Requires motor vehicle dealers to search for recalls and make certain repairs prior to selling a used motor vehicle and requires the dealer to either make the required repairs or to notify the purchaser, in writing, of the recall.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A2665A
SPONSOR: DenDekker TITLE OF BILL: An act to amend the general business law, in relation
to requiring motor vehicle dealers to search for recalls and make
certain repairs prior to selling a used motor vehicle
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to require used motor vehicle dealers, prior
to offering a contract for the sale of a used motor vehicle at retail,
to determine whether there are any manufacturer's recalls on such motor
vehicle. If there are any open recalls applicable to the used motor
vehicle, then the dealer shall either make the repairs required by the
manufacturer's recall, bring the vehicle to an authorized dealer and
have the recall satisfied, or notify the purchaser, in a separate writ-
ten notice, of any and all manufacturer's recalls applicable to the
motor vehicle being) purchased.
SUMMARY OF SPECIFIC PROVISIONS:
The general business law is amended by adding a new section 198-d.
JUSTIFICATION:
Currently, when a motor vehicle recall is initiated by a manufacturer,
the manufacturer is required to contact the registered owners of those
vehicles and notify them that a safety recall is in place. It is also
required to notify the owners that it will repair that vehicle at no
cost to the vehicle owner. However, many times people sell or trade-in
their vehicle to dealers or third parties, and the manufacturer has no
way of notifying the person or entity that has possession of the vehicle
of the safety recall. This new legislation would enhance vehicular safe-
ty in New York State by ensuring that used car dealers search,a website
database, and notify a potential purchaser before the purchase is made,
that a motor vehicle is currently subject to a recall. This legislation
.has the added effect of strengthening consumer protections during the
sale of used cars by dealerships in New York State.
PRIOR LEGISLATIVE HISTORY:
A.6522B of 2014
FISCAL IMPLICATIONS:
None.
EFFECTIVE DATE:
This act shall take effect immediately.
