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Car Dealers Must Disclose Title Issues

Following recent floods in Louisville and other natural disasters around the country, consumers need to remember that Kentucky law requires car dealers to disclose salvaged or rebuilt titles on cars that are 10 years old or less.

Dealers must apply for salvage titles on destroyed or damaged cars. While dealers may rebuild and sell these cars later on, they must obtain a rebuilt title after completing repairs and passing state inspection.

If a dealer tries to sell you a salvaged or rebuilt car, they must:

  • Install a permanent metal plate by the driver’s side door that states, “REBUILT VEHICLE – May Not Be Eligible For Title In All States”;
  • Place a sticker on the window (that is a different color than other stickers) that reads, “THIS IS A REBUILT VEHICLE”; and
  • Disclose that the vehicle has a rebuilt title, in writing, on the buyer’s notification form.

After making these disclosures, the dealer must obtain your written signature to confirm that you are aware of potential title issues.

Unfortunately, some dealers ignore these rules and sell damaged and rebuilt vehicles to unsuspecting consumers. If you are the victim of this type of transaction, you may cancel the sale within 45 days of receiving the vehicle’s title. Even if you miss the window to void the sale, you may still have a claim against the dealer for violations of the Kentucky Consumer Protection Act and other laws.

If you purchased a salvage or rebuilt vehicle without knowing it, contact the attorneys at Craig Henry PLC. Our lawyers are experienced in car sale cases and provide a free consultation to determine if you have a claim. Call (502) 614-5962 today.

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