28-4532. Dealer owned vehicles; registration exemption; use of dealer plates; civil penalty

A. A vehicle that is owned by a dealer and that is otherwise required to be registered is exempt from registration while the vehicle is owned by the dealer. A vehicle owned by a dealer may be operated under owner responsibility on public highways and streets according to the following provisions:

1. The vehicle displays a license plate issued to the owner as provided in this article in the manner prescribed in section 28-2354.

2. The owner, an employee of the dealer or a prospective buyer may operate the vehicle according to subsection C of this section.

B. Dealers' plates shall not be used on the following dealer owned vehicles:

1. A work or service vehicle, except for a vehicle that is owned by a new motor vehicle dealer that has a manufacturer's service program and that is used in that program.

2. A leased or rented vehicle owned by a dealer.

3. A laden vehicle designed for the transportation of cargo unless the cargo consists of no more than three vehicles that are owned by the dealer and the laden vehicle and the cargo are being operated or transported by the dealer for resale.

4. A vehicle that has been sold.

C. Except as provided in subsection B of this section, a dealer plate may be used on a dealer owned vehicle as follows:

1. When operated by the dealer or by an employee of the dealer in connection with the dealer's business. The vehicle may be operated as personal use transportation if it is assigned to a dealer or full-time employee of the dealer on a full-time use basis and if a record of the assignment is made as specified in section 28-4535. The authorized use applies to dealers or employees solely and does not apply to any other person as operator.

2. When operated by a prospective buyer for demonstration purposes for a period of not more than forty-eight hours for passenger vehicles and seventy-two hours for unladen pickups and trucks.

3. When operated by a person who is lawfully engaged in a contract with a dealer to perform any of the following at a permanent site or location where the person conducts business:

(a) Exterior surface protection.

(b) Interior surface protection.

(c) Window sunscreen protection.

(d) Body repair or maintenance.

(e) Undercoating, soundproofing or rustproofing.

(f) Audio equipment installation.

(g) Other similar work required to prepare a vehicle for sale to the public.

D. A person who violates this section is subject to a civil penalty of up to five hundred dollars.