§ 2-103 Second-Hand Automobiles.
RCNY § 2-103
(a)Every sale must be evidenced by a bill of sale, receipted invoice, or other evidence of transferring title, which must contain the following information: (1) Name, motor and serial numbers of car sold.
(2)Year of manufacture as given in the Used Car Guide provided by the National Automobile Dealers Association.
(3)Cash-selling price and/or time selling price, setting forth finance charges and exact method of payment.
(4)Allowance on car traded in, if any, and description by year, make, motor and serial numbers of same.
(5)If a dealer has serviced, repaired or replaced the odometer, such fact must be stated.
(b)No car shall be sold or offered for sale by any dealer on deferred payments except on the security of the car itself. No other property whatever is to be used as collateral. If financed by a finance company recommended by the dealer, the dealer must first acquaint the purchaser with the precise terms which such finance company is entitled by law to charge, including nature of collateral, interest rate, and other charges, if any.
(c)No automobile dealer licensed by this Department shall sell or offer for sale a motor vehicle or motorcycle, the motor or serial number of which shall have been so covered as to be effectually concealed.
(d)In any case where a dealer shall purchase a car from a private person (not a dealer in automobiles) and pay for same in full or in part with notes, postdated checks, or by deferred payments, the failure to meet such payments shall be ground for punishment of the licensee by the imposition of a fine or the suspension or revocation of his license.
(e)Licensees will be held responsible for statements, representations, promises or acts of agents, representatives or salesmen on or away from the premises of the licensee.
(f)No dealer in second-hand automobiles shall request or oblige any purchaser to sign any undertaking unless all the facts are set forth in the said undertaking or agreement before signature and a line shall be drawn from the last word of the undertaking to the signature of the purchaser. No notation made after the drawing of the line above referred to shall be binding upon the purchaser unless initialed by both the purchaser and the dealer.
(g)(1) (i) No dealer shall sell or offer for sale to a person other than another dealer a second-hand automobile unless such second-hand auto mobile has been inspected in accordance with § 301 of the Vehicle and Traffic Law and certified in accordance with § 417 of the Vehicle and Traffic Law.
(ii)All contracts for sale of second-hand automobiles shall contain the following, in type which is 10 point or larger in scale, on that face of the contract to which the buyer's signature is affixed: NYC DEPARTMENT OF CONSUMER AND WORKER PROTECTION LICENSE NO. (INSERT DCWP LICENSE NUMBER). IF YOU HAVE A COMPLAINT ABOUT THIS BUSINESS VISIT NYC.GOV/DCWP OR CONTACT 311.
(iii)No dealer shall include terms in a contract for sale of a second hand automobile to a buyer other than another dealer which purport to limit the dealer's responsibility under § 417 of the Vehicle and Traffic Law or under this regulation. Impermissible limitations shall include, but not be limited to, sale of the automobile "as is," with a disclaimer of warranties, or with a term or terms limiting the dealer's duty to repair, or pay for the repair of, defects existing at the time of sale to a portion of the total cost of parts and labor.
(h)In connection with the purchase of a used car, it shall be the duty of every licensed dealer to make a thorough investigation as to the use to which such car has previously been put, and if found to have at any time been used as a public hack or taxicab, such fact shall be duly recorded with all other facts in connection with such purchase and any future purchaser or prospective purchaser of the said car shall be so informed. The dealer shall also include as a part of his investigation and the record to be made by him the last previous registration of the car, regardless of the State in which such previous registration occurred. The dealer shall also keep a record of the odometer reading at the time of purchase by him of a used car.
(i)The selling price of an automobile by a licensed second-hand dealer shall be the price advertised, cited, quoted or marked thereon. It shall include all charges connected with the sale of said automobile and shall be the maximum charge to the purchaser. It shall be a violation of this regulation for any licensee to exact a service charge, house commission or any such like assessment above the selling price of the car. This regulation shall not affect any charges that may be made by a finance company for financing the purchase of an automobile.
(j)Any licensee who acts as a broker, agent, or for the account of another person, or participates in any way, in the sale of a second-hand automobile, will be held responsible for such sale as if he were the principal. No licensee shall allow or permit any person not licensed as a dealer in second-hand automobiles to sell or offer for sale at or from the licensee's place of business any second-hand automobile, unless such automobile is the property of the licensee.
(k)Deposits.
(1)No dealer nor any person acting as his agent or employee (hereinafter referred to as the "Dealer") shall accept a deposit unless the following conditions are met: (i) Said deposit obligates the Dealer to refrain for a specified period of time, from offering for sale to any other person the automobile in relation to which the deposit has been made by the customer; and (ii) The Dealer has not accepted a prior deposit from any person which is still binding upon the Dealer, unless the Dealer so informs the person from whom he accepts a deposit.
(l)(1) Each dealer in second-hand automobiles shall keep complete and accurate records of all income and expenses, all receipts and disbursements, and of the investments made and funds provided to finance the business. The Commissioner may prescribe the accounts and written records to be maintained, and such requirements as may be necessary to permit adequate supervision of the business.
(m)(1) Definitions.
