(2) "Cancellation" with reference to driving privileges or identification cards means the annulment or termination by formal action of the Department of Transportation of a person’s driving privileges or identification card, or of a person’s right to apply for privileges or identification card, because of some error or defect in a document or because the person is not eligible for the privileges or card. [1983 c.338 §27; 1985 c.16 §10; 1993 c.393 §1]