Florida New Car Sales Laws

In Florida, you have to be licensed to sell new cars. The state agency that issues dealer licenses is the Department of Highway Safety and Motor Vehicles. In addition, several other state agencies issue guidance to consumers concerning laws that protect Floridians. The state Legislature has enacted laws that vehicle dealers must comply with to protect car buyers.

License

According to Florida law, anyone who sells or displays for sale three or more vehicles in any 12-month period is assumed to be a car dealer, which requires a dealer's license from the state. To get a license, a dealer's sales site has to be approved by the state, and he must file an application along with the $300 fee.

Lemon Law

Florida law requires that auto dealers inform their customers about the the lemon law. The state prints a booklet that car dealers are required to give to new car buyers telling them about the law. Basically, the lemon law allows consumers to take a car dealer to arbitration if their new vehicle has been repaired three or more times for the same defect or if the vehicle has been out of service for at least 15 days because of one or more defects during the two years after purchase. Consumers who are successful in arbitration may receive refunds or replacement vehicles.

License Suspension

Florida law says that a dealer's license can be suspended or revoked if the dealer has engaged in a pattern of wrongdoing or lied on his application.

License Plate Reporting

In 2009, the Florida Legislature passed a law requiring dealers to immediately electronically report to the Department of Highway Safety and Motor Vehicles the transfer of a vehicle license plate from one vehicle to another. This was done to help law enforcement agencies have instant access to motor vehicle transfer information. A dealer who does not have access to the electronic reporting system is required to go to a tax collector's office to have the transfer done before allowing the customer to drive the vehicle off the lot. If the customer does not have a metal license plate to transfer, the dealer must issue a temporary license plate or visit the tax collector's office to purchase the metal plate.