Pub. 2 2020 Issue 6

“As-Is” sale where that dealer sells a service contract within 90 days of the sale. Is the signature line optional on the FTC Buyers Guide? Yes, the signature line is optional on the FTC Buyers Guide but not on the NH As-Is form. Does NH require an As-Is disclosure form in addition to the FTC Buyers Guide? Yes. Is the signature line mandatory on the NH As-Is Form? Yes. RSA 382-A:2-316 (4) To properly sell a vehicle As-Is in New Hampshire, dealers must have the buyer sign a statement which clearly informs the buyer, before the time of sale, in concise and straightforward language that: (a) The goods are being sold on an As-Is or “With All Faults” basis; (b) The entire risk as to quality and performance of the goods is with the buyer; and (c) If the goods prove defective after purchase, the buyer, not the manufacturer, distributor or retailer, shall assume the entire cost of all necessary servicing or repair (RSA 382-A:2-316). This statement must be on a document other than the Buyers Guide as the FTC prohibits changes to the Buyers Guide. What would turn your As-Is sale into an implied warranty? When a vehicle is sold As-Is, the dealership personnel must be very careful to avoid any and all statements that would imply the vehicle “is in great shape,” “gets good gas mileage,” and “is a really good car.” The consumer could use statements such as these in an attempt to negate the As-Is document that he/she has signed. Can I sell a vehicle that doesn’t pass inspection to a retail customer? New Hampshire law does allow dealers to sell vehicles that are unsafe for the road to retail buyers. However, you can- not issue a 20-day plate to an unsafe motor vehicle. There are precise disclosure requirements for this type of sale. These forms must be completed to complete the sale legally. (1) The Notice of Sale of Unsafe Motor Vehicle form (RMDV 950). The Department of Safety (DOS) requires NDD20301_Superhero_SmallBiz_NHADA_3.625x4.625.indd 2 10/13/20 1:17 PM the submission of a completed copy of an official DOS unsafe motor vehicle form. RMDV 950 can be obtained directly from the DOS. The law also requires a written acknowledgment from the customer of the customer’s rights under this law. You must ask the customer if he/she wants a safety inspection. If the customer requests a safety inspection, following the inspection, you must notify the customer of what repairs are necessary to bring the motor vehicle into compliance with safety inspection laws and note the failed items on the RDMV 950 form. You may charge the customer for the safety inspection. If the customer declines an inspection, make sure that they circle (do not) on the line that states, “I (do) (do not) desire a safety inspection to be conducted.” If the vehicle does not pass the emissions test, you must give the consumer a Notice of Sale of Vehicle that does not pass OBD II Emissions Testing (RMDV 950A). (2) The As-Is form (mentioned above). How should an unsafe vehicle be removed from your lot? NHADA recommends that you have the customer trailer or tow the vehicle from your business. To discourage the practice, you should simply make towing the vehicle part of the sale. If you have a question about “As-Is” sales in New Hampshire, please call the Association office at (800) 852-3372. NEW HAMPSHIRE LAW DOES ALLOW DEALERS TO SELL VEHICLES THAT ARE UNSAFE FOR THE ROAD TO RETAIL BUYERS. N E W H A M P S H I R E 23