Dealer plate (trade plate)

A dealer plate is a plate issued to a dealer, not to one vehicle. A buyer of a dealership meets it because the plates are tied to the dealer’s own approval with the provincial registry, so the question is what the registry needs from the new owner. The automotive licensing guide sets out the other approvals in an automotive sale, and motor vehicle dealer registration has its own entry.

What three provinces say

In Newfoundland and Labrador, individuals or corporations that engage in the business of buying, selling or exchanging new or second-hand motor vehicles or trailers must be approved by the Registrar, and approved dealers may be assigned dealer licence plates for use on their vehicles. Nova Scotia’s Registry of Motor Vehicles lists the dealer licence and the dealer plate together, and says insurance information is required whenever plates are issued or renewed. New Brunswick licenses dealers to the end of each December, and its page says wrecker dealers cannot purchase dealer plates.

What to ask

• Whether the plates are held under the seller’s dealer approval, and what the registry requires before the buyer can hold its own.
• How the buyer’s insurance will be shown to the registry when plates are issued or renewed.
• Which plates are in use today and who is accountable for them.
• What kind of dealer licence the business holds, since New Brunswick treats wrecker dealers differently.