1. USED CAR DISCLOSURES A DEALER MUST MAKE

Used car purchases have always been a gamble. The story of the poor used car buyer whose car breaks down on the way home from the car lot is the stuff of urban legend. But this legend reflects a realistic concern; buying a used car can be risky. We will cover what used car dealers MUST disclose, representations they are PROHIBITED from making, and what your rights are in the event you are stuck with a used "lemon". We will also include some other dealer obligations have to both new and used car buyers but include them here because the used car buyer is far more vulnerable.

"USED VEHICLE" DEFINED: California defines a "used vehicle" as a vehicle which has been sold, sold and operated on the highways, or registered with California's DMV or any similiar agency in another jurisdcition OR unregistered vehicles used as "demonstrators".

DISCLOSURE OF VEHICLE AS "USED": A dealer must clearly disclose a vehicle as "used" in any advertising or sales contract. If a dealer advertises a "used" vehicle of the current/prior model year for sale it must expressly disclose the vehicle as "used"; preventing a dealer from leading potential buyers into believing they a considering a "new" current/prior model year vehicle. The term "previously owned" may be substituted for "used" under some limited circumstances.

"LEMON LAW" BUY BACK DISCLOSURE: Any dealer sells a used car which was a "lemon law" buy back must give a separate written disclosure to the buyer and obtain the buyers signature on that disclosure.

RIGHT TO INSPECT: The dealer must post a notice that you (or a third party of your choice) have the right to inspect a used car you are considering buying on or off the dealer's lot.

SPECIFIC VEHICLE ADVERTISED: A dealer must clearly identify any specific used car advertised for sale by its year and model and license number or vehicle identification number and the total price not including taxes and government fees. The advertised used car must be on dealer premises at the time the advertisement is made. The dealer must clearly display in its showroom/office a listing of each used car so advertised.