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KNOW THE

25th April 1981, Page 49
25th April 1981
Page 49
Page 49, 25th April 1981 — KNOW THE
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Which of the following most accurately describes the problem?

Trade licences,

E Royal Society of Arts sylfor the CPC examination, E, Law, subsection 4.2.2. : "Describe the require; and use of trade licences s)". This is a branch of the which is often misun)od and because of this iderstanding often contra can only assume that cutions are rare because men are not interested in :es which, after all, are cal and which only result no loss of revenue.

ade licence, commonly reto as trade plates, is an ! licence which enables a trader or vehicle tester, to n a public road, a motor e for which an ordinary exence is not in force for the se of his trade or business. law on this subject is con

in Section 16 of the es (Excise) Act 1971 and of the Road Vehicles (Reion and Licensing) Regu3 1971.

tor trader" (that is, one of ersons who can hold a licence) is defined in the

3 "a manufacturer or reof, or dealer in, mechanipropelled vehicles". The )ss of collecting and deg vehicles is "dealing" in vehicles if it includes no activity except as a motor

fleet owner runs his own hop for the repair of his vehicles, then he falls the definition of a motor because he is a "repairer hides". Many bus cornfor example, fall within category and, quite rly, hold and use a trade tehicle tester" is a person not being a motor trader, rly in the course of his .tss regularly tests motor as belonging to other per licence costs £30 per £8.25 per quarter, and se of this cheap rate, as one would expect, the use of the licence is severely restricted. They may only be used for prescribed business purposes on vehicles temporarily in the possession of the holder of the licence.

The "temporarily in the possession of the holder of the licence rule" does not apply to the use of plates on a recovery vehicle. When the holder of a licence only repairs his own vehicles it might be thought that the licence could not be used because all the vehicles on which the plates are likely to be used are permanently in his possession.

However, it has been held that the repair shop, who use the trade plates, can be considered as a separate business from that part of the company which carries on the main activities of the firm. When the vehicles are in the charge of the workshop it can be said that they are "temporarily in its possession" and the trade plates can be used.

Vehicles may only be used with trade plates for the following purposes — it must be clearly understood that their use for any other purpose is an offence: (1) Test or trial of the vehicle (or its equipment or accessories) in the course of its construction or repair, or after completion of either (2) Proceeding to and from a public weighbridge for ascertaining the vehicle's unladen weight or for its registration or inspection (3) Test or trial for publicity purposes or for a prospective purchaser or proceeding to or from a place of test or trial (4) Delivery to a place where the purchaser intends to keep it (5) Demonstrating the operation of the vehicle or its equipment or accessories when handing the vehicle over to a purchaser (6) Delivery to one part of the licence holder's premises to another part or to or from another manufacturer, dealer or repairers' premises (7) Going to or coming from a workshop in which a body or a special type of equipment or accessory is to be or has been fitted to the vehicle or in which it is to be or has been painted or repaired (8) Proceeding to a railway station, aerodrome or wharf, for transport and vice versa (9) Journey to and from a storage place, garage or salesroom where the vehicle is to be stored or offered for sale (10) To and from a place for testing or where it is to be broken up or dismantled (11) Use of a recovery vehicle on breakdowns. This is a complicated matter which will be dealt with fully in a subsequent article (12) In the case of a manufacturer's research vehicle, this must only be used on a road by the manufacturer for research and development purposes. As a general rule no good's or burden can be carried on a vehicle which is being used with trade plates. However, the following is permitted:

(a) A load carried .solely for test, trial or demonstration of the vehicle or its accessories or equipment while it is being used for permitted purposes (1), (3) or (5) outlined above. In this case the load must be returned to the place at which it was loaded without having been removed from the vehicle except for such purposes or in the case of an accident.

(b) The load carried by a breakdown vehicle necessary for its operation as such or consisting of the broken-down vehicle.

(c) Any load built in as part of the vehicle or permanently attached to it.

(d) A load of parts, accessories and so on, designed to be fitted to a vehicle when operating under permitted purposes (6), (7) or (8) outlined above.

(e) A load consisting of a trailer when the vehicle is being used for a permitted purpose outline in (4), (6) or (8).

Trade plates must be fixed to the vehicle and displayed in the same way as is required for registration marks. The front plate must be the one which contains the licence.

A trade licence does not entitle the holder to use more than one vehicle at any one time except where a recovery vehicle is drawing a broken down vehicle. An articulated vehicle is, treated as one vehicle for this rule. More than one trade licence may be taken out by the same person.

Trade plates must not be used to "keep" a vehicle on a road if it is not being used. This is a strange rule, but its purpose is to prevent owners of vehicles from parking them on roads, without an ordinary excise licence, when they have no intention of using them.

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Organisations: Royal Society of Arts

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