59.1-207.16:1 - Disclosure of returned vehicles; penalty
§ 59.1-207.16:1. Disclosure of returned vehicles; penalty.
A. If a motor vehicle that is returned to the manufacturer or distributoreither under this chapter or by judgment, decree, or arbitration award inthis or any other state and is then transferred by a manufacturer ordistributor to a dealer, licensed under Chapter 15 (§ 46.2-1500 et seq.) ofTitle 46.2, in Virginia, the manufacturer or distributor shall disclose thisinformation to the Virginia dealer.
B. If the returned vehicle is then made available for resale or for anotherlease, the manufacturer shall, prior to sale or lease, disclose in writing ina clear and conspicuous manner, on a separate piece of paper in ten-pointcapital type, to the Virginia dealer that this motor vehicle was returned tothe manufacturer, distributor or factory branch, the nature of the defectwhich resulted in the return, and the condition of the motor vehicle at thetime of transfer to the Virginia dealer. It shall be the responsibility ofthe dealer that receives this disclosure to give notice of its contents toany prospective purchaser or lessee prior to sale or lease, and to transferthe disclosure, or a copy thereof, to the next purchaser or lessee. Adealer's responsibility under this section shall cease upon the sale or leaseof the affected motor vehicle to the first purchaser or lessee not for resaleor lease.
C. Any manufacturer or distributor who violates this section of the MotorVehicle Warranty Enforcement Act shall be guilty of a Class 3 misdemeanor.
(1994, c. 578; 1998, c. 671.)