Pub. 1 Issue 1

15 MYTH #1 MYTH #2 MYTH #3 A used vehicle sold with the remainder of the OEM warranty or with a factory program vehicle warranty is not “AS IS” for purposes of the FTC’s Used Car Rule. Fact – If there is no dealer warranty, the vehicle is “AS IS” for purposes of the FTC Used Car Rule. All registrations in VA for vehicles sold by the dealership are for a minimum of one year. Fact – If a customer owes fees to a locality like property tax or utilities fees, the registration is only valid for 90 days. We can avoid disclaimers in TV, radio, and news- paper advertising if we have all disclaimers in our internet ads and our other ads invite customers to review the disclaimers on the internet. Fact – Each ad stands alone. Customers must understand the limitations that qualify each offer, and those limitations must appear in each ad. TEAM VADA2018 Myth Busters – Legal Update If a customer writes and requests copies of his or her deal file, we must provide copies of the docu- ments we originally provided to the customer. Fact – Not so, with one exception, which pertains to the consumer’s allegation of identity theft, and the consumer must prove their allegation. If we are having trouble getting a deal bought, we can work it as long as necessary since there is no time limit in VA for dealer rescission under the spot delivery conditional language. Fact – Not only is that bad business, Vir- ginia law gives customers rescission rights if the deal is not complete in 30 days. MYTH #4 MYTH #5 MYTH #6 Members of my 20 group are having great success advertising prices for used vehicles that are subject to a reconditioning fee. That is OK in VA as long as we disclose the amount of the fee in advertising. Fact – There are only two permissible fees VA dealers may charge, the processing fee and the electronic titling fee. Convention