Measure
in Response to Sandy Damaged Vehicles Now
Hitting the Resale Market
(TRENTON) – The Assembly Consumer Affairs
Committee Thursday approved legislation sponsored by Democrats Joseph Cryan,
Patrick Diegnan and Paul D. Moriarty that would require vehicle documents to
indicate if a vehicle has suffered from storm or flood damage and for the
information to be disclosed prior to the sale of the vehicle.
The Assemblymen sponsored the
legislation in light of the thousands of vehicles damaged during Hurricane Sandy
and recently appearing on the resale market without any indication to the buyer
of the damage it has incurred.
“Only months after the storm,
unscrupulous car dealers pawning off practically unsalvageable vehicles
surfacing like predators of the sea and preying on NJ car buyers,” said Cryan
(D-Union). “Many of these vehicles are barely good for parts. In many cases,
even if rebuilt the vehicles safety cannot be ensured.
“This is clearly bad business and can
quickly become a public safety issue if New Jersey does not take precaution and
strengthen existing law.”
The legislators cited an
article published in January by the NYTimes,
which noted that over 230,000 cars were damaged by the Superstorm Sandy, mostly
from the ocean water filling engines and interiors with sand and corrosive
saltwater.
“It is good for businesses to
disclose to consumers any concern that may be associated with their purchase,”
said Diegnan (D-Middlesex). “The buyer should be informed of the vehicle’s
complete history. Sellers must be required to disclose all important information
as part of the transaction, especially if it’s communication concerning safety.
The overwhelming majority of car dealers are honest businesspeople. The handful
of dishonest dealers must be held accountable for their improper dealings with
New Jersey
customers.”
“It’s a masquerade --dealers
reselling severely corroded, damaged vehicles without informing the buyer,” said
Moriarty (D-Camden, Gloucester). “Due to the differences in state
laws some sellers are getting away with this deception by bringing damaged
vehicles from other states to sell.
“This bill is common sense consumer
protection legislation that would give the buyer the lawful backing needed in
filing a claim if defrauded in a sale concerning storm battered
vehicles.”
The bill (A-3610/3632) would require
that a seller of a motor vehicle disclose if the vehicle had ever been damaged
by water or a weather-related event. Under the bill, the seller would have to
indicate whether the vehicle had ever suffered damage caused by water or
weather-related event that required repairs on the vehicle’s certificate of
ownership or bill of sale, or other documents, as required by the Chief
Administrator of Motor Vehicles.
The Assemblyman said residents must
remain extremely cautious when shopping for a used vehicle these days by
checking car reports, inspecting the vehicle closely, and asking questions about
damage the vehicle has suffered.
The bill was amended in committee to
specify the damage to the vehicle must have been caused by a named storm. The
measure will now go to the desk of the Assembly speaker, who will decide when to
post it for a floor vote.
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