29.1-810 - Bond of dealer; right of action for fraudulent acts. - Virginia Statutes

§ 29.1-810. Bond of dealer; right of action for fraudulent acts.

A. Before any watercraft dealer's license shall be issued by the Director toany applicant, such applicant shall procure and file with the Director a goodand sufficient bond in the amount of $5,000 with corporate surety dulylicensed to do business within the Commonwealth, in such form as approved bythe Attorney General and conditioned that the applicant shall not practicefraud, make any fraudulent representation or violate any of the provisions ofthis chapter in the conduct of the business for which he is licensed. TheDirector may suspend the dealer's license without a hearing for such periodas the dealer does not have a good and sufficient bond on file with theDirector. Such suspension shall end when the bond is delivered to theDepartment.

B. If any person shall suffer any loss or damage by reason of any fraudpracticed on him or fraudulent representation made to him by a licensedwatercraft dealer or one of such dealer's salesmen acting for the dealer orwithin the scope of the employment of such salesman, or shall suffer any lossor damage by reason of the violation by such dealer or salesman of any of theprovisions of this chapter, such person shall have a right of action againstsuch dealer and the sureties upon his bond. Such person may recover suchdamages, as a court or jury may assess against such dealer as a proximateresult of such fraud or fraudulent misrepresentation, from such surety whoshall be subrogated to the rights of such person against such dealer.

(1988, c. 592.)