General Laws of Massachusetts - Chapter 174B Regulation of Automobile Clubs - Section 8 Refusal, suspension or revocation of license; grounds

Section 8. A license may be refused, or a license duly issued may be suspended or revoked, or the renewal thereof refused by the commissioner if, after notice and hearings he finds that the applicant for, or holder of, such license:

(a) has violated any provision of this chapter; or

(b) is in such financial condition that its further transaction of automobile club service in the commonwealth would be hazardous to its members and the automobile-club-service-buying public in the commonwealth, is insolvent; or

(c) has refused or refuses to remove or discharge, or terminate its relationship with a director or officer who has been convicted of any crime involving fraud or dishonesty; or

(d) customarily, or in the regular course of business, compels claimants under its service contract either to accept less than the amount due them or fewer services or compels them to bring suit in order to secure full payment of the amount or all of the services due to said claimants; or

(e) conducts its business outside this commonwealth in such a manner as unjustly to discriminate against or prejudice the interests of the people of this commonwealth; or

(f) is affiliated with and is under the same general management or interlocking directorate or ownership as another automobile club which transacts business in this commonwealth which does not have a certificate of authority therefor; or

(g) has exceeded, or exceeds, its charter powers; or

(h) has refused, or refuses, to be examined, or if its directors, managing officers, employees or representatives refuse to submit to examination by the commissioner when required by the commissioner, or refuse to perform any legal obligation relative to such examination; or

(i) maintains, through its employees, a policy of misrepresenting to the public its service contracts; or

(j) fails to issue service contracts to its members.

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Last modified: September 11, 2015