2016 Legislation

by Shannon Slack - Posted 1 year ago

2016 Legislation
All bills may be viewed in entirety at www.leginfo.legislature.ca.gov

AB 287-Safety Recalls (passed)
Sponsored by the California New Car Dealers, this bill is the first safety recall bill in the nation.  Language which would have impacted independent dealers has been amended out.  IADAC recommends dealers VIN check all vehicles through the safercar.gov (NHTSA) database, identify any safety recalls which may be present and have them repaired.  If the repair cannot be performed and the recall does not create an unsafe condition, disclose to the customer the presence of a recall and explain how they may have it repaired at no cost by the franchise dealer.  
AB 265-GPS (passed)
Those using GPS devices with starter-interrupt features must understand the new requirements to comply with this bill.  AB 265 restates existing law to remind dealers that customers must acknowledge in writing the presence of tracking technology.  If starter interrupt features are being used, dealers must provide a warning before activating the starter interrupt system.  The warning must be sent out 5 days prior to activation for weekly payment contracts and 10 days prior to activation for all others.  Then, a final warning must be provided no less than 48 hours before activation.

AB 516-Temp Tags (passed)
This bill will require dealers to affix a temporary plate to any vehicle without a permanent plate at the time of sale.  The temporary plate will be printed at the dealer's office and display a unique number.  The Report of Sale will be done online, ensuring real time update to vehicle owner information.  As the mechanism is not fully developed, the bill will take effect January 1, 2019.

FTC Buyer's Guides
Effective January 27, 2017 the FTC has revised the Buyer's Guide.  Dealers are allowed until January 27, 2018 to exhaust their current supply.  Changes have been made to simplify language and provide greater understanding for the consumer.  

For a list of all industry related bills CLICK HERE.