When applying for a manufacturer or distributor license, you must include a copy of the franchise, or sales, service or sales/service agreement (franchise agreement) that will be offered to a motor vehicle dealer in the Commonwealth of Virginia. The franchise agreement will be reviewed to ensure that it does not contain terms inconsistent with the provisions of the franchise laws contained in Title 46.2, Chapter 19.2 of the Code of Virginia. Please refer to Va. Code §§ 46.2-1993.64 through 46.2-1993.73.
If your company is located in Virginia, you must have office space of at least 250 square feet. In addition, the location must be inspected by a DMV Special Agent from DMV Investigative Services.
Franchise Agreement Requirements
- A copy of each new, amended, modified, or different form of franchise agreement or addendum to the agreement must be filed with the Department of Motor Vehicles (DMV) for review at least sixty days prior to offering the franchise to Virginia motor vehicle dealers. At that time, the manufacturer or distributor must also give written notice and a copy of the document(s) to affected dealers in the Commonwealth. (Va. Code § 46.2-1993.64)
- The franchise or sales agreement must include any warranty provisions and a sixty-day franchise cancellation clause. Exceptions to the sixty-day notification clause are found in Va. Code § 46.2-1993.67(6).
- The distributor must be furnished with a written agreement from the manufacturer or parent distributor.
- All Franchisers must include in any agreement (or an addendum to the agreement) with a motor vehicle dealer in the Commonwealth the following language, If any provision herein contravenes the laws or regulations of any state or other jurisdiction wherein this agreement is to be performed, or denies access to the procedures, forums, or remedies provided for by such laws or regulations, such provision shall be deemed to be modified to conform to such laws or regulations, and all other terms and provisions shall remain in full force and effect, or words to that effect. (Va. Code § 46.2-1992.67(13))
Listed below are the forms and fee amounts you need to apply for a manufacturer or distributor license and a factory representative license.
License Fees
| License Type and Form | One Year | Two Years |
|---|---|---|
| Manufacturer or Distributor License (DSD 10) | $100 | $100 |
| Factory or Distributor Representative License (DSD 7) | $10 | $20 |
| Total | $110 | $220 |
The fee for the first two manufacturer or distributor license plates is $9.
IMPORTANT: Each member of your organization who acts in the capacity of a factory or distributor representative must be licensed as such.
Additional Information
If you are a Second Stage Manufacturer or assemble reconstructed vehicles or specially constructed vehicles, please attach an outline of any major or essential parts removed from and/or installed in the vehicles
If you are licensed as a manufacturer in another state, please submit your current certificate from that state with your application.
NOTE: If you are a manufacturer or distributor headquartered in Virginia, Va. Code § 46.2-602.2 allows for additional uses of vehicles displaying the new "HQ" or "MD" plates. Please indicate on your application or renewal form if you qualify as a Virginia-headquartered manufacturer or distributor.