MVA publishes prior use disclosure form for Maryland dealers

MVA publishes prior use disclosure form for Maryland dealers

The Motor Vehicle Administration contacted all Maryland dealers last week about the used car sale form they have developed for those instances where a dealer is required to disclose to the customer prior use on a used car sale. MVAs Bulletin on May 2, 2013 from Brenda Scheydt covered the Disclosure of Prior Vehicle Use (Form VR-460), which has been designed by the agency to facilitate prior use disclosure by the selling dealer on the list of possibilities set forth in the Code of Maryland Regulations (COMAR 11.12.01.14M). The law requires disclosure of prior use on a used car sale for things like short term rentals, taxi service and demonstrator service. Ms. Scheydts Bulletin and MVAs new form can be viewed by clicking here.

MVAs action in developing a prior use disclosure form confirms their earlier stated position on dealer compliance with this disclosure obligation by way of a separate document that can supplement a vehicle buyers order. Significantly, this debunks plaintiffs lawyer contentions put forth in earlier lawsuits against Maryland dealers that were premised upon the theory that everything related to the sale, including mandated disclosures, needed to be contained in one document.

MVA clarifies that their new disclosure form is optional, which is to say the disclosure can be made in another document. If Form VR-460 is used, however, the selling dealer must fill it out completely, following the instructions on the form which include attaching a copy to the tag and title paperwork submitted to MVA. A copy should also be kept by the dealership in the deal jacket.

MVA Form VR-460 can be downloaded from the Business Services section of their website, www.mva.maryland.gov.