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ItHrY1 FLf

19th July 1968, Page 72
19th July 1968
Page 72
Page 72, 19th July 1968 — ItHrY1 FLf
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Which of the following most accurately describes the problem?

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by Les Oldridge AI RTE, AM I MI

Trade licences

TRADE LICENCES are a great convenience to the operator of a fleet of vehicles as they permit the use of a vehicle on a road while it is unlicensed. Such licences are only issued to "Motor Traders" but as the definition of this term, contained in Section 12 (10) of the Vehicles (Excise) Act 1962, includes "a repairer of mechanically propelled vehicles" any fleet owner who carries out his own repairs is entitled to the grant of a trade licence. The question as to whether a particular firm or person is a Motor Trader is one of fact, but any person aggrieved by a council's refusal to grant such a licence may appeal to the Ministry of Transport.

There are two types of licences, limited and general. Number plates are issued to the holder of the licence, limited, having a triangular licence holder, have red letters and figures on a white background; general plates have the reverse colouring and a rectangular licence holder. The plates remain the property of the council which issues them and if they are stolen, lost, destroyed or defaced the holder must notify the council which will supply new ones.

The general trade licence costs £60 per year 4£16 10s quarterly) and the limited £12; there is no quarterly rate for the latter type. It will be seen that the limited is much cheaper but its use is very much more restricted than the general as will be seen later.

The holder of a trade licence must not use more than one vehicle at a time on each licence except a vehicle drawing a trailer for a prescribed purpose. He cannot keep a vehicle on a road and not use it. This is a peculiar condition but prevents vehicles being parked on a road, exhibiting trade plates, but never being driven. It is difficult to envisage circumstances where this might occur but I wonder if it is to prevent the parking of a car outside the front door of some person who is trying to "keep up with the Jones's" and who regards the ownership of a car as a status symbol but who wishes to avoid paying the full tax rate. Finally a vehicle must not be used on trade plates except for a prescribed purpose.

Dealing with general trade plates first, they may only be used for the following purposes:

(a) a purpose connected with the holder's business as a manufacturer, repairer or dealer in mechanically propelled vehicles: (b) a purpose connected with his business as a manufacturer or repairer or dealer in trailers carried on in conjunction with his business as a motor trader;

(c) any additional purpose of the holder of the licence while the vehicle is being used in (a) or (b) above.

A vehicle driven with a general trade licence must not be used for carrying passengers for hire or reward. It was held in Green v Dynes 41938) 159 LT. 168 that teaching a customer to drive is for "hire or reward" although the customer is driving. If an apprentice is being taught to drive, as part of his training and during the course of his employment, I think this would be in order as there is no question of hire or reward and the use would be in connection with the business of a motor trader.

General trade plates cannot be used for social or recreational purposes. For example, if your firm runs a social club a coach cannot be used for a works outing on trade plates.

I will return to this subject next week.

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Organisations: Ministry of Transport

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