 2. or 4.

AB150,1894,1917 218.01 (1) (k) "Licensor" means the body, either the commissioner department
18of financial institutions or the department of transportation or both, issuing a license
19hereunder.

AB150,1895,1021 218.01 (1a) (title) Authority of department and commissioner licensors. The
22department of transportation shall issue the licenses provided for in sub. (2) (d) 1.
23to 6. and have supervision over the licensees thereunder in respect to all the
24provisions of this section, except only as to such matters as relate to the sale of motor
25vehicles on retail instalment contracts and the financing and servicing of such

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1contracts, over which matter the commissioner department of financial institutions
2shall have jurisdiction and control, and the commissioner department of financial
3institutions shall issue the licenses to sales finance companies. Either licensor
4hereunder shall, upon request, furnish the other licensor with any information it
5may have in respect to any licensee or applicant for license or any transaction in
6which such licensee or applicant may be a party or be interested. No license shall
7be issued under sub. (2) (d) 1. and 8. until both licensors have approved the
8application. The suspension or revocation of either of such licenses shall
9automatically likewise suspend or revoke the other license; and such suspension or
10revocation shall be certified by the licensor ordering it to the other licensor.

AB150,1896,212 218.01 (2) (b) Application for license shall be made to the licensor, at such time,
13in such form and with such information as the licensor shall require and shall be
14accompanied by the required fee. fees. An applicant for a sales finance company
15license, other than a a motor vehicle dealer, shall pay to the commissioner a
16nonrefundable $300 investigation fee in addition to the license fee under par. (dr).
17If the cost of an investigation exceeds $300, the applicant shall, upon demand of the
18commissioner, pay the amount by which the cost of the investigation exceeds the
19nonrefundable fee. A licensee is not required to pay an investigation fee for the
20renewal of a license. The licensor may require the applicant to provide information
21relating to any pertinent matter that is commensurate with the safeguarding of the
22public interest in the locality in which the applicant proposes to engage in business,
23except that information relating to the applicant's solvency and financial standing
24may not be required except as provided in par. (h) 1. The information provided may

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1be considered by the licensor in determining the fitness of the applicant to engage
2in business as set forth in this section.

AB150,1896,205 218.01 (2) (b) Application for license shall be made to the licensor, at such time,
6in such form and with such information as the licensor shall require and shall be
7accompanied by the required fees. An applicant for a sales finance company license,
8other than a a motor vehicle dealer, shall pay to the commissioner department of
9financial institutions a nonrefundable $300 investigation fee in addition to the
10license fee under par. (dr). If the cost of an investigation exceeds $300, the applicant
11shall, upon demand of the commissioner department of financial institutions, pay
12the amount by which the cost of the investigation exceeds the nonrefundable fee. A
13licensee is not required to pay an investigation fee for the renewal of a license. The
14licensor may require the applicant to provide information relating to any pertinent
15matter that is commensurate with the safeguarding of the public interest in the
16locality in which the applicant proposes to engage in business, except that
17information relating to the applicant's solvency and financial standing may not be
18required except as provided in par. (h) 1. The information provided may be
19considered by the licensor in determining the fitness of the applicant to engage in
20business as set forth in this section.

AB150,1897,422 218.01 (2) (bb) A motor vehicle dealer or an applicant for a motor vehicle dealer
23license shall provide and maintain in force a bond or irrevocable letter of credit of not
24less than $25,000 or, if the dealer or applicant sells or proposes to sell motorcycles
25and not other types of motor vehicles, a bond or irrevocable letter of credit of not less

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1than $5,000. The bond or letter of credit shall be executed in the name of the
2department of transportation for the benefit of any person who sustains a loss
3because of an act of a motor vehicle dealer that constitutes grounds for the
4suspension or revocation of a license under this section.

AB150,1897,196 218.01 (2) (bc) Except as provided in this subsection every dealer and
7distributor of new motor vehicles shall, at the time of application for a license, file
8with the department of transportation a certified copy of the applicant's written
9agreement and a certificate of appointment as dealer or distributor, respectively. The
10certificate of appointment shall be signed by an authorized agent of the
11manufacturer of domestic vehicles on direct manufacturer-dealer agreements; or,
12where the manufacturer is wholesaling through an appointed distributorship, by an
13authorized agent of the distributor on indirect distributor-dealer agreements. The
14certificate shall be signed by an authorized agent of the importer on direct
15importer-dealer agreements of foreign-made vehicles; or by an authorized agent of
16the distributor on indirect distributor-dealer agreements. The distributor's
17certificate of appointment shall be signed by an authorized agent of the
18manufacturer; or by an agent of the manufacturer or importer of foreign
19manufactured vehicles.

AB150,1898,1621 218.01 (2) (bd) 1. A written agreement need not be filed for each dealer or
22distributor if the manufacturer on direct dealerships or distributor on indirect
23dealerships or importer on direct dealerships utilizes the identical basic agreement
24for all its dealers or distributors in Wisconsin and certifies in the certificate of
25appointment that such blanket agreement is on file and such written agreement with

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1such dealer or distributor, respectively, is identical with the filed blanket agreement,
2and has filed with the department of transportation one such agreement together
3with a list of authorized dealers or distributors. Such manufacturer, distributor or
4importer shall notify the department of transportation immediately of the
5appointment of any additional dealers or distributors, of any revisions of or additions
6to the basic agreement on file, or of any individual dealer or distributor supplements
7to such agreement. Except as provided in subd. 1g., the manufacturer, distributor
8or importer shall notify the dealer or distributor and forward a copy of such notice
9to the department of transportation of the discontinuation or cancellation of the
10agreement of any of its dealers or distributors at least 60 days before the effective
11date thereof together with the specific grounds for discontinuation or cancellation of
12the agreement, if discontinued or canceled. Agreements and certificates of
13appointment are deemed to be continuing unless the manufacturer, distributor or
14importer has notified the department of transportation of the discontinuation or
15cancellation of the agreement of any of its dealers or distributors, and annual
16renewal of certifications filed as provided in this subsection is not necessary.

AB150,1899,218 218.01 (2) (bd) 1g. The manufacturer, distributor or importer shall send a
19notice of discontinuation or cancellation by certified mail, and forward a copy of the
20notice to the department of transportation, not less than 20 days before the effective
21date of discontinuation or cancellation of the agreement, if the dealer or distributor
22fails to conduct its customary sales and service operations during its customary
23business hours for 7 consecutive business days unless the failure is caused by an act
24of God, by work stoppage or delays due to strikes or labor disputes or other reason

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1beyond the dealer's or distributor's control or by an order of the department of
2transportation or the office of the commissioner of transportation.

AB150,1899,134 218.01 (2) (bd) 2. Any dealer or distributor discontinued or canceled may, on
5or before the date on which the discontinuation or cancellation becomes effective, file
6with the department of transportation and division of hearings and appeals and
7serve upon the respondent a complaint for a determination of unfair discontinuation
8or cancellation under sub. (3) (a) 17. Allowing opportunity for an answer, the division
9of hearings and appeals shall thereafter schedule a hearing on and decide the matter.
10Agreements and certificates of appointment shall continue in effect until final
11determination of the issues raised in such complaint. If the complainant prevails he
12or she shall have a cause of action against the defendant for reasonable expenses and
13attorney fees incurred by him or her in such matter.

AB150,1899,1815 218.01 (2) (bf) Within 60 days after the department of transportation issues a
16declaratory ruling under s. 227.41 that an agreement is inconsistent with par. (bm),
17a manufacturer, distributor or importer shall remove or revise any provision of the
18agreement declared to be inconsistent with par. (bm).

AB150,1899,2320 218.01 (2) (bm) 1. a. Waive a remedy or defense available to a distributor or
21dealer or other provision protecting the interests of a distributor or dealer under this
22section or under rules promulgated by the department of transportation under this
23section.

AB150,1900,3

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1218.01 (2) (bm) 2. b. No finding of an arbitrator is binding upon any person who
2is not a party to the agreement. A finding of an arbitrator does not bind the
3department of transportation with respect to enforcement of this section.

AB150,1900,65 218.01 (2) (cm) 2. The department of transportation shall promulgate rules
6establishing the license period for each type of license described in par. (d) 1. to 6.

AB150,1900,108 218.01 (2) (cm) 3. The department of transportation may promulgate rules
9establishing expiration dates for the various types of licenses described in par. (d) 1.
10to 6.

AB150,1900,1412 218.01 (2) (cm) 4. The commissioner department of financial institutions shall
13promulgate rules establishing the license period for the license described in par. (d)
148.

AB150,1900,1716 218.01 (2) (cm) 5. The commissioner department of financial institutions may
17promulgate rules establishing expiration dates for licenses issued under par. (d) 8.

AB150,1900,2219 218.01 (2) (d) 1. For motor vehicle dealers, to the department of transportation,
20$20 for each office or branch thereof, plus $1 for a supplemental license for each used
21motor vehicle lot within the same municipality, but not immediately adjacent to the
22office or to a branch.

AB150,1900,2524 218.01 (2) (d) 8. a. Except as provided in subd. 8. b., for motor vehicle dealers,
25to the commissioner department of financial institutions, $10.

AB150,1901,52 218.01 (2) (d) 8. b. For motor vehicle dealers that operate as a sales finance
3company or that carry or retain time sales contracts for more than 30 days, to the
4commissioner department of financial institutions, the same as for sales finance
5companies under par. (dr), except for gross volume of $100,000 or less, $50.

AB150,1901,117 218.01 (2) (dm) 1. If the department of transportation or commissioner
8department of financial institutions establishes a license period that is not evenly
9divisible into years, the department of transportation or commissioner department
10of financial institutions shall prorate the remainder when determining the license
11fee under par. (d).

AB150,1901,1913 218.01 (2) (dm) 2. If the department of transportation or commissioner
14department of financial institutions grants a license described under par. (d) during
15the license period, the fee for the license shall equal the applicable dollar amount
16under par. (d) 1. to 8. multiplied by the number of calendar years, including parts of
17calendar years, during which the license remains in effect. A fee determined under
18this subdivision may not exceed the license fee for an entire license period under par.
19(d).

AB150,1902,521 218.01 (2) (dr) The fee for licenses for sales finance companies, except as
22provided in par. (d) 8., for each calendar year, or part of a calendar year, is based on
23the gross volume of purchases of retail sales contracts of motor vehicles sold in this
24state for the 12 months immediately preceding October 31 of the year in which the
25application or for license is made, as follows: On a gross volume of $25,000 or less,

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1$25; on a gross volume of over $25,000 and not over $100,000 or less, $50; and on each
2$100,000 or part thereof over $100,000 and up to $500,000, an additional $15; and
3on each $100,000 over $500,000, an additional $10. No extra charge shall be made
4for branch licenses for sales finance companies. Gross volume shall be based on the
5unpaid balance of the retail contracts.

AB150,1902,207 218.01 (2) (h) 2. Provided the licensor has reasonable cause to doubt the
8financial responsibility of the applicant or licensee or the compliance by the
9applicant or licensee with this section, the licensor may require the applicant or
10licensee to furnish and maintain a bond in the form, amount and with the sureties
11it approves, but not less than $5,000, nor more than $100,000, conditioned upon the
12applicant or licensee complying with the statutes applicable to the licensee and as
13indemnity for any loss sustained by any person by reason of any acts of the licensee
14constituting grounds for suspension or revocation of the license under this section.
15The bonds shall be executed in the name of the department of transportation for the
16benefit of any aggrieved parties; provided that the aggregate liability of the surety
17to all such parties shall, in no event, exceed the amount of the bond. The bonding
18requirements in this subdivision shall not apply to manufacturers, factory branches,
19and their agents and is in addition to the bond or letter of credit required of a motor
20vehicle dealer under par. (bb).

AB150,1903,1022 218.01 (2) (i) Application for dealers' licenses shall be submitted to the
23department of transportation in duplicate and shall contain such information as the
24licensors require. Application for sales finance company licenses shall contain such
25information as the commissioner department of financial institutions requires. No

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1motor vehicle dealer or sales finance company, unless so licensed, shall be permitted
2to register or receive or use registration plates under ss. 341.47 to 341.57. The
3department of transportation shall transmit the duplicate copy of each application
4for a dealer's license to the commissioner department of financial institutions with
5the fee required under par. (d) 8. The commissioner department of financial
6institutions may not refund the fee required under par. (d) 8. The commissioner
7department of financial institutions shall approve a sales finance company license
8for a dealer if no prior sales finance company license has been suspended or revoked,
9and if the applicant meets the requirements of this section relating to sales finance
10companies.