As car buyers become increasingly savvy about the importance of vehicle history reports, a new question has emerged: should dealerships be responsible for reporting mileage discrepancies caused by third-party notations? This issue often pops up when dealers purchase cars at auction and notice conflicting mileage info on their reports. But who's responsible for ensuring that the vehicle's history is accurate? It's a sticky situation that has left many scratching their heads.
Third-party reporting can be mistaken, especially when there's no concrete proof of an odometer rollback in the vehicle itself. The question now is whether the dealership is required to divulge that the true mileage is uncertain, or if they can get away with not mentioning it due to the auction's lack of disclosure. It's a bit of a gray area.
When it comes to selling a car in the United States, there are some very specific rules that everyone has to follow. For example, 49 USCS § 32705 makes it mandatory for anyone transferring ownership to disclose the vehicle's mileage on the odometer, even if the true mileage is unknown. California has similar rules in place. If someone violates these odometer disclosure laws, they can be held accountable, but only if there's proof of an intent to defraud based on the federal law.
Did you know that 49 USCS § 32710 empowers private parties to take legal action for breaches of federal odometer reporting rules? The penalties for non-compliance can go up to three times the actual damages or $10,000.00, whichever is greater. Not only that, if private parties succeed in their lawsuits, they could receive attorneys' fees and litigation costs.
When a private party mistakenly causes a blemish on a vehicle's history report, dealers may feel uncertain about how to proceed. The best course of action is to tackle the problem head-on with full transparency and a determination to set things right. Dealers should act quickly to alert the reporting company and work toward an effective solution before any sales are made. By showing a commitment to honesty and accountability, they could maintain the trust of their customers and protect their reputation as a reliable dealer. CarFax allows requests for correction on their website here (https://support.carfax.com/c_datarequest.). For added transparency, a written disclosure with the customer's signature is a great way to go. You may also want to consider using a strong disclosure system especially in situations with odometer discrepancies. Dealerships may also decide to have the vehicle inspected by a franchise dealer to detect any potential odometer tampering. In cases where the inconsistency in mileage is caused by conflicting DMV records, it is probable that the dealership will be obligated to transfer the title of the vehicle with a designation of "true miles unknown".