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Section 13

Stolen Vehicle Prevention

13.4 Administrative Service Fees

  1. Administrative Service Fees ("ASF") are penalties imposed by the DMV on a dealer for failing to submit Reports of Sale and related documents to the DMV on time. The dealer will be subject to an Administrative Service Fee for each of the following infractions:



Failing to attach copy of Notice/Temporary ID on vehicle (the “window copy” of the Report of Sale)


Failing to submit Transfer/Registration Application to DMV within 30 days of date of sale


Failing to notify DMV of sale within five calendar days of date of sale [V.C. §5901] (the “5 day dealer notice”)


Failing to correct a returned application within 50 days of sale date or 30 days of the date the application is returned by DMV, whichever is later


Failing to submit a corrected Transfer/Registration Application to DMV within 50 days of date of sale. [V.C. §§4456 and 4456.1]


  1. Each infraction for which an ASF is charged is a separate cause for disciplinary action pursuant to [V.C. §§11613 or 11705] So even though the dollar amount of these fees may seem small, each failure to submit your paperwork on time is a separate violation. This could subject you to additional administrative penalties, such as a refusal to issue a new license.

  2. Currently, if you are 90 days late with your Report of Sale, DMV will move against your bond to collect the fees due. This will cause your bond to drop below the required $50,000 amount and your dealer license will be automatically terminated (not just suspended). You will then have to re-apply for a new license. If you have demonstrated a pattern of failing to turn in your Reports of Sale on time, the DMV can reject your new application for a dealer’s license and you are out of business. Also, it is no defense to blame the auction company for failing to provide you the necessary documentation to get your Reports of Sale in on time. DMV will not accept such defenses, even if true.
  3. Criminal Action:

    A dealer could also be subject to criminal action for failing to timely turn in their Reports of Sale. The DMV Investigations Department is currently looking into possible criminal prosecutions for dealers who withhold sending in their Reports of Sale to “float” the DMV fees and collect interest on those fees before submitting them to the DMV.
  4. Administrative Service Fees cannot be passed on to the purchaser

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