California now has the nation’s first law requiring that used vehicle dealers post a warning on vehicles if flagged in a federal database as junk, salvage or flood damaged.
Effective July 1, the state dealers must check the National Motor Vehicle Title Information System before offering vehicles, including heavy-duty trucks, for sale .The U.S. Department of Justice maintains the NMVTIS and requires every insurer, salvage yard and state motor vehicle department to report updated title information every 30 days.
If a NMVTIS report exists, dealers must provide the purchaser with a copy of the NMVTIS vehicle history report upon request prior to sale. They also must post a warning or disclosure near the vehicle’s Federal Trade Commission’s Buyer’s Guide.
The California law, AB 1215, received widespread support and was signed in to law Sept. 26.
RigDig partners with NMVTIS to integrate data from salvage yards, recyclers, insurance carriers and state titling agencies, but provides Truck History Reports exceeding that federal database.
RigDig taps additional sources, such as the Federal Motor Carrier Safety Administration, along with the RigDig Business Intelligence, which includes vehicle specifications and the Equipment Data Associates, offering Uniform Commercial Code related liens and terminations.
The Equipment Data Associates division of Randall-Reilly Publishing Co. operates the website at www.rigdig.com.
The disclosure must be printed in bold black type on a solid-red background and be at least 4 inches by 5.5 inches. The title, “Warning,” has to be in 18-point type and the remaining message in 14-point type, which is as follows:
“According to a vehicle history report issued by the National Motor Vehicle Title Information System (NMVTIS), this vehicle has been reported as a total-loss vehicle by an insurance company, has been reported into NMVTIS by a junk or salvage reporting entity, or has a title brand which may materially affect the value, safety, and/or condition of the vehicle. Because of its history as a junk, salvage, or title-branded vehicle, the manufacturer’s warranty or service contract on this vehicle may be affected. Ask the dealer to see a copy of the NMVTIS vehicle history report. You may independently obtain the report by checking NMVTIS online at www.vehiclehistory.gov.”
"Until a formal regulation is established with clear guidelines and borders ...