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168.27.16

Statute ID: 20234

Statute Function ID: 40276

Motor Vehicle Dealers - Improper use or possession of dealer plates

In Effect

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Charge

Classifications

Offense Level:

Misdemeanor (M)

General Offense Code:

DWI/Traffic/Vehicle Regulation (4)

Offense Summary Code & Rank:

Traffic/Accidents(exclude DWI) (J) (Rank 28)

Detailed Offense Code:

Traffic/Transportation (499)

Offense Severity Level:

Function Text:

UCR Code

Description

999

NIBRS Non-Reportable

Flags

Crime of Violence:

Targeted Misdemeanor:

Predatory Offender Registration Review:

Enhanceable:

Certify to DPS:

Report to DNR:

DPS Group:

Conditional Release:

Payable:

Yes

Petty Misdemeanor Only if Prosecutor Certifies:

Third Violation Indicator:

Qualified Domestic Violence Related:

Nonviolent Controlled Substance Offender Review:

Wildlife Restitution:

Statute Number:

168.27.16

Enactment Date:

Jun 14, 2025

Effective Date:

Jul 1, 2025

Expiration Date:

Repealed?:

Summary Text:

Motor Vehicle Dealers - Improper use or possession of dealer plates

Statute ID:

20234

Created:

Jun 17, 2025 by mnjis.legal.analyst@state.mn.us

Updated:

Jun 17, 2025 by mnjis.legal.analyst@state.mn.us

Last Update Action:

Added

Legal Analyst Comment:

Amended 2025 SS1 C8 Art2 Sec22; effective 07/01/2025

Summary Text:

Motor Vehicle Dealers - Improper use or possession of dealer plates

Link to MN Statute Text:

https://www.revisor.leg.state.mn.us/stats/168/27.html

Legislative Session:

2025 - Special 1

Session Law Text?:

Statute text last updated on:

Jun 17, 2025

(a) The registrar must issue to every motor vehicle dealer, upon a request from the motor vehicle dealer licensed as provided in subdivision 2 or 3, one or more plates displaying a general distinguishing number. This subdivision does not apply to a scrap metal processor, a used vehicle parts dealer, or a vehicle salvage pool.

(b) At any point in time, a dealer must not possess more than 50 plates issued under this subdivision.

(c) The fee for each of the first four plates is $75 per registration year, of which $60 must be paid to the registrar and the remaining $15 is payable as sales tax on motor vehicles under section 297B.035. For each additional plate, the dealer must pay the registrar a fee of $25 and a sales tax on motor vehicles of $15 per registration year. The registrar must deposit the tax in the state treasury to be credited as provided in section 297B.09. Replacement plates are subject to the fees in section 168.12.

(d) Motor vehicles, new or used, owned by the motor vehicle dealership and bearing the number plate, except vehicles leased to the user who is not an employee of the dealer during the term of the lease, held for hire, or used by the dealer as a tow truck, service truck, or parts vehicle, may be driven upon the streets and highways of this state:

(1) by the motor vehicle dealer or dealer's spouse, or any full-time employee of the motor vehicle dealer for either private or business purposes;

(2) by a part-time employee when the use is directly related to a particular business transaction of the dealer;

(3) for use as a courtesy vehicle provided to a customer of the dealership while the customer's vehicle is being repaired;

(4) for demonstration purposes by any prospective buyer for a period of 14 days; or

(5) in a promotional event that lasts no longer than four days in which at least three motor vehicles are involved.

(e) A new or used motor vehicle sold by the motor vehicle dealer and bearing the motor vehicle dealer's number plate may be driven upon the public streets and highways for a period of 72 hours by the buyer for either of the following purposes: (1) removing the vehicle from this state for registration in another state,; or (2) permitting the buyer to use the motor vehicle before the buyer receives number plates pursuant to registration. Use of a motor vehicle by the buyer under clause (2) before the buyer receives number plates pursuant to registration constitutes a use of the public streets or highways for the purpose of the time requirements for registration of motor vehicles. The requirements under this paragraph do not apply to a courtesy vehicle used as provided under paragraph (d), clause (3).

(f) A vehicle displaying a dealer plate issued under this subdivision must carry written documentation within the vehicle that includes:

(1) a valid driver's license;

(2) proof of insurance;

(3) the reason for use; and

(4) if the vehicle is for use as a courtesy vehicle under paragraph (d), clause (3), a courtesy vehicle user agreement that includes a list of authorized drivers for the vehicle and their driver's license numbers and the start and end dates of use.

(g) For purposes of this subdivision, "courtesy vehicle" means a passenger-class motor vehicle that a motor vehicle dealer temporarily provides at no or minimal cost to customers for customer service or mobility purposes while the customer's vehicle is serviced, repaired, or maintained.