In Virginia, tougher penalties against unlicensed dealers

Virginia Governor Ralph Northam has signed HB 1178 passed by the General Assembly, which permits the Motor Vehicle Dealer Board to obtain an injunction against anyone operating as a dealer without a license. The bill also allows a licensed dealer who suffers injury to his or her business from the actions of an unlicensed dealer to sue to obtain an injunction, and attorneys’ fees and costs.


Because of the large number of new delegates in the Virginia General Assembly after the last election, WANADA, in conjunction with VADA, concentrated on educating members on dealer issues, such as the importance of franchise laws and licensing laws. Such laws are critical to enhancing competition and protecting consumers against abuse in an unregulated market.

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