Used Car Buyer's Guide Rule
Proposed Rules: Closed to Comments
Statement of Basis and Purpose of Proposed Rule
Section 2203 of the New York City Charter authorizes the Commissioner to enforce laws prohibiting deceptive trade practices and, upon notice and hearing, to impose civil penalties for the violation of such laws. Section 2203(h)(3) of the Charter provides that no act or practice shall be deemed a deceptive trade practice unless it has been declared as such, and described with reasonable particularity in a law or rule promulgated by the Commissioner.
Pursuant to subchapter 11 of Chapter 2 of Title 20 of the New York City Administrative Code, the Department regulates the sale of used automobiles and licenses used automobile dealers. The Federal Trade Commission has promulgated 16 C.F.R. 455.2, which requires used car dealers to prominently display a Buyer’s Guide before offering any used automobile for sale. The proposed rule would make a seller’s failure to display the Buyer’s Guide a deceptive trade practice for purposes of section 20-701 of the Administrative Code.
“Shall” and “must” denote mandatory requirements and may be used interchangeably in the rules of the Department, unless otherwise specified or unless the context clearly indicates otherwise.
Chapter 5 of Title 6 of the Rules of the City of New York is amended to add a new section 5-75 to read as follows:
§5-75 Used Car Buyer’s Guide.
(a) It shall be a deceptive trade practice for purposes of section 20-701 of the administrative code for any seller to sell or offer to sell any used automobile without posting a Buyer’s Guide as required under section 455.2 of title 16 of the code of federal regulations.