21

 


 

First Session, 49th General Assembly

69 Elizabeth II, 2020

BILL 21

AN ACT TO AMEND THE HIGHWAY TRAFFIC ACT

Received and Read the First Time................................................................

Second Reading............................................................................................

Committee.....................................................................................................

Third Reading...............................................................................................

Royal Assent.................................................................................................

HONOURABLE SHERRY GAMBIN-WALSH

Minister of Service Newfoundland and Labrador

Ordered to be printed by the Honourable House of Assembly

 

EXPLANATORY NOTES

This Bill would amend the Highway Traffic Act to

·         prescribe documentation required to be submitted with an application for a licence to carry on business as a dealer;

·         prescribe the duties of a dealer;

·         add inspection powers in relation to dealers; and

·         expand regulation making authority in relation to dealers.

 

A BILL

AN ACT TO AMEND THE HIGHWAY TRAFFIC ACT

Analysis


        1.   Ss. 16.2 to 27 R&S

              17.   Application for licence

              18.   Licence

              19.   Duties of dealer

              20.   Issuance of temporary registration, identification plates and markers

              21.   Dealer plates

              22.   Audit

              23.   Prohibition

              24.   Suspension or cancellation of licence

              25.   Inspectors

              26.   Inspections

              27.   Warrants

              27.1 Telewarrants

        2.   S. 186 Amdt.
Regulations

        3.   Sch. Amdt.

        4.   Commencement


Be it enacted by the Lieutenant-Governor and House of Assembly in Legislative Session convened, as follows:

RSNL1990 cH-3
as amended

        1. Sections 16.2 to 27 of the Highway Traffic Act are repealed and the following substituted:

Application for licence

      17. (1) An application for a licence to carry on business as a dealer shall be made to the registrar in writing and in the form and manner set by the registrar.

             (2)  The registrar may issue a licence to carry on business as a dealer to a person who  

             (a)  submits an application in the form and manner set by the registrar;

             (b)  pays the fee set by the minister;

             (c)  provides a certificate of conduct from the Royal Newfoundland Constabulary or a certified criminal records check from the Royal Canadian Mounted Police;

             (d)  submits security in the form and amount prescribed in the regulations; and

             (e)  provides the documents and other information prescribed in the regulations.

             (3)  Notwithstanding subsection (2), where the person applying for a licence to carry on business as a dealer is a corporation, the registrar may issue a licence to the corporation where the corporation 

             (a)  submits an application in the form and manner set by the registrar;

             (b)  pays the fee set by the minister;

             (c)  provides a certificate of conduct from the Royal Newfoundland Constabulary or a certified criminal records check from the Royal Canadian Mounted Police for each director and officer of the corporation;

             (d)  provides a current Certificate of Good Standing from the Registry of Companies;

             (e)  submits security in the form and amount prescribed in the regulations; and

             (f)  provides the documents and other information prescribed in the regulations.

Licence

      18. (1) A licence issued under section 17

             (a)  is subject to the terms and conditions imposed by the registrar, this Act and the regulations;  

             (b)  is not transferrable; and

             (c)  remains in effect, subject to the submitting of the documents and information prescribed in subsection (2) and the payment of an annual fee set by the minister, until suspended or cancelled by the registrar.

             (2)  Each year before the anniversary date of the issuance of a licence to a dealer, the dealer shall

             (a)  pay the fee set by the minister; and

             (b)  provide the following to the registrar:

                      (i)  proof that the security referred to in paragraph 17(2)(d) or 17(3)(e) is still valid,

                     (ii)  a current Certificate of Good Standing from the Registry of Companies, where the dealer is a corporation, and

                    (iii)  the documents or other information prescribed in the regulations.            

             (3)  In addition to the documents referred to in paragraph (2)(b), a dealer shall, where requested by the registrar, provide

             (a)  a certificate of conduct from the Royal Newfoundland Constabulary or a certified criminal records check from the Royal Canadian Mounted Police; or                   

             (b)  where the dealer is a corporation, a certificate of conduct from the Royal Newfoundland Constabulary or a certified criminal records check from the Royal Canadian Mounted Police for each director and officer of the corporation.

Duties of dealer

      19. A dealer licensed under section 17 shall

             (a)  prepare, maintain and keep records in accordance with the regulations;

             (b)  disclose to a purchaser the information prescribed in the regulations before selling a vehicle to a purchaser;

             (c)  ensure that a second hand vehicle is inspected by an official inspection station and that a vehicle inspection certificate is  obtained from the official inspection station before selling a second hand vehicle to a person other than another dealer;

             (d)  store and use identification plates and dealer plates in accordance with this Act and the regulations;

             (e)  pay all outstanding fines, including a fine under the Criminal Code payable to the Crown or a late payment penalty, within the time allowed for payment; and       

             (f)  comply with this Act, the regulations and any terms, conditions and requirements that may be prescribed by the registrar.

Issuance of temporary registration,   identification plates and markers

      20. The registrar may, in accordance with the regulations, authorize a dealer to issue to an owner of a motor vehicle one or more of the following:

             (a)  a temporary registration;

             (b)  an identification plate; or

             (c)  a marker.

Dealer plates

      21. (1) The registrar may, in accordance with the regulations, issue dealer plates to a dealer to be attached to vehicles owned or operated by the dealer.

             (2)  A dealer plate may, during the period for which it is issued, be transferred from a vehicle to another vehicle owned or operated by the dealer to whom the dealer plate was issued.

             (3)  A vehicle shall not be operated with a dealer plate attached except

             (a)  by the dealer or an employee of the dealer; or

             (b)  for a period not exceeding 3 consecutive days by a person to whom the vehicle has been loaned by the dealer for demonstration purposes with a view to the sale of the vehicle to that person.

             (4)  A dealer shall not attach, or permit to be attached, a dealer plate to a vehicle that is used

             (a)  for the carriage of persons or goods for compensation;

             (b)  for private use or hire; or

             (c)  as a service vehicle.            

             (5)  Where a licence is suspended or cancelled under section 24, the dealer shall return to the registrar all dealer plates issued to the dealer and all identification plates and markers provided to the dealer.

Audit

      22. The registrar may conduct an audit of a dealer in relation to

             (a)  the dealer's inventory of dealer plates, identification plates and markers;

             (b)  the temporary registrations issued by the dealer and the monies collected for those registrations; and

             (c)  records required to be kept by a dealer.

Prohibition

      23. (1) A person shall not carry on business as a dealer unless he or she is licensed under this Act.

             (2)  A dealer shall not carry on business in a name other than the name in which the licence is issued.                               

             (3)  A dealer shall not operate, or permit to be operated, a vehicle owned by the dealer on a highway unless the vehicle

             (a)  is registered to the dealer; or

             (b)  has a dealer plate issued to the dealer attached to the vehicle.

Suspension or cancellation of licence

      24. (1) The registrar may suspend or cancel a licence where the registrar is satisfied that the person to whom the licence was issued

             (a)  violated a term or condition of the licence;

             (b)  made a material misrepresentation in the application for a licence or in the documents or information submitted to the registrar under section 17 or 18;

             (c)  contravened a provision of sections 17 to 23; or

             (d)  contravened the regulations made under paragraphs 186(1)(f.1) to (f.8).

             (2)  Where the registrar suspends or cancels a licence, the registrar shall give written notice of the suspension or cancellation in writing to the person to whom the licence was issued.

Inspectors

      25. The minister may appoint a person or category of persons to act as inspectors for the purposes of this Act and the regulations.

Inspections

      26. (1) An inspector may, at all reasonable times and without a warrant, for a purpose related to the administration or enforcement of sections 17 to 23 of this Act or the regulations enacted under paragraphs 186(1)(f.1) to (f.8),  inspect or examine the premises, property, books and records of a dealer or person that the inspector considers relevant for the purpose of determining compliance with sections 17 to 23 of this Act or the regulations enacted under paragraphs 186(1)(f.1) to (f.8) and the inspector may do one or more of the following:

             (a)  enter a premises where      

                      (i)  any property, books or records relating to a dealer are or may be kept, or

                     (ii)  anything is done or is suspected by the inspector of being done in connection with a requirement of sections 17 to 23 of this Act or the regulations enacted under paragraphs 186(1)(f.1) to (f.8);

             (b)  make copies, extracts, photographs or videos the inspector considers necessary;

             (c)  require the dealer or the owner or person in charge of a premises or their employees to

                      (i)  give the inspector all reasonable assistance, including the production of property, books and records as requested by the inspector, and to answer all questions relating to the administration, compliance or enforcement of sections 17 to 23 of this Act and the regulations enacted under paragraphs 186(1)(f.1) to (f.8) and, for that purpose, require a person to attend at the premises with the inspector; and

                     (ii)  make available the means to generate and manipulate books and records that are in machine readable or electronic form and any other means or information necessary for the inspector to assess the books and records.

             (2)  Notwithstanding subsection (1), an inspector appointed under this Act shall not enter a dwelling-house without the consent of the occupant except under the authority of a warrant.

             (3)  A person shall not knowingly make a false or misleading statement, either orally or in writing, to the inspector while the inspector is exercising powers or carrying out duties or functions under this Act or the regulations.

Warrants

      27. (1) Where an inspector under this Act

             (a)  is denied entry to a premises or dwelling-house to carry out an inspection; or

             (b)  believes on reasonable and probable grounds that there has been a contravention of sections 17 to 23 of this Act or the regulations enacted under paragraphs 186(1)(f.1) to (f.8),

the inspector may file an application with the Provincial Court for a warrant.

             (2)  Where a Provincial Court judge is satisfied on the basis of an inspector's sworn information that there are reasonable grounds to believe that the inspector has been denied entry to a premises or dwelling-house to carry out an inspection or there has been a contravention of sections 17 to 23 of this Act or the regulations enacted under paragraphs 186(1)(f.1) to (f.8), the judge may issue a warrant authorizing the inspector to do one or both of the following:

             (a)  enter the premises or dwelling-house and carry out an inspection under this Act; or

             (b)  seize or remove any of the property, books or records that may be required as evidence of contravention and may retain those documents until the time they are required in a court proceeding.

             (3)  A Provincial Court judge may receive and consider an application for a warrant or extension of a warrant without notice to the dealer or the owner or person in charge of the premises or dwelling-house.

             (4)  A dealer or an owner or a person in charge of a premises and their employees, or an occupant of a dwelling-house shall not obstruct an inspector while the inspector is exercising the powers and performing the duties and functions as authorized by the warrant.

             (5)  At the request of an inspector, a peace officer shall assist in enforcing a warrant.

Telewarrants

   27.1 (1) Where in the opinion of an inspector it would not be practical to appear before a Provincial Court judge to apply for a warrant, the inspector may make the application by telephone or other means of telecommunication.

             (2)  Where the information in support of an application for a warrant is submitted by telephone or other means of telecommunication, the information shall be given under oath or affirmation, and the oath or affirmation may be administered by telephone or other means of telecommunication.

             (3)  The information submitted by telephone or other means of telecommunication shall include

             (a)  a statement of the circumstances that make it impracticable for the inspector to appear personally before a Provincial Court judge; and

             (b)  a statement of the inspector's grounds for believing that a person has contravened this Act or the regulations or that entry onto public or private premises where a contravention of this Act or the regulations is believed to occur has been denied.

             (4)  The sworn or affirmed information submitted by telephone or other means of telecommunication by an inspector shall specify the name of the person giving evidence, the facts ascertained and the manner and location in which evidence was received, and a record of that information shall be filed by the Provincial Court judge with the clerk of the court over which the judge presides.

             (5)  Where an inspector acts under the authority of a warrant obtained under this section, he or she shall provide a facsimile of the warrant to the dealer or the owner or employee of the premises or the owner or occupant of the dwelling house at the time the warrant is carried out.

             (6)  In subsection (5), "facsimile" includes a record produced by electronic means or a written record of a telephone conversation made by both parties to the conversation while it is in progress and which the parties have confirmed as to its accuracy by reading their record of the conversation to one another at the end of the conversation.

 

        2. (1) Paragraph 186(1)(f.1) of the Act is repealed and the following substituted:

          (f.1)  prescribing the information and documentation to be provided with an application for a licence to carry on business as a dealer;

          (f.2)  respecting security, including the forfeiture of the security and the disposition of proceeds;

          (f.3)  respecting terms and conditions of licences issued to a dealer;

          (f.4)  respecting records to be kept by a dealer;

          (f.5)  respecting information that a dealer is required to provide to a person purchasing a vehicle;

          (f.6)  respecting the issuance, storage and use of identification plates, markers and dealer plates;

          (f.7)  respecting the collection and remission of fees for dealer plates, identification plates, markers and temporary registrations;

          (f.8)  respecting audits of dealers;  

             (2)  Section 186 of the Act is amended by adding immediately after subsection (3) the following:

             (4)  The Lieutenant-Governor in Council may, in a regulation made under subsection (1), prescribe penalties, in addition to the penalties prescribed by this Act, for failure to comply with or other contravention of

             (a)  the regulations; or

             (b)  a term or condition prescribed in or in respect of or attached to a permit or licence issued under the regulations,

and the additional penalties prescribed may be imposed by a court.

 

        3. The Schedule to the Act is amended by repealing the rows relating to subsection 17(2) and sections 21, 22 and 27 and substituting the following:

 

21(3)

Person using a vehicle with a dealer plate attached who is not the dealer or an employee of the dealer or a person to whom the vehicle had been loaned by the dealer for demonstration purposes for a period not exceeding 3 consecutive days

400

100

14 days

2 days

21(4)(a)

Attaching, or permitting to be attached, a dealer plate to a vehicle used for the carriage of persons or goods for compensation

400

100

14 days

2 days

21(4)(b)

Attaching, or permitting to be attached, a dealer plate to a vehicle used for private use or hire

400

100

14 days

2 days


 

21(4)(c)

Attaching, or permitting to be attached, a dealer plate to a vehicle used as a service vehicle

400

100

14 days

2 days

23(1)

Carrying on business as a dealer without a licence

400

100

14 days

2 days

23(2)

Carrying on business as a dealer in a name other than the name in which licence was issued

400

100

14 days

2 days

23(3)

Using vehicle without vehicle being registered to the dealer or without dealer plate attached

400

100

14 days

2 days

Commencement

        4. This Act comes into force on January 1, 2021.