What constitutes prima facie evidence of engaging in the business of selling motor vehicles?

The correct answer indicates that offering or negotiating an exchange of interest in three or more vehicles in a single year constitutes prima facie evidence of engaging in the business of selling motor vehicles. This threshold is significant because it establishes a clear benchmark for when an individual's activities are considered to go beyond casual transactions and enter into the realm of commercial operations.

When the law sets a specific number like three vehicles, it helps distinguish between a hobbyist or a private seller and a business entity. If one were to sell only one vehicle per year, it generally would not be seen as running a business. Similarly, leasing vehicles or engaging in transactions solely valued under $5,000 does not fulfill the criteria that indicate active participation in the motor vehicle sales industry. The focus on a certain volume of exchanges highlights the intention and operational aspect of being in the business, which is crucial for regulatory considerations, licenses, and compliance with related laws.

This understanding aligns with legislative intent to monitor and regulate those who are actively engaged in the commercial sale of vehicles to protect consumers and ensure fair practices in the industry.