WASHINGTON (Legal Newsline) —
The Federal Trade Commission (FTC) announced Nov. 10 that it has made final
amendments to its Used Car Rule.
The FTC has been seeking
public comment on the changes it has proposed to the rule, formerly
known as the Used Motor Vehicle Trade Regulation Rule. The rule mandates car dealers display a window sticker, or “buyers guide,” on used cars offered
for sale that disclose whether the car is being sold “as is” – i.e., without a
warranty – or with a warranty. If a warranty is included with the sales
package, the guide must clearly lay out all terms and conditions, including the
duration of coverage, total repair costs the dealer would pay, and the vehicle systems
the warrant covers.
Revisions to the rule
include – among other things – changing the description of an “as is” sale,
adding a check box for third party warranties, adding a statement that directs
consumers to where they can obtain a vehicle history, and adding a statement in
Spanish advising Spanish-speaking consumers on how to ask for a Spanish buyers guide.
The FTC voted 3-0 to publish
the notice of final rule in the Federal Register.