Motor Vehicle Dealers - New or New and Used Vehicles

The State of Oregon Motor Vehicle Dealer Surety Bond is a financial guarantee required for businesses engaged in selling new motor vehicles or both new and used motor vehicles in Oregon. This bond ensures compliance with state regulations governing motor vehicle dealership operations.

Motor vehicle dealers who sell new vehicles or operate as new and used vehicle dealers must obtain this bond as part of their licensing requirements with the State of Oregon. The bond is mandatory for maintaining an active dealer license and conducting lawful business operations in the state.

The bond protects both the State of Oregon and consumers from potential financial losses resulting from the dealer's failure to comply with applicable laws and regulations. This includes protection against fraudulent practices, failure to transfer titles properly, misrepresentation of vehicles, or other violations of motor vehicle dealer regulations.

The bond amount is set at $50,000 and has a term length of one year. The bond is renewable annually, allowing dealers to maintain continuous coverage and licensing compliance. Renewal must be completed before the bond's expiration date to avoid any lapse in coverage that could affect the dealer's license status.