conditional sales contract opinion 123109
all retail sales in california by licensed car dealers
must be written on a ca553 conditional sales contract form
established by AB68, the car buyer bill of rights
Posted: January 5th, 2010
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Are you complying with the Red Flags Rule?
The Red Flags Rule requires many businesses and organizations to implement a written Identity Theft Prevention Program designed to detect the warning signs – or “red flags” – of identity theft in their day-to-day operations. Are you covered by the Red Flags Rule? Read Fighting Fraud with the Red Flags Rule: A How-To Guide for Business to:
* Find out if the rule applies to your business or organization;
* Get practical tips on spotting the red flags of identity theft, taking steps to prevent the crime, and mitigating the damage it inflicts; and
* Learn how to put in place your written Identity Theft Prevention Program.
http://www.ftc.gov/redflagsrule
=============
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Posted: December 17th, 2009
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Posted: November 25th, 2009
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08.02.2009 , YOKOHAMA
NISSAN UNVEILS “LEAF” – THE WORLD’S FIRST ELECTRIC CAR DESIGNED FOR AFFORDABILITY AND REAL-WORLD REQUIREMENTS
Event ushers in a new era for Nissan and a new era for mobility
Nissan Motor Co., Ltd. today unveiled Nissan LEAF, the world’s first affordable, zero-emission car. Designed specifically for a lithium-ion battery-powered chassis, Nissan LEAF is a medium-size hatchback that comfortably seats five adults and has a range of more than 160km (100 miles) to satisfy real-world consumer requirements.
NISSAN LEAF
Slated for launch in late 2010 in Japan, the United States, and Europe, Nissan LEAF ushers in a new era of mobility – the zero-emission era. The car is the embodiment of Nissan’s radical, transformative vision for the future and the culmination of decades of investment and research.
“Nissan LEAF is a tremendous accomplishment – one in which all Nissan employees can take great pride,” said Nissan President and CEO Carlos Ghosn. “We have been working tirelessly to make this day a reality – the unveiling of a real-world car that has zero – not simply reduced – emissions. It’s the first step in what is sure to be an exciting journey – for people all over the world, for Nissan and for the industry.”
Key characteristics of the LEAF include:
1. Zero-emission power train and platform
2. Affordable pricing
3. Distinctive design
4. Real-world range autonomy – 160km (100 miles)
5. Connected Mobility: Advanced intelligent transportation (IT) system
The “LEAF” name is a significant statement about the car itself. Just as leaves purify the air in nature, so Nissan LEAF purifies mobility by taking emissions out of the driving experience. Pricing details will be announced closer to start of sales in late 2010; however, the company expects the car to be competitively priced in the range of a well-equipped C-segment vehicle. Additionally, Nissan LEAF is expected to qualify for an array of significant local, regional and national tax breaks and incentives in markets around the world. As an added benefit, because the vehicle has less mechanical complexity than a traditional gasoline-powered car, Nissan LEAF is designed to be friendly to the wallet as well as to the environment.
ZERO-EMISSION MOBILITY
Nissan LEAF is powered by laminated compact lithium-ion batteries, which generate power output of over 90kW, while its electric motor delivers 80kW/280Nm. This ensures a highly responsive, fun-to-drive experience that is in keeping with what consumers have come to expect from traditional, gasoline-powered automobiles.
Unlike internal-combustion engine (ICE) equipped vehicles, Nissan LEAF’s power train has no tail pipe, and thus no emission of CO2 or other greenhouse gases. A combination of Nissan LEAF’s regenerative braking system and innovative lithium-ion battery packs enables the car to deliver a driving range of more than 160km (100 miles) on one full charge*. (*US LA4 mode)
Extensive consumer research demonstrates that this range satisfies the daily driving requirements of more than 70% of the world’s consumers who drive cars.
And, Nissan’s approach makes charging easy and convenient. Nissan LEAF can be charged up to 80% of its full capacity in just under 30 minutes with a quick charger. Charging at home through a 200V outlet is estimated to take approximately eight hours – ample time to enable an overnight refresh for consumer and car alike.
REAL-WORLD CAR
The engineers and designers behind Nissan LEAF worked to create a competitively priced real-world car that would enable Nissan to lead mobility into the zero-emission era. To ensure comfort, spaciousness and cargo capacity, Nissan LEAF employs a completely new chassis and body layout.
”Our car had to be the world’s first, medium-size, practical EV that motorists could afford and would want to use every day. And that’s what we’ve created. The styling will identify not only Nissan LEAF but also the owner as a participant in the new era of zero-emission mobility,” said Masato INOUE, Product Chief Designer.
DISTINCTIVE DESIGN
Even the smallest details can yield tremendous effect.
Nissan LEAF’s frontal styling is characterized by a sharp, upright V-shaped design featuring long, up-slanting light-emitting diode (LED) headlights that employ a blue internal reflective design that announces, “This car is special.” But the headlights do more than make a statement. They are also designed to cleverly split and redirect airflow away from the door mirrors, thus reducing wind noise and drag. And, the headlights provide yet one more benefit in that they consume about 50 percent of the electricity of conventional lamps, which helps Nissan LEAF to achieve its world-class range autonomy.
Through bright trim colors inside, Nissan LEAF creates a pleasing and stylish cabin environment. An environmentally friendly “blue earth” color theme originates from the Aqua Globe body color of Nissan LEAF’s introductory model. This theme is carried into the interior through blue dashboard highlights and instrument illumination.
CONNECTED MOBILITY IT SYSTEM
Nissan LEAF employs an exclusive advanced IT system. Connected to a global data center, the system can provide support, information, and entertainment for drivers 24 hours a day.
The dash-mounted monitor displays Nissan LEAF’s remaining power – or “reachable area” – in addition to showing a selection of nearby charging stations.
Another state-of-the-art feature is the ability to use mobile phones to turn on air-conditioning and set charging functions – even when Nissan LEAF is powered down. An on-board remote-controlled timer can also be pre-programmed to recharge batteries.
“The IT system is a critical advantage,” says Tooru ABE, Chief Product Specialist. “We wanted this vehicle to be a partner for the driver and an enhancement for the passengers. We also wanted this vehicle to help create a zero-emission community, and these IT features will help make that possible.”
HOLISTIC APPROACH TO ZERO-EMISSION MOBILITY AND ECO-FRIENDLY INNOVATION
Nissan LEAF is a critical first step in establishing the era of zero-emission mobility; however, Nissan recognizes that internal-combustion engine (ICE) technologies will play a vital role in global transportation for decades to come. Because of this, Nissan is implementing its zero-emission vision through a holistic approach, which provides consumers a comprehensive range of eco-friendly technologies from which to choose.
For some consumers, Nissan LEAF will be the perfect match, and the only car they will ever need. For others, Nissan LEAF will be a logical addition to the family fleet – the optimal choice for the daily commute, for example.
While zero-emission is the ultimate goal, the company is committed to ongoing innovation in eco-friendly technologies that increase efficiency and reduce emissions. As a result, Nissan offers a comprehensive suite of automotive technologies, including CVT, Idle Stop, HEV, Clean Diesel, and ongoing research and investment in FCV technology.
WORLDWIDE PARTNERS
Zero-emission mobility programs under the banner of the Renault-Nissan Alliance include partnerships with countries such as the UK and Portugal, local governments in the Japan and the USA, and other sectors, for a total of nearly 30 partnerships worldwide.
In these partnerships major efforts focus on three areas:
1. Development of a comprehensive charging infrastructure through public and private investment,
2. Incentives and subsidies from local, regional, and national governments, and
3. Public education on the individual and societal benefits of zero-emissions mobility.
ZERO-EMISSION VEHICLE PRODUCTION
Nissan LEAF is the first in the company’s forthcoming line of EVs and is a major milestone in the realization of the Renault-Nissan Alliance’s vision for zero-emission mobility. The first of Nissan’s EV’s will be manufactured at Oppama, Japan, with additional capacity planned for Smyrna, Tennessee, USA. Meanwhile, lithium-ion batteries are being produced in Zama, Japan, with additional capacity planned for the USA, the UK and Portugal, and other sites for investment are under study around the world.
ABOUT NISSAN MOTOR CO., LTD.
Nissan Motor Co., Ltd. is a global automotive company with vehicle sales of 3.411 million in 2008. Nissan is present in all major auto markets worldwide, selling a comprehensive range of cars, pickup trucks, SUVs, and light commerical vehicles.
NISSAN BLUE CITIZENSHIP
Nissan is committed to making a better world through its commitment to corporate social responsibility. This includes programs that focus on technological innovations that focus on people and care for the planet. Our vision for zero-emission mobility is an outgrowth of our CSR approach, which we call Blue Citizenship. Together, we are working with our Alliance partner, Renault, to make a better world through zero-emission mobility.
For more information, please visit the Nissan Zero-Emission website:
http://www.nissan-zeroemission.com
###
http://press.nissan-global.com/EN

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Sand Car Association pays $600,000 for illegal vehicle sales
Penalties apply to 37 manufacturers
SACRAMENTO – Last month the California Air Resources Board fined a consortium of sand car sellers $600,000 for its members’ illegal engine and vehicle sales between 2006 and 2008.
ARB investigators found that illegal engines and vehicles were being sold in California by several sand car manufacturers. The penalties from this case apply to 37 members of the newly formed association that were selling uncertified products.
“Industries that cater to off-road enthusiasts must also consider their product’s impact on the environment,” said ARB Chairman Mary D. Nichols. “Uncontrolled emissions from these vehicles add to California’s already serious smog problems.”
As a result of the investigation, most major sand car manufacturers and some engine suppliers located in California formed the Sand Car Association. to ensure that its members build compliant products. The association’s formation has resulted in industry self-enforcement and California certification of three engines for use in sand cars.
For a complete list of the 37 manufacturers included in the settlement, click here.
ARB is still investigating other sand car manufacturers that are producing and selling illegal non-California certified vehicles.
Sand cars are off-road vehicles popular at state and federal recreation areas like Pismo Beach and Glamis Dunes. The Department of Motor Vehicles can revoke registrations of illegal vehicles; therefore, it is important that dealers and purchasers ensure that the vehicles are legal in California.
Clean vehicle engines cut smog-forming emissions and improve fuel economy, reducing harmful greenhouse gases. Smog can cause respiratory problems, including asthma, and effects the lung function growth of children.
The Air Resources Board is a department of the California Environmental Protection Agency. ARB’s mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.
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Posted: November 25th, 2009
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Car dealership fined $175,000 for installing unapproved aftermarket parts
SACRAMENTO – The Air Resources Board fined Sunrise Ford, a car dealership with outlets in North Hollywood and Fontana, $175,000 last month for illegally modifying 2005 through 2007 model year light- and medium-duty vehicles with an aftermarket device before the vehicles were sold.
The part, called a Fuel Maximizer, is intended to improve gas mileage and performance in cars by changing the flow of air as it mixes with the gasoline before combustion. Discovery of the unapproved parts was made during a routine dealer inspection.
“We expect dealers to follow the law, which requires that certified aftermarket parts only be installed after a vehicle is sold,” said ARB Chairman Mary D. Nichols. “Our air quality can suffer when careless mistakes are made, so we hope this fine sends a strong message.”
It is illegal in the state of California to perform modifications on a new car prior to sale. Modifying car engines can increase harmful emissions and may lead to the vehicle failing California’s smog test.
Per the terms of the settlement, Sunrise Ford will pay a total of $175,000 to the California Air Pollution Control Fund which supports research and programs intended to reduce California’s carbon footprint.
California’s air quality measures are in place to prevent excessive emissions that can negatively affect public health. Ozone, also known as urban smog, can cause difficulty breathing, shortness of breath, coughs, heightened asthma rates, cardiopulmonary ailments and premature deaths.
The Air Resources Board is a department of the California Environmental Protection Agency. ARB’s mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.
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Posted: November 25th, 2009
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AutoZone Settlement Totals $90,000
SACRAMENTO – The California Air Resources Board reached a settlement with AutoZone West, Inc. for $90,000 in March for selling non certified aftermarket catalytic converters from AutoZone stores in California.
An ARB investigation showed that AutoZone, headquartered in Memphis, TN, sold non-certified catalytic converters from its California stores between January and March of 2009.
“Vehicle emissions are the main contributor of smog-forming pollutants in California,” said Chairman Mary D. Nichols. “Automotive retailers are required to stock products that meet California’s clean air goals.”
As of January 1, 2009, all new aftermarket catalytic converters sold or installed in California must be able to comply with certification emissions standards for five years or 50,000 miles. Manufacturers must first demonstrate through emission testing that the catalytic converters meet the required performance levels and obtain ARB approval before they can legally offer units for sale in California.
AutoZone paid $90,000 in penalties to the California Air Pollution Control Fund for funding projects and research to improve California’s air quality. In addition to the penalties, AutoZone took quick action to remove any remaining non-certified product from its California stores, and it is enhancing its restricted product system to prevent similar violations in the future.
California’s air quality measures are in place to prevent excessive emissions that can negatively affect public health. Ozone, also known as smog, can cause difficulty breathing, shortness of breath, coughs, heightened asthma rates, cardiopulmonary ailments and premature deaths.
The Air Resources Board is a department of the California Environmental Protection Agency. ARB’s mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.
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Posted: November 25th, 2009
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ARB investigation leads to $1.875 million judgment against Viva Motor Sports, Inc. for selling non-California certified vehicles
Sacramento – Thanks to an investigation launched by the ARB in 2006, the Los Angeles County Superior Court in June issued a $1.875 million judgment against several companies for importing and selling non-California certified motorcycles and off-road recreational vehicles.
Defendants in the case include Viva Motor Sports, Inc., of Los Angeles, along with DEC 26, Inc., BH Motorsports, Inc., Nitro Motorsports, Inc, and their associated businesses, all based in the Los Angeles area.
“There are plenty of great motorcycles that meet clean air standards. Most dealers know this and carry only bikes that have their California smog certificate. Those who try to cut corners put themselves in a lose-lose situation,” said ARB Chairman Mary D. Nichols. “Violators pay penalties and damage their reputations while putting public health at risk.”
The companies will pay a total of $268,000 and the balance of the fine will be stayed, pending no further violations. In addition, the defendants are permanently enjoined from acquiring, offering for sale, or selling uncertified motor vehicles for use, registration, or resale in California and falsely representing that a vehicle is certified.
During routine inspections of area retail establishments in 2006, ARB investigators observed a variety of all-terrain vehicles and on-road motorcycles for sale that were not certified to California’s strict emissions standards. Investigators traced the models to their importers, Viva Motor Sports, and the other cited companies. Hundreds of the vehicles had already been sold to California residents. While many purchasers returned them for refunds, those who chose to keep them are subject to “registration stops” which prevent future registration in California.
Vehicles that do not meet California’s tough emission requirements create higher amounts of smog-forming pollutants, which can then exacerbate respiratory ailments and negatively affect other health conditions.
The Air Resources Board is a department of the California Environmental Protection Agency. ARB’s mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.
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Posted: November 25th, 2009
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private party sales
require the owners name on title to match the sellers name
ALWAYS check and verify the sellers ID when making
a private party purchase
the seller must ALWAYS provide a current smog certificate
if the seller is not on title
and there is no smog certificate with the car
BUYER BEWARE
WALK AWAY FROM THE DEAL
new california law ( Jan. 2009 )
imposes seizure and impound rules
on private party sales if the seller is not the owner on title
( You may sell up to 5 private party vehicles per year )
unlicensed car dealers, known as curbstoners
are in a grace period
dmv and local law enforcement have been advised
on this new law
POST ADVISORY from a law enforcement bulletin:
VEHICLE REMOVAL
Vehicle Code Section 22651
Chapter 736 / Assembly Bill 2042
SUMMARY: This new law authorizes a peace officer to
remove a vehicle when the driver is cited for a
violation of acting as a dealer,
manufacturer, or transporter without
the required license or temporary permit
issued by the Department of Motor Vehicles (DMV)
while the vehicle is being offered for sale.
HIGHLIGHTS:
Section 22651 VC was amended
to allow a peace officer
to remove a vehicle after issuing a citation for a
violation of Section 11700 VC,
if the vehicle is being offered for sale.
WHAT THIS BILL MEANS TO LAW ENFORCEMENT:
This new law authorizes a peace officer to remove
a vehicle upon issuing a citation to an individual
who is conducting business as a vehicle dealer for profit
without having a valid license or permit from the DMV
if that vehicle is being offered for sale.
The purpose of this bill is to deter persons from
fraudulently acting as a car dealer
without the appropriate license.
Unlicensed dealers create potential harm for buyers
who purchase vehicles without the protection against
unpaid back fees, unpaid parking tickets,
lack of appropriate smog certificates,
or who unsuspectingly
purchase vehicles that were previously stolen or salvaged.
……………………………………………………..
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Posted: November 20th, 2009
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Our in-person classes are offered in 25 cities and we conduct more classes than any other dealer education provider.
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The online pre – licensing tutorial training session allows the student to prepare themselves for the in-person training and bring relevant questions to class. The online pre – licensing tutorial training session along with pre-payment ALSO brings a discount of $ 100.
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Car Dealer Education Discussion Points
Remember, character is doing the right thing, when no one is looking.
There are almost 15,000 licensed dealers and over 100,000 licensed salespersons in California. The DMV, CHP and Board of Equalization have less than 800 people monitoring the automotive sales industry.
Happy customers make for good business. If you are diligent in responding to customer complaints, pay your sales tax and registration fees on time and NEVER write a bad check you will sail through this car dealer business.
If you need to file a complaint with the dmv against any dealer:
http://www.dmv.ca.gov/forms/inv/inv172.pdf
If you need to get a dealers attention, file on his bond.
In the acquisition process many dealers have disputes over non-disclosed items. All auctions must be licensed dealers as of Jan. 01, 2001. All vehicles must meet the minimum safety standard ( Division 12 ) or be declared sub-standard in writing.
If you need the assistance of a good dmv attorney visit:
http://www.civilizedlaw.com
Remember, most enforcement action is the result of salesperson error.
In the sales process, the dealer is responsible for all claims made by their sales people. Maintaining strict control of all ROS forms and allowing time for adequate document review prior to each sale is critical.
If you need to train your salespeople, free online training at:
http://www.licensedsalesperson.com
Paying of a finders fee is strictly prohibited.
The only finders fee legally allowed in the auto sales industry is to licensed auto-brokers. Any dealer may become a licensed auto-broker, the first year endorsement cost is $ 50. Any licensed salesperson may collect a broker fee, when added to an existing auto-broker’s license. For more information from the dmv regarding autobrokers:
http://www.dmv.ca.gov/vehindustry/ol/autobrkr_end.htm
Consignments require a retail license with agreement & accounting.
A retail dealer may accept any vehicle on consignment. A wholesale dealer may not accept consignment from a private party. An accounting and payment must be made in all cases within 20 days of the sale date. Dealers may NEVER consign vehicles to each other. For more information from the dmv regarding consignments:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/ch20.pdf
Offsite sales are strictly prohibited.
A retail dealer is only allowed to sell as his licensed location. This rule insures the proper distribution of sales taxes collected and that required disclosure has been made to the customer with properly posted signage ( provided for free to each car dealer student ).
If you need retail sales forms we suggest:
http://www.jodyforster.com
Sales licenses must be posted & endorsed by a dealer.
A salesperson may only post his license at one dealership. The DMV must be notified within 10 days of hiring or firing. We suggest the salesperson maintain a color copy while the original is posted at the dealership location. For more dmv licensed salesperson information:
http://www.dmv.ca.gov/vehindustry/ol/ol_handbooks/ol303.pdf
Spanish copy provisions cannot be waived.
The DMV requires a spanish copy of the sales contract, required disclosures and buyers guide for all buyers with Spanish surname. The providing of a translator does not relieve this burden from the dealer. For dmv spanish copy forms:
http://www.jodyforster.com
DMV fees can be estimated for retail customers.
The DMV allows the retail dealer to estimate fees and make refund upon completion of the registration application. The formula for 12 months of registration fees is: ( 2.2% + $ 60.) X .70
The DMV hotline number is 800..777..0133
Dealers are never allowed to charge back fees to a customer. Buyers fees for registration begin of the date of sale only. For dmv registration requirements:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/toc.htm
Retail Sales are like a light switch, either ON or OFF.
If the sale is completed, the switch is ON, keep it all. If the sale is not completed, the switch is OFF, and all funds and the trade-in, if any, must be returned. For dmv refund information:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/ch24.pdf
Deposits are fully refundable & cannot be waived.
Any deposit taken to hold a vehicle for retail sale and/or accessories is fully refundable if the sale is not completed. Failure to refund a deposit will get immediate attention from the DMV. For dmv deposit information:
http://www.dmv.ca.gov/pubs/vctop/d05/vc11737.htm
The maximum charge for documents is $ 55.
The charge for documents is optional and is NOT a government fee. The fee charged to all customers must be the same across the board. Any discrepancy would cause a refund to overcharged customers by the DMV. The fee must be disclosed and is taxable labor. For more dmv information regarding the dealer document fee:
http://www.dmv.ca.gov/pubs/vctop/d05/vc11713_1.htm
The maximum charge for smog inspection is $ 50.
The charge for smog inspection is optional and is NOT a government fee. The fee charged to all customers must be the same across the board. Any discrepancy would cause a refund to overcharged customers by the DMV. The fee must be disclosed and is taxable labor. A non-taxable fee of $ 8.25 is also allowed for the smog certificate fee. For more dmv information regarding the smog inspection fee:
http://www.dmv.ca.gov/pubs/vctop/d05/vc11713_1.htm
A dealer may charge interest of choice, with no limit.
Vehicle dealers are exempt from the usury restrictions of banks and finance customers, provided they disclose this fact and place themselves as lienholders on title. A dealer may repossess without notice upon default. Vehicle dealers are exempt from the 15 day notice requirement and may repossess at will, following the customary 5 day grace period, granted on every contract. For ca attorney general usury guidelines:
http://ag.ca.gov/consumers/general/usury.php
An open DO bill is a potential deal breaker.
Vehicle dealers using DO bills must provide documentation of completion to seal the deal and make the contract enforceable. An expiration date on the DO bill is useless. For do bills and dealer forms:
http://www.jodyforster.com
The buyers county of residence sets the sales tax rate.
The location of your dealership does not determine the rate of sales tax. Exempt transactions, dealer to dealer, out of state, out of country require exact paperwork to maintain the sales tax exemption. For current board of equalization sales tax rates:
http://www.boe.ca.gov/sutax/pam71.htm
Personal use requires a monthly use tax.
Any use of the dealer plate for personal use is taxable. The purchase price divided by 40 sets the taxable monthly base for dealers. The purchase price divided by 60 sets the taxable monthly base for salespersons renting a dealer vehicle. The taxable monthly base is then multiplied by the sales tax rate at the dealer location to determine the use tax due.Personal use is reported to the Board of Equalization. There is no requirement to report personal use to the DMV. The personal use of the dealer plate is reported on Line 2 of the sales tax report form sent to the Board of Equalization. For use tax rules from the board of equalization:
http://www.boe.ca.gov/pdf/pub110.pdf
Blank DMV registration & ROS forms can be ordered by mail.
The form office at DMV provides dealers with blank forms at no charge. A request on the dealer letterhead to the forms office will provide you all the forms you may need. Dealers may post flashers on sold vehicles. When a dealer posts a temporary operating permit on a vehicle the dealer may post flashers, license plate covers, over the existing plates, with instructions for removal upon the buyer receiving documents and registration stickers from the DMV. For dmv bulk forms ordering information:
http://www.dmv.ca.gov/pubs/brochures/fast_facts/ffdmv1.htm
Unpaid DMV administrative service fees causes loss of license.
When the DMV accesses an ASF upon a dealer, these fees must be paid immediately, even if the ASF is under protest. Failure to pay an ASF will result in bond activation and failure to pay the bond company will result in license termination. For dmv ASF information:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/ch19.pdf
A retail dealer may sell to an unlicensed buyer.
The DMV has no requirement for any buyer to be a licensed driver. The RED section of the 553 sales contract requires the buyer to sign as to an understanding of this provision. A finance company may require a drivers license and insurance prior to release of a vehicle to a buyer, but, this is not state law.Every dealer shall obtain photo ID of the buyer.
The retail dealer must offer a cancellation option on all used vehicles offered for sale after july 1, 2006. For more car buyer bill of rights information:
http://www.carbuyerbillofrights.com
http://www.dmv.ca.gov/pubs/brochures/fast_facts/ffvr35.htm
The retail dealer must abide by new federal red flag rules on all vehicle sales where credit is offered or assistance provided. For free red flag rules tutorial training and assistance:
http://www.redflagclass.com
http://www.rexhead.net
For our $ 500. red flag program for licensed dealers:
http://www.gotplates.com/redflagform.php
Every out of state sale can be tax exempt.
Delivery is the condition which determines if taxes must be posted at the time of sale. If the out of state buyer is using a licensed transporter to have the vehicle delivered, the bill of lading exempts the collection of sales tax. If you, your staff or the buyer takes delivery, a notarized statement at delivery to an out of state location allows refund of sales tax posted at sale. For dmv out of state tax exempt regulations:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/ch07.pdf
Division 12 is a federal law and cannot be waived at retail.
Division 12 is the minimum safety standard for all motor vehicles sold at retail by licensed dealers. The vehicle must meet these requirements or it cannot be sold. In wholesale transactions, the vehicle may be sold to another dealer with written disclosure. For dmv minimum safety standards:
http://www.dmv.ca.gov/pubs/vctop/d12/vc24007.htm
A voluntary repossession does not require a certificate.
If the customer is willing to sign the title on line 1a and return a vehicle the certificate of repossession is not necessary. A voluntary repossession in this manner is handled as a buyback. For dmv reposession form requirements:
http://www.dmv.ca.gov/forms/reg/reg119.pdf
Dealer smog certificates are good for two years.
When a dealer obtains a smog, required to offer the vehicle for retail sale within California, it has a useful life of two years. A dealer who obtains a vehicle with an unused smog is not required to re-smog the vehicle prior to sale. For dmv dealer smog rules:
http://www.dmv.ca.gov/pubs/reg_hdbk_pdf/ch21.pdf
Division 12 is an implied warranty.
The buyers guide has a provision for ” AS-IS, No Warranty ” The dealer should remember it really means, as-is, no warranty, except Division 12, the minimum safety standard. for the FTC sample federal buyers guide:
http://www.ftc.gov/bcp/edu/pubs/business/autos/bus13.pdf
Dealers may never post a for sale sign on the street.
All vehicles operated on the highway, or parked on the highway must never have a for sale sign posted on them.
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Posted: November 20th, 2009
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