(a) It is a deceptive act or practice for any used vehicle dealer, when that dealer sells or offers for sale a used vehicle in or affecting commerce as commerce is defined in the Federal Trade Commission Act:
(1) To misrepresent the mechanical condition of a used vehicle;
(2) To misrepresent the terms of any warranty offered in connection with the sale of a used vehicle; and
(3) To represent that a used vehicle is sold with a warranty when the vehicle is sold without any warranty.
(b) It is an unfair act or practice for any used vehicle dealer, when that dealer sells or offers for sale a used vehicle in or affecting commerce as commerce is defined in the Federal Trade Commission Act:
(1) To fail to disclose, prior to sale, that a used vehicle is sold without any warranty; and
(2) To fail to make available, prior to sale, the terms of any written warranty offered in connection with the sale of a used vehicle.
(c) The Commission has adopted this Rule in order to prevent the unfair and deceptive acts or practices defined in paragraphs (a) and (b). It is a violation of this Rule for any used vehicle dealer to fail to comply with the requirements set forth in §§ 455.2 through 455.5 of this part. If a used vehicle dealer complies with the requirements of §§ 455.2 through 455.5 of this part, the dealer does not violate this Rule.
(d) The following definitions shall apply for purposes of this part:
(1) Vehicle means any motorized vehicle, other than a motorcycle, with a gross vehicle weight rating (GVWR) of less than 8500 lbs., a curb weight of less than 6,000 lbs., and a frontal area of less than 46 sq. ft.
(2) Used vehicle means any vehicle driven more than the limited use necessary in moving or road testing a new vehicle prior to delivery to a consumer, but does not include any vehicle sold only for scrap or parts (title documents surrendered to the State and a salvage certificate issued).
(3) Dealer means any person or business which sells or offers for sale a used vehicle after selling or offering for sale five (5) or more used vehicles in the previous twelve months, but does not include a bank or financial institution, a business selling a used vehicle to an employee of that business, or a lessor selling a leased vehicle by or to that vehicle's lessee or to an employee of the lessee.
(4) Consumer means any person who is not a used vehicle dealer.
(5) Warranty means any undertaking in writing, in connection with the sale by a dealer of a used vehicle, to refund, repair, replace, maintain or take other action with respect to such used vehicle and provided at no extra charge beyond the price of the used vehicle.
(6) Implied warranty means an implied warranty arising under State law (as modified by the Magnuson-Moss Act) in connection with the sale by a dealer of a used vehicle.
(7) Service contract means a contract in writing for any period of time or any specific mileage to refund, repair, replace, or maintain a used vehicle and provided at an extra charge beyond the price of the used vehicle, unless offering such contract is “the business of insurance” and such business is regulated by State law.
(8) You means any dealer, or any agent or employee of a dealer, except where the term appears on the window form required by § 455.2(a).
[49 FR 45725, Nov. 19, 1984, as amended at 81 FR 81678, Nov. 18, 2016]
Notes of Decisions
Totz v. Cont'l Du Page Acura, 602 N.E.2d 1374 (Ill. App. Ct. 1992).
· cites it 4× “§ 45 (a) (1982)), concerning used car sales (see 16 C.F.R. §§ 455.1 through 455.7 (1991)).”
Patton v. McHone, 822 S.W.2d 608 (Tenn. Ct. App. 1991).
“While the original version of the FTC’s "used car” rules [ 16 C.F.R. §§ 455.1 , 455.7 (1991) ] required the disclosure of known defects, the FTC removed this duty from the rule prior to its final promulgation.”
Peabody v. P.J.'s Auto Vill., Inc., 569 A.2d 460 (Vt. 1989).
“It is a material misrepresentation to call the vehicle a 1974 Saab because the rear wheels, trunk, and parts of its undercarriage and passenger compartment came from a 1972 Saab.”
Moffitt v. Icynene, Inc., 407 F. Supp. 2d 591 (D. Vt. 2005).
“” 16 C.F.R. § 455.1 (a)(1). The case at hand is factually distinct from these cases 4 because there is no suggestion or evidence that Krywka sold or installed a product that violated the law.”
Searles v. Germain Ford of Columbus, L.L.C., 08ap-728 (3-24-2009), 2009 Ohio 1323 (Ohio Ct. App. 2009).
“In addition to counts alleging Germain misrepresented the car's repair history before she purchased it, plaintiff's complaint included a cause of action asserting Germain violated the Window Sticker Rule, set forth in 16 C.F.R. 455.1 et seq., and thus committed an unfair and/or…”
Bennett v. D. L. Claborn Buick, Inc., 414 S.E.2d 12 (Ga. Ct. App. 1991).
“Appellant argues in two enumerations that Georgia is bound by the federal definition of a “used” car contained in the federal regulations passed pursuant to 15 USCA § 2309, found at 16 CFR § 455.1 (1991). Appellant contends that since “used car” under this definition would…”
Hinds v. Paul's Auto Werkstatt, Inc., 810 P.2d 874 (Or. Ct. App. 1991).
“It argues that the FTC rule makes it a deceptive practice for any used car dealer to misrepresent the mechanical condition of a used vehicle, 16 CFR § 455.1 (a)(1), but, by using the Buyer’s Guide form provided in the rule, see 16 CFR § 455 (2), a used car dealer avoids that…”
Samber v. Mullinax Ford East, 879 N.E.2d 814 (Ohio Ct. App. 2007).
“The panel found that these representations were deceptive acts used by appellant in selling this vehicle, in violation of federal law, at 16 C.F.R. 455.1. *591 {¶ 16} Further, the panel found that appellant had sold the Blazer to appellee without delivering a certificate of…”
Poole Vs. Nev. Auto Dealership Inv.'s, LLC, 2019 NV 39 (Nev. 2019).
· cites it 10× “0915(15); or (4) inisrepresented the truck's mechanical condition under the Federal Trade Cornmission Act (FTGA), 16 C.F.R. § 455.1 (a)(1) (2018), in violation of NRS 598.”
Poole v. Nev. Auto Dealership Invs. (Nev. 2019).
· cites it 10× “0915(15); or (4) inisrepresented the truck's mechanical condition under the Federal Trade Cornmission Act (FTGA), 16 C.F.R. § 455.1 (a)(1) (2018), in violation of NRS 598.”
Consumers Union of U.S., Inc. v. Fed. Trade Comm'n, 801 F.2d 417 (D.C. Cir. 1986).
“The Wisconsin law, unlike the Initial Rule’s known-defects provision, required dealers to inspect the cars, but, at the time of the studies, did not require that the disclosures be made on a window sticker. Instead, a defect-disclosure statement had to be presented to the…”
Salvatore Cangemi v. Prestige Cadillac Inc (Mich. Ct. App. 2022).
· cites it 5× “One such rule is the Used Motor Vehicle Trade Regulation Rule (the “Used Car Rule”), 16 CFR 455.1 et seq. A cause of action for violation of the Used Car Rule is authorized under 15 USC 2310(d)(1) of the MMWA, which allows a consumer to recover when he “is damaged by the failure…”
— 16 C.F.R. § 455.1(a)(1) — 4 cases
Poole Vs. Nev. Auto Dealership Inv.'s, LLC, 2019 NV 39 (Nev. 2019).
“0915(15); or (4) inisrepresented the truck's mechanical condition under the Federal Trade Cornmission Act (FTGA), 16 C.F.R. § 455.1 (a)(1) (2018), in violation of NRS 598.”
Poole v. Nev. Auto Dealership Invs. (Nev. 2019).
“0915(15); or (4) inisrepresented the truck's mechanical condition under the Federal Trade Cornmission Act (FTGA), 16 C.F.R. § 455.1 (a)(1) (2018), in violation of NRS 598.”
Salvatore Cangemi v. Prestige Cadillac Inc (Mich. Ct. App. 2022).
“One such rule is the Used Motor Vehicle Trade Regulation Rule (the “Used Car Rule”), 16 CFR 455.1 et seq. A cause of action for violation of the Used Car Rule is authorized under 15 USC 2310(d)(1) of the MMWA, which allows a consumer to recover when he “is damaged by the failure…”
— 16 C.F.R. § 455.1(a)(2) — 1 case
Salvatore Cangemi v. Prestige Cadillac Inc (Mich. Ct. App. 2022).
“One such rule is the Used Motor Vehicle Trade Regulation Rule (the “Used Car Rule”), 16 CFR 455.1 et seq. A cause of action for violation of the Used Car Rule is authorized under 15 USC 2310(d)(1) of the MMWA, which allows a consumer to recover when he “is damaged by the failure…”
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