In this subtitle, “license” means a vehicle salesman’s license issued by the Administration under this subtitle.

Except as provided in §§ 10–14A–03 and 10–14B–03 of the State Government Article, a person may not act as a vehicle salesman unless the person is licensed by the Administration under this subtitle. Any person who has been refused a vehicle salesman’s license in this State or whose vehicle salesman’s license is revoked or suspended may not conduct the business of a vehicle salesman under any license, permit, or registration certificate issued by any other jurisdiction. A person convicted of a violation of this section is subject to: For a first offense, imprisonment not exceeding 6 months or a fine not exceeding $1,000 or both; and For a second or subsequent offense, imprisonment not exceeding 1 year or a fine not exceeding $2,000 or both.

A license may not be issued under this subtitle to a partnership, corporation, or other entity. It only may be applied for by and issued to an individual.

A person may not be licensed under this subtitle unless the person: Is a licensed dealer; or Is employed as a vehicle salesman by a licensed dealer. Unless the applicant is himself a licensed dealer, each application for a license shall contain or be accompanied by the written statement of the licensed dealer by whom the applicant is or will be employed, certifying that the applicant has been accepted by the licensed dealer for employment as a vehicle salesman. The written statement shall be signed on behalf of the licensed dealer by a person authorized under this title to sign an application for a dealer’s license. If a dealer makes a certified statement under this section, the dealer immediately shall notify the Administration of any termination of employment of the salesman. The notification required under subsection (c) of this section shall be made on the form that the Administration requires.

In addition to the information required under Subtitle 1 of this title, each application for a license shall include: The name and business address of the licensed dealer by whom the applicant is or will be employed; or A statement that the applicant is himself a licensed dealer.

Except as otherwise provided in this title, each licensee shall pay an annual fee to the Administration for each license year or part of a license year for which the license is issued. The annual license fee shall be established by the Administration.

A license issued under this subtitle authorizes the licensee to be a vehicle salesman for a licensed dealer during the license year for which it is issued.

Each license shall state the name of the licensed dealer by whom the licensee is employed, as specified in the application for the license. A licensed vehicle salesman may not act as a vehicle salesman for any person other than the licensed dealer named in the salesman’s license. A licensed vehicle salesman may act as a vehicle salesman for any dealership that is at least 60 percent owned by the licensed dealer named in the salesman’s license.

A contract for the sale of a vehicle by a vehicle salesman shall comply with the requirements of § 15-311 of this title on contracts by a dealer.

A vehicle salesman may not fail to account for and remit to his dealership any payment received by him in connection with a vehicle sales contract. A vehicle salesman may not do any act that a dealer is prohibited from doing under § 15–312 of this title as to vehicle sales transactions. A vehicle salesman may not do any act that a dealer is prohibited from doing under § 15–313 of this title on prohibited advertising practices. A vehicle salesman may not misrepresent any material fact in obtaining a license. A vehicle salesman may not do any vehicle sales business with or through any person required to be licensed under this title if he knows that the person is not licensed. A vehicle salesman may not willfully fail to comply with any rule, regulation, or lawful order adopted by the Administration under this title. A person convicted of a violation of this section is subject to imprisonment not exceeding 2 months or a fine not exceeding $500 or both.

In addition to the other grounds specified in Subtitle 1 of this title for refusal, suspension, or revocation of a license, the Administration may refuse to grant a license under this subtitle to any person and may suspend, revoke, or refuse to renew the license of any person if it finds that: The person has been convicted by final judgment in any court of a crime of moral turpitude; or The vehicle sales transactions of the person have been marked by a practice of failure to perform contracts or by fraud or bad faith.