417-A - Mandatory disclosures by sellers prior to resale.

§ 417-a. Mandatory   disclosures   by  sellers  prior  to  resale.  1.  Certificate of prior use by dealer. (a) Upon the  sale  or  transfer  of  title by a dealer of any second-hand passenger motor vehicle, the dealer  shall  execute  and  deliver  to the buyer an instrument in writing in a  form prescribed by the commissioner which shall set forth the nature  of  the  principal  prior  use  of such vehicle when the dealer knows or has  reason to know that such use was as a taxicab,  rental  vehicle,  police  vehicle,  or  vehicle  which  has  been  repurchased  pursuant to either  section one hundred ninety-eight-a or one hundred ninety-eight-b of  the  general  business  law,  a  similar  statute  of  another  state,  or an  arbitration or alternative dispute procedure.    (b) Upon the sale or transfer of title by a dealer  of  any  passenger  motor vehicle that the dealer knows or has reason to know was previously  used as a driver education vehicle, the dealer shall execute and deliver  to  the  buyer  an  instrument  in  writing  in a form prescribed by the  commissioner acknowledging such prior use.    2. Certificate of prior nonconformity by manufacturer or dealer.  Upon  the sale or transfer of title by a manufacturer, its agent or any dealer  of  any second-hand motor vehicle, previously returned to a manufacturer  or  dealer  for  nonconformity  to   its   warranty   or   after   final  determination,  adjudication  or  settlement  pursuant  to  section  one  hundred ninety-eight-a or one  hundred  ninety-eight-b  of  the  general  business  law,  the  manufacturer or dealer shall execute and deliver to  the buyer  an  instrument  in  writing  in  a  form  prescribed  by  the  commissioner  setting  forth the following information in ten point, all  capital type: "IMPORTANT: THIS VEHICLE WAS RETURNED TO THE  MANUFACTURER  OR  DEALER  BECAUSE IT DID NOT CONFORM TO ITS WARRANTY AND THE DEFECT OR  CONDITION WAS NOT FIXED WITHIN A REASONABLE TIME AS PROVIDED BY NEW YORK  LAW." Such notice that a vehicle was returned  to  the  manufacturer  or  dealer  because  it  did  not  conform  to  its  warranty  shall also be  conspicuously printed on the motor vehicle's certificate of title.    3. Violation. The failure of a dealer to  deliver  to  the  buyer  the  instrument  required  by  this  section or the delivery of an instrument  containing false or misleading information shall constitute a  violation  of this section.    4.  Private  Remedy. A consumer injured by a violation of this section  may bring an action to recover damages.  Judgment  may  be  entered  for  three  times  the  actual  damages suffered by a consumer or one hundred  dollars, whichever  is  greater.  A  court  also  may  award  reasonable  attorneys' fees to a prevailing plaintiff buyer.    5.  a.  Action  by  the  attorney  general. Upon any violation of this  section, an application may be made by the attorney general in the  name  of  the  people  of  the  state of New York to a court or justice having  jurisdiction to issue an injunction, and upon notice to the defendant of  not less than five days, to enjoin and restrain the continuance  of  the  violation.  If  it  shall  appear  to  the  satisfaction of the court or  justice that the defendant has violated this section, an injunction  may  be issued by the court or justice, enjoining and restraining any further  violation,  without  requiring  proof that any person has, in fact, been  injured or damaged thereby. In any such proceeding, the court  may  make  allowances  to  the  attorney  general  as  provided in paragraph six of  subdivision (a) of section  eighty-three  hundred  three  of  the  civil  practice law and rules, and direct restitution.    b. Whenever the court shall determine that a violation of this section  has  occurred,  it  may  impose  a  civil  penalty  of not more than one  thousand dollars for each violation. In connection with  an  application  made  under this subdivision, the attorney general is authorized to takeproof and to make a determination of the relevant  facts  and  to  issue  subpoenas in accordance with the civil practice law and rules.