(TRENTON) – The Assembly Consumer Affairs
Committee recently released a pro-consumer bill sponsored by Assembly Democrats
Paul Moriarty and Patrick Diegnan that would require a car dealer to provide
information to a potential buyer of a used motor vehicle with outstanding
recalls.
“Buyers should be informed of motor
vehicle recalls before a purchase is made,” said Moriarty (D-Camden, Gloucester). “Recalled
vehicles sold unwittingly to consumers pose a safety risk. Whether the vehicle
has been recalled is critical information for families to know before
buying.”
Under the bill, it would be an
unlawful practice under the consumer fraud act for the dealer to sell a used
vehicle without first contacting, or accessing information provided by, the
vehicle manufacturer or the National Highway Traffic Safety Administration to
determine if there are any recalls specific to a particular vehicle, not just
the vehicle’s make and model, which have not been corrected or addressed. In the
event that a recall is discovered, the dealer would provide the recall
information to the prospective purchaser prior to finalizing the sale of the
vehicle.
“This legislation will keep used car
sales honest and fair, as they should be,” said Diegnan (D-Middlesex).
“Consumers should be informed so that they may make the best decision
possible.”
An unlawful practice under the
consumer fraud act is punishable by a monetary penalty of not more than $10,000
for a first offense and not more that $20,000 for any subsequent offense. In
addition, violations can result in cease and desist orders issued by the
Attorney General, the assessment of punitive damages, and the awarding of treble
damages and costs to the injured party.
The bill applies only to retail
sales, excluding wholesale sales, sales between dealers, and sales to owners or
operators of motor vehicle junk businesses or motor vehicle junk yards, or any
other persons or entities engaged in the business of dismantling, destroying, or
recycling motor vehicles.
