AB 2026: Used vehicle salespersons.

Existing law requires a person who acts as a vehicle dealer or salesperson to be licensed by the Department of Motor Vehicles. Existing law additionally requires a person who applies for a used vehicle dealers license to complete a preliminary educational program of not less than 4 hours, covering specified topics, including motor vehicle financing, advertising, odometers, air pollution control requirements, departmental forms, a written exam, and another educational program every 2 years after issuance of the license.

This bill would, with certain exceptions, prohibit a person licensed as a salesperson from performing the functions of a salesperson for a dealer that sells used vehicles unless he or she has, within the previous 3 years, completed the same educational program as the educational program required for licensed dealers every 2 years after issuance of the dealers license, and to provide evidence of completion to his or her employer. The bill would also require the dealer to maintain evidence that all salespersons employed by that dealer are in compliance with this requirement. The bill would also require a dealer to reimburse an employee, as specified, for the cost of training taken during employment.

The bill would make these new provisions operative on July 1, 2019.

Because a violation of these provisions would be a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.