2018 GNYADA Membership Directory

USED CAR RECALLS

Dealers trying to keep up with what needs to be done to sell a used car subject to an open recall face a confusing maze of different information from numerous agencies. The FTC, the State Attorney General, the DMV, and the NYC Department of Consumer Affairs are a few groups that oversee dealer practices. Guidance is often inconsistent but these agencies agree that, as far as recalls go, disclosure is important. Recently, the New York State Attorney General entered into agreements (Assurances of Discontinuance or AOD) with hundreds of dealers. The AOD requires dealers to place a notice in the window of each used car they offer for

sale, which explains how consumers can check the vehicle’s recall status. In response, GNYADA created a Recall CheckWindow Decal notice for dealers to display on their preowned inventory. The decal tells customers that used cars may be subject to open recalls and that they can research the recall status of a vehicle by using SaferCar.gov.

While the AOD’s settlement terms apply only to dealers who signed one, ensuring that customers are aware of potential recalls is currently a best practice for all dealers. GNYADA offers 300 Recall Check Window Decals for $39.50. The decals are 3.5”, reusable, polypropylene laminated, and weatherproof. To order decals, please call the Association at 718.746.5900.

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RECALL CALLS DO NOT VIOLATE “DO-NOT-CALL”

Dealers who call customers about recall-related issues are not violating national Do-Not-Call rules. This exception applies only when the repair work is completed at no cost to the customer. Any attempts to sell additional products or services during the conversationwill designate it as a phone solicitation, which is prohibited. Cell phones, texting, autodialing, and prerecorded calls are subject to the Telephone Consumer Protection Act (TCPA). Dealers may not be able to tell if they are calling a mobile phone or landline. However, if a customer provided you with their cell phone number, you can call to notify them of the recall, as long as you limit the conversation to that recall.