California’s New Car Dealer Regulations – History Reports and Warnings

Serving Los Angeles, Riverside, Ventura, San Bernardino Counties & Nearby Areas of California

This is the second part of a three-part series describing California’s recently enacted used car dealer regulations.

With California’s recently enacted used car dealer regulations scheduled to begin on July 1st, it is important for consumers across the state to understand their new rights. The new regulations require car dealers to provide potential buyers with additional details about the cars they’re interested in buying such as past history and damage.



The Benefits of a Vehicle History Report

The National Motor Vehicle Title Information System (NMVTIS) tracks the history of every vehicle sold in the United States and pursuant to Assembly Bill 1215, dealers must obtain a vehicle history report for every used car they sell. By having a history report, consumers can find out who owned the car, where it has been, and what has been done with it. Armed with this additional information, consumers can find out if there is any damage or illegal activity associated with the vehicle.

What Damage Requires a Warning Sticker?

A dealer must place a red warning sticker near the used vehicle’s FTC Buyer’s Guide to warn potential buyers that the car has been classified as a junk, salvage, or total-loss. A vehicle is classified as junk when it is inoperative, dismantled, discarded, and no longer licensed. A salvage is a vehicle that has sustained damage equivalent to at least 75% of its value before being repaired. A total-loss is a car that has been damaged to such an extent that the insurance company considers repairing it uneconomical and the repairs did not occur for or by the person who owned it when it was damaged. All of these incidents may result in problems that were not properly fixed and deserve a warning.

The Aid of a Skilled Attorney

If you have been the victim of deceptive business practices by a car dealer, you deserve restitution for your losses. Riverside used car fraud attorney Howard D. Silver can assist you by applying his years of experience and success to your case. For further details on how we can help you, call the Law Offices of Howard D. Silver at (866) 49-LEMON today.