What must a dealer do when a salesperson leaves the dealership?

When a salesperson leaves the dealership, the appropriate action for the dealer is to return the salesperson's license. This requirement is in place because the license is tied to that specific dealership and its operations. It helps maintain accurate records within the regulatory framework of the state, ensuring that licenses are active and associated with the correct individuals and establishments.

By returning the license, the dealership prevents the potential for misuse of the license and ensures that the state has up-to-date information about the identity and status of licensed salespeople operating in Colorado. This practice is crucial for compliance with state regulations governing automotive sales and helps protect both consumers and the integrity of the sales process.

Keeping the license indefinitely or transferring it does not adhere to the regulatory requirements, as only the license holder or the relevant authorities can update the status of the license. Therefore, the most appropriate and legally compliant action is to return it to the Auto Industry Division.