Section 417-A. Mandatory disclosures by sellers prior to resale  


Latest version.
  • 1.
      Certificate of prior use by dealer. (a) Upon the  sale  or  transfer  of
      title by a dealer of any second-hand passenger motor vehicle, the dealer
      shall  execute  and  deliver  to the buyer an instrument in writing in a
      form prescribed by the commissioner which shall set forth the nature  of
      the  principal  prior  use  of such vehicle when the dealer knows or has
      reason to know that such use was as a taxicab,  rental  vehicle,  police
      vehicle,  or  vehicle  which  has  been  repurchased  pursuant to either
      section one hundred ninety-eight-a or one hundred ninety-eight-b of  the
      general  business  law,  a  similar  statute  of  another  state,  or an
      arbitration or alternative dispute procedure.
        (b) Upon the sale or transfer of title by a dealer  of  any  passenger
      motor vehicle that the dealer knows or has reason to know was previously
      used as a driver education vehicle, the dealer shall execute and deliver
      to  the  buyer  an  instrument  in  writing  in a form prescribed by the
      commissioner acknowledging such prior use.
        2. Certificate of prior nonconformity by manufacturer or dealer.  Upon
      the sale or transfer of title by a manufacturer, its agent or any dealer
      of  any second-hand motor vehicle, previously returned to a manufacturer
      or  dealer  for  nonconformity  to   its   warranty   or   after   final
      determination,  adjudication  or  settlement  pursuant  to  section  one
      hundred ninety-eight-a or one  hundred  ninety-eight-b  of  the  general
      business  law,  the  manufacturer or dealer shall execute and deliver to
      the buyer  an  instrument  in  writing  in  a  form  prescribed  by  the
      commissioner  setting  forth the following information in ten point, all
      capital type: "IMPORTANT: THIS VEHICLE WAS RETURNED TO THE  MANUFACTURER
      OR  DEALER  BECAUSE IT DID NOT CONFORM TO ITS WARRANTY AND THE DEFECT OR
      CONDITION WAS NOT FIXED WITHIN A REASONABLE TIME AS PROVIDED BY NEW YORK
      LAW." Such notice that a vehicle was returned  to  the  manufacturer  or
      dealer  because  it  did  not  conform  to  its  warranty  shall also be
      conspicuously printed on the motor vehicle's certificate of title.
        3. Violation. The failure of a dealer to  deliver  to  the  buyer  the
      instrument  required  by  this  section or the delivery of an instrument
      containing false or misleading information shall constitute a  violation
      of this section.
        4.  Private  Remedy. A consumer injured by a violation of this section
      may bring an action to recover damages.  Judgment  may  be  entered  for
      three  times  the  actual  damages suffered by a consumer or one hundred
      dollars, whichever  is  greater.  A  court  also  may  award  reasonable
      attorneys' fees to a prevailing plaintiff buyer.
        5.  a.  Action  by  the  attorney  general. Upon any violation of this
      section, an application may be made by the attorney general in the  name
      of  the  people  of  the  state of New York to a court or justice having
      jurisdiction to issue an injunction, and upon notice to the defendant of
      not less than five days, to enjoin and restrain the continuance  of  the
      violation.  If  it  shall  appear  to  the  satisfaction of the court or
      justice that the defendant has violated this section, an injunction  may
      be issued by the court or justice, enjoining and restraining any further
      violation,  without  requiring  proof that any person has, in fact, been
      injured or damaged thereby. In any such proceeding, the court  may  make
      allowances  to  the  attorney  general  as  provided in paragraph six of
      subdivision (a) of section  eighty-three  hundred  three  of  the  civil
      practice law and rules, and direct restitution.
        b. Whenever the court shall determine that a violation of this section
      has  occurred,  it  may  impose  a  civil  penalty  of not more than one
      thousand dollars for each violation. In connection with  an  application
      made  under this subdivision, the attorney general is authorized to take
    
      proof and to make a determination of the relevant  facts  and  to  issue
      subpoenas in accordance with the civil practice law and rules.