CHAPTER 117


98-S 2258 am
Enacted 7/3/98


A N     A C T

RELATING TO BUSINESSES AND PROFESSIONS -- AUTOMOBILE BODY REPAIR SHOPS

Introduced By: Senator Blais

Date Introduced : January 27, 1998

It is enacted by the General Assembly as follows:

SECTION 1. Section 5-38-2 of the General Laws in Chapter 5-38 entitled "Automobile Body Repair Shops" is hereby amended to read as follows:

5-38-2. Duties of department of business regulation. -- (a) (1) The department of business regulation shall issue licenses as provided for in section 5-38-6; and shall authorize the transfer of licenses and the establishment of new offices for previously licensed auto body repair shops. The department of business regulation shall act on all complaints from consumers, the insurance industry, and/or law enforcement agencies with regard to automobile body repair shop work.

(2) The department of business regulation shall adopt reasonable rules and regulations for the licensing of automobile body repair shops and schools for the instruction in automobile body repair.

(b) To establish within the department of business regulation, divisions of {DEL professional regulation, DEL} {ADD commercial licensing and regulation, ADD} the auto collision repair licensing advisory board consisting of seven (7) members appointed by the governor, consisting of the following, who shall serve a term of five (5) years:

(1) One president of his or her designee from association of collision repairers;

(2) Two (2) representatives from the department of business regulation;

(3) One from the association of new car dealers;

(4) One from the insurance industry;

(5) One from law enforcement; and

(6) One from the general public.

(c) The board {DEL shall DEL} {ADD may ADD} adopt, amend, and rescind such rules and regulations as it deems necessary to carry out the provisions of this chapter with the prior approval of the director.

(d) The board {DEL shall DEL} {ADD may ADD} oversee investigations of conduct deemed unprofessional against any licensed facility, person, or corporation subject to this chapter and {DEL to DEL} {ADD may ADD} hold hearings to determine whether such charges are substantiated or unsubstantiated.

(e) The board {DEL shall DEL} {ADD may ADD} recommend to the director of business regulation {DEL to DEL} {ADD that the director ADD} license duly qualified applicants for licensing.

(f) The board {DEL shall DEL} {ADD may ADD} meet at least once a month or more often upon the call of the chairperson or director of business regulation.

(g) To recommend to the director of business regulation to revoke, suspend or {ADD take ADD} other disciplinary action with respect to facilities, corporations or persons licensed under this chapter.

(h) To adopt and publish with the prior approval of the director of business regulation rules of procedure and other regulations in accordance with the Administrative Procedure Act, chapter 35 of title 42.

(i) The board members shall receive no compensation.

SECTION 2. Section 5-38-9 of the General Laws in Chapter 5-38 entitled "Automobile Body Repair Shops" is hereby amended to read as follows:

5-38-9. Licenses to contain licensee's name and location of business -- Display of licenses. -- The license of automobile body repair shops shall specify the name of the holder of that business and the location at which that business is to be conducted and must be conspicuously displayed therein. {ADD The license number shall appear on all business communications, estimates, signs, business cards and other written documentation relating to that business. ADD}

SECTION 3. Section 5-38-19 of the General Laws in Chapter 5-38 entitled "Automobile Body Repair Shops" is hereby amended to read as follows:

5-38-19. Criminal penalties for violations -- Injunctive relief. -- {ADD (a) ADD} Any person, firm, or corporation required to be licensed hereunder who shall conduct an automobile body repair shop business without obtaining a license, or who after the denial, suspension, or revocation of a license shall conduct that business, shall be guilty of a misdemeanor and shall upon conviction be punished by a fine of not more than one thousand dollars ($1,000) or imprisonment for not more than one year or both; for a second conviction shall be guilty of a felony and shall upon conviction be punished by a fine of not less than one thousand dollars ($1,000) and not more than five thousand dollars ($5,000) or by imprisonment for not more than two (2) years or both; and for a third and subsequent conviction said person shall be guilty of a felony and shall upon conviction, be punished by a fine of not less than two thousand dollars ($2,000) nor more than ten thousand dollars ($10,000) or by imprisonment for not less than two (2) years, nor more than five (5) years, or both. For the purposes of this section, a plea of nolo contendere with probation shall be considered to be a conviction.

{ADD (b) If the department of business regulation shall have reason to believe that any person, firm, or corporation or association is conducting an automobile body repair shop business without obtaining a license, or who after the denial, suspension or revocation of a license shall conduct that business, the department may issue its order to that person, firm, corporation or association commanding them to appear before the department at a hearing to be held not sooner than ten (10) days nor later than twenty (20) days after issuance of that order to show cause why the department should not issue an order to that person to cease and desist from the violation of the provisions of this chapter. That order to show cause may be served on any person, firm, corporation or association named therein by any person, firm, corporation or association named therein by any person in the same manner that summons in a civil action may be served, or by mailing a copy of the order, certified mail, return receipt requested, to that person at any address at which he has done business or at which he lives. If upon that hearing the department shall be satisfied that the person is in fact violating any provision of this chapter, then the department may order that person, in writing to cease and desist from that violation. All such hearings shall be governed in accordance with chapter 35 of title 42. If that person shall fail to comply with an order of the department after being afforded a hearing, the superior court for Providence County shall have jurisdiction upon complaint of the department to restrain and enjoin that person from violating this chapter. ADD}

SECTION 4. Sections 1 and 3 shall take effect upon passage. Section 2 shall take effect January 1, 1999.



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