Automotive Recyclers

Del. Code tit. 21, ch. 75
in effect

Del. Code tit. 21, § 7501 Definitions.

As used in this chapter: (1) “Automotive recyclers” means any person engaged in: a. Dismantling, destroying or scrapping any vehicle for the purpose of resale of its used parts; or b. Otherwise acquiring vehicles for the benefit of their usable parts; and c. Notwithstanding any provision to the contrary, any reference to motor vehicle salvage yard, junkyard, automotive graveyard, wrecking and dismantling, salvage dealer or junk dealer in any statute or rule or regulation shall apply to an automotive recycler. (2) “Department” means the Department of Transportation unless otherwise specified. (3) “License” means any license issued by the Department of Transportation for the operation of an automotive recycler. (4) “Person” means an individual, partnership or corporation. (5) “Vehicle” means any vehicle or motor vehicle as defined in Chapter 1 of this title or body or chassis of any vehicle to be dismantled, destroyed, scrapped or resold.

Del. Code tit. 21, § 7502 License requirements; exception.

(a) A person may not conduct the business of an automotive recycler or engage in the business of purchasing vehicles which are to be dismantled in whole or in part by that person for the sale of usable parts, or store vehicles more than 30 days that are to be dismantled unless said person is licensed under this chapter. (b) This chapter does not prohibit an unlicensed person from transporting a vehicle to a licensed automotive recycler for dismantling, destroying or scrapping; or to a scrap processor in the business of selling iron, steel and nonferrous scrap for resmelting purposes; or apply to abandoned vehicles or vehicles left in the possession of a garage or service station for storage purposes only pursuant to Chapter 44 of this title. (c) A person must possess a valid license issued by the Division of Revenue and if applicable a license issued pursuant to Chapter 12 of Title 17. (d) Any other provision of this chapter notwithstanding, in a case in which an automotive recycler is also the owner or has an interest in a junkyard, the recycler must comply with all requirements of Chapter 12 of Title 17. (e) Any other provision of this chapter notwithstanding, in a case in which an automotive recycler is purchasing or selling a “catalytic converter,” as defined in § 2301 of Title 24, the automotive recycler must comply with the requirements of Chapter 23 of Title 24 relating to the purchase and sale of catalytic converters.

Del. Code tit. 21, § 7503 Location requirements.

A person may not be licensed to conduct an automotive recycler business under this chapter unless: (1) The business is conducted from a building that is adequate and appropriate for automotive recycling as approved by the Division of Motor Vehicles; (2) The business has a storage area for at least 25 vehicles, the area is properly fenced and screened and the automotive recycler has complied with all of the requirements of Chapter 12 of Title 17 and all rules and regulations adopted pursuant thereto; (3) The location is properly zoned by the local zoning authority for the operation of an automotive recycler business; (4) The business be at a fixed location, as specified in the license application; and (5) There be a substantial and legible sign: a. That advertises the type of business conducted at the location; b. That is placed in a manner that is readily seen by the public; and c. That is in conformance with all state and local regulations, laws and ordinances.

Del. Code tit. 21, § 7504 Application for license.

The Department shall devise an automotive recycler license application which shall include the following: (1) The name of the business; (2) The address of the business; and (3) If the business is a proprietorship, partnership or corporation, the names and addresses of all principals, partners or corporate officers and resident agents.

Del. Code tit. 21, § 7505 Issuance of licenses.

The Department shall issue an “automotive recycler” license under this chapter to an applicant who is in compliance with this chapter and otherwise is entitled to a license.

Del. Code tit. 21, § 7506 License fee and renewal.

(a) Each automotive recycler under this chapter shall pay an annual fee for each license issued in the amount of $100. (b) A license issued under this chapter shall expire on December 31 of each year, and may be renewed by application and payment of license fees.

Del. Code tit. 21, § 7507 Record of vehicles and catalytic converters; inspections.

(a) Each automotive recycler shall keep accurate and complete records of all vehicles, motor vehicles, and catalytic converters acquired in the business. The records shall be maintained in an accessible place and shall contain the following information: (1) The names and addresses of the person or persons from whom the vehicle or catalytic converter was acquired or sold. (2) The date of acquisition and sale of the vehicle or catalytic converter. (3) Documentary evidence of ownership as required by the Department. (b) The Department may promulgate further rules designed to implement recordkeeping for catalytic converters pursuant to the requirements of this section. (c) During business hours, vehicles, vehicle parts, catalytic converters, and records and premises of the automotive recycler shall be open to inspection by the Department or any police officer while discharging official duties.

Del. Code tit. 21, § 7508 Refusal, suspension or revocation of license.

The Department may refuse to grant a license under this chapter to a person and may suspend, revoke or refuse to renew a license of any person if it finds that: (1) The person has violated or is attempting to violate this chapter or any rule or regulation adopted by the Department under this chapter; (2) The person has violated or is attempting to violate any other provisions of the Delaware Code that relate to the business activity of that person; or (3) Any automotive recycler or employee has violated or is attempting to violate this chapter and any rule or regulation adopted under this chapter or any other provisions of the Delaware Code that relate to the business activities of the person unless the Department is satisfied that the management of the business: a. Had no knowledge of the wrongful conduct; or b. Was unable to prevent the violation or attempted violation.

Del. Code tit. 21, § 7509 Hearing notice.

A license issued under this chapter may be suspended, revoked, refused or not renewed only after notice of hearing has been served upon the person or the person’s representatives. Said hearing notice shall contain: (1) All charges made against said person; and (2) The date, approximate time and place of the hearing must be specified.

Del. Code tit. 21, § 7510 Hearing procedures.

All hearings shall conform to the provisions of the Administrative Procedures Act, Chapter 101 of Title 29.

Del. Code tit. 21, § 7511 Judicial review.

Any aggrieved party to a hearing may appeal a decision or order of the Department to the Superior Court for review de novo.

Del. Code tit. 21, § 7512 Penalty.

Any person who violates the provisions of this chapter relating to the requirements of licensing or the maintenance of vehicle records shall be guilty of a class B misdemeanor as the same is defined in Chapter 42 of Title 11, and shall be subject to the penalties prescribed therein.
Source: DE Code (Official Site)URL: https://delcode.delaware.gov/title21/c075/index.htmlFetched: 6/28/2026

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