To the OP, the question isn't really anything to do with the not-for-hire thing, but rather what you are going to do with the cars up to the point that the truck won't be used any more.
What I mean is this - I have an acquaintance who I sold a truck to for his little venture. What he did was licensed it under his state laws as a personal vehicle, and with his rather large trailer, he went on a buying spree all over the county, he made a dozen trips to the southwest to buy 5 or 7 cars/trucks at a time, brought them back to his farm and make another trip. Now he was stopped a lot of times and he explain that he is buying them to restore (which was partially true) but what he left out of it was what he was going to do with the others he wasn't going to restore - sell them.
After his last trip out there, he formed a company, sold the company the truck, trailer and all the cars to it, then applied for a dealers' license and started to sell cars/trucks at his farm. All of this was legal, all of it was done in such a way that there was no issues with the state DOTs that he went in, it was just some rich nutty guy buying cars up and hording them.
Depends on the state, but only a couple need a shower, I don't have one. I don't even have a stove in mine, the toilet was the key, it had to be mounted, which wasn't a problem. The first conversion I did I bought mounting brackets for a cassette toilet and had it bolted to the floor right in front of the bunk, the "inspector" (local cop) thought it was amusing and checked it off as installed.
Stupid Question: Not For Hire?
Discussion in 'Ask An Owner Operator' started by Dr. Balbarian, Apr 17, 2019.
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Dr. Balbarian and Trucking in Tennessee Thank this.
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As stated by several other replies in the thread already, it is the intent of what you are doing with the vehicles that will determine the commercial nature of the truck and trailer. We have a fella local to me that built a very detailed replica of Optimus Prime, he travels all over the US and Canada with it as a private vehicle, no problem. Now let's get technical.
"Not For Hire" means just that, not for hire nothing more nothing less. Just because a vehicle is not for hire does not automatically make it non-commercial. Not for hire is a status for private fleets, which are subject to all the same FMCSA requirements except operating authority and filing insurance. Still have to have insurance, just don't need to file a BMC-90 or 91. An example of a private fleet would be a manufacturer that uses trucks to pickup their own raw material and/or deliver their finished products -like a bottled water or food stuff producer.
There are many case law precedents on the true definition of interstate commerce and how intent applies. Basically, if you intend to make a profit selling these vehicles then you are engaging in commerce. Actual profit or loss is irrelevant, it is the intent. Purchasing them in your own name still does not matter, the FMCSA does not distinguish between individuals and business entities.
Same concept the DOT uses to require ELDs in pickup trucks hauling show or rodeo horses, they own the horses hoping to win prize money therefore the intent is to engage in commerce -even if they never win a prize or gain sponsorship. Our local dirt track racers get inspected, and cited, often by DOT for hauling their cars to the race track without being DOT compliant simply because they either have sponsorship or are competing for prize money.
All that said to say here are your compliance issues as I see them as an expert in the field of DOT regulatory compliance;
- It is your burden to prove the cars you haul are private and in no way a source of revenue or hope to be a source of revenue, which can be difficult at the roadside. Revenue is as simple as showing them for prize money or other compensation, including accepting sponsorship or gifts of parts/services for promotional consideration, not just reselling them.
- You will still have to comply with size and weight rules, which in some states are restrictive for vehicles that are not commercial -therefore you may not be legal to pull a 53' car trailer as they may apply the 65' overall rule to non-commercial combinations by treating you like a RV
- You will have to comply overhang rules, meaning in most states a high-mount auto transporter is not permitted to legally have cars overhang (extend past the front or rear of the trailer)
- Insurance will be very difficult to obtain
- Not DOT related, but you may have issues with your home state's dealer licensing board as several states restrict how many vehicles a private individual may buy and sell in any year without a dealer license. Typically there is a limit of 5 per year without a valid exception reason such as an estate sale (you died) or court orders to liquidate assets.
- US DOT Number
- Drug Testing Consortium
- Full records, i.e. driver qualification, vehicle files, policies/procedures, etc
- IFTA/IRP (apportioned registration and fuel tax) If leaving Ohio
- Qualified CDL A driver
Additionally, as an Ohio resident, you may have PUCO compliance requirements and will require a used vehicle dealer license if you sell more than 5 vehicles per calendar year. To obtain a Ohio dealer license you need commercial property appropriately zoned, clean criminal history, a net worth greater than $75,000 and a few other legal requirements.Dr. Balbarian, Hulld, Trucking in Tennessee and 1 other person Thank this. -
One other thought on a dealership.
Not sure if it’s the same in Ohio as it is with me in NY but I also have to have a surety bond for my auto dealership.
At the end of the day trucking and auto dealerships don’t lend themselves very well trying to run them as a hobby.
In my opinion these kinds of businesses are just to expensive to run for fun.brian991219 and 062 Thank this. -
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To the DR. Who was the OP.....
PM me and I give you my phone #. Every state is going to be different so be carefulom advice received. I live in OHIO and I have researched this thing and researched it again. Attached is my rig I drive with no CDL and I am legal.Attached Files:
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Thank you all for the replies and info.
I should add that I plan on buying these cars to fix, then sell (possibly) at a later date, I already know how dealer licencing works in Ohio, my biggest concern will be how I plan to transport them.
The whole driving and picking up cars will be about a year away still, but in the meantime I would love to take the truck out for a cruise here and there to keep it from sitting, and also plan on using it to upgrade from B to A on my CDL with.
If the truck is registered as a commercial, does that make it hard to cruise with? I live out in the country so I doubt any of the sheriffs where I live will do anything about me driving it, since most of them know me, but if I drove it to work, I might meet a few city cops that could harass me. -
In Ohio, from a registration standpoint it will be plated as a “commercial” vehicle. There are no other options. It will cost you roughly $400 for the plate, depending on the actual weight of the vehicle.
Don’t go through the effort getting a CDL until you have to. You will be able to “cruise” without one. An officer once explained what his position would be if he pulled me over and I said I was a “not for hire, non commercial vehicle” but had a CDL..........he would not believe me and dig deeper. With no CDL the chances are less that you will get harassed.
Folks will argue here but I know the law in Ohio. You don’t even need an air brake endorsement, you literally only need a basic drivers license.Dr. Balbarian Thanks this. -
Since that is the case, when I purchase the truck officially, will I pay tax on it, or will they do the exemption, which I believe is for commercial vehicles which are to be used to haul freight?
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Unless you have a MC# you will pay tax.
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