What must a licensee from another state obtain to sell vehicles at wholesale auctions in Virginia?

What must a licensee from another state obtain to sell vehicles at wholesale auctions in Virginia?

• A. A driver's license
• B. A certificate of registration
• C. A dealer's permit
• D. A business license

Answer: (B)

To sell vehicles at wholesale auctions in Virginia, a licensee from another state is required to obtain a dealer's permit. The dealer's permit is essential because it demonstrates that the individual or business meets Virginia's requirements to engage in the wholesale sale of vehicles, which includes adherence to state regulations and laws concerning auto sales. While options such as a driver's license and a business license may be important for operation and identification, they do not specifically authorize or regulate the act of selling vehicles at auctions. A certificate of registration typically refers to a vehicle's registration rather than a seller’s authorization to conduct business in that capacity. Therefore, obtaining a dealer's permit is vital as it grants the legal authority necessary to participate in wholesale transactions within the state, ensuring compliance with local regulations.

To sell vehicles at wholesale auctions in Virginia, a licensee from another state is required to obtain a dealer's permit. The dealer's permit is essential because it demonstrates that the individual or business meets Virginia's requirements to engage in the wholesale sale of vehicles, which includes adherence to state regulations and laws concerning auto sales.

While options such as a driver's license and a business license may be important for operation and identification, they do not specifically authorize or regulate the act of selling vehicles at auctions. A certificate of registration typically refers to a vehicle's registration rather than a seller’s authorization to conduct business in that capacity. Therefore, obtaining a dealer's permit is vital as it grants the legal authority necessary to participate in wholesale transactions within the state, ensuring compliance with local regulations.