Victorian Consolidated Legislation

Motor Car Traders Act 1986 - SECT 7A

Deemed trading in motor cars

7A. Deemed trading in motor cars



(1) A person who buys, sells or exchanges, or offers to buy, sell or exchange,
4 or more motor cars in any period of 12 months (whether as a principal or as
an agent) is deemed to be a motor car trader carrying on a business of trading
in motor cars.

(2) Subsection (1) does not apply if the person can prove that she, he or it
did not, in that period, carry on the business of trading in motor cars and
did not hold herself, himself or itself out as carrying on the business of
trading in motor cars.

(3) In counting the number of motor cars bought, sold or exchanged by a
person, any purchase, sale or exchange-

   (a)  that is an exempt transaction for the purposes of the definition of
        trading in motor cars is not to be counted;

   (b)  that is from, to or with a licensed motor car trader is not to be
        counted.

(4) In counting the number of motor cars offered for purchase, sale or
exchange by a person, any offer-

   (a)  that would result in an exempt transaction for the purposes of the
        definition of trading in motor cars if it was to be accepted is not to
        be counted;

   (b)  that is made to a licensed motor car trader is not to be counted.

(5) In this section an offer to sell includes an invitation to treat and the
publishing (or authorising the publication) of an advertisement (including by
means of broadcast or electronic communication).

(6) A person who buys, sells or exchanges less than 4 motor cars in any period
of 12 months may still be a motor car trader carrying on a business of trading
in motor cars, and nothing in this section is intended to interfere with that
possibility.

Division 2-Issue of licences