Automobile Dealers - Licencing

  1. A surety bond (see sample below) issued under the Automobile Dealers Act in the amount of $10,000 is required.
  2. The lot location must be indicated for the head office of the dealership as well as any branch offices.
  3. The maximum number of salespeople must be provided. Salespeople are not required to hold a licence, however, the acts of any individual in the dealer's employ or acting on behalf of or under the authority of the dealer are considered to be not only the individual's acts but also the acts of the dealer. (Section 11.5 of the Automobile Dealers Act applies)
  4. If the applicant is a corporation, a copy of the Articles of Incorporation is required.
  5. An applicant for a licence shall state in the application an address for service in the Province and a notice given under this Act or the regulations shall for all purposes be considered to be sufficiently served if delivered or sent by registered mail to the licencee at the address for service stated in the application for licence.
  6. Other permits or licences, eg. environmental study, public safety, building access, etc. may be required. Please contact your nearest Government Service Centre for additional information.
  7. All licences issued under The Automobile Dealers Act are subject to all applicable municipal, provincial and federal laws being observed. Failure to observe these laws may result in cancellation or suspension of the licence under Section 16 of the Act.
  8. The licensing fees are as follows:
    Where the Automobile Dealer is a corporation, partnership or sole proprietor and employing in each case: ...one to ten salespersons $300.00
    " ...eleven to twenty salespersons 400.00
    " ...more than twenty salespersons 500.00
    Where the Automobile Dealer is a sole proprietor with no salespersons 100.00
    Branch Office Licence Fee 50.00

Cheques are made payable to the Newfoundland Exchequer Account.

Applications should be mailed together with the bond (see sample below) and appropriate licence fee to the Trade Practices and Licensing Division.

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