(A) The use of dealer demonstration numbers must be limited to the watercraft that are:
(1) owned by the dealership;
(2) assigned to the dealership, including customer watercraft in for service;
(3) used for prospective buyer for test ride purposes;
(4) being operated on South Carolina waters by persons employed by the dealership or persons associated personally with the dealership such as a corporate officer;
(5) being operated by prospective watercraft buyers while in test operation. If a customer operates a boat or watercraft during an extended demonstration, the dealer must execute a form designating the buyer to use such watercraft. Prospective buyers are limited to operating with dealer numbers for a period of seventy-two hours;
(B) Employees, owners, and agents who operate or may operate dealer owned watercraft using dealer demonstration numbers must be listed on the dealer application form. This list must include the name, address, and social security number. The names may be updated during the current licensing year as employees are added or leave and must be updated within a thirty-day period.
(C) A dealer who is convicted of misusing dealer demonstration numbers must be punished as follows:
(1) for a first offense, a one hundred dollar fine;
(2) for a second offense, a two hundred dollar fine;
(3) for a third offense, a three hundred dollar fine;
(4) for a fourth and subsequent offense, a three hundred dollar fine and the department may suspend the dealer's license.