28-4411. Damage to new motor vehicles;
disclosure; definition
A. Except as provided in subsection B:
1. A manufacturer shall disclose in writing to a new motor vehicle dealer damage to
a new motor vehicle delivered to the dealer if the damage is known to the manufacturer
and repaired, the damage occurred after the manufacturing process is complete but before
delivery to the dealer and the damage exceeds three per cent of the manufacturer's
suggested retail price as calculated at the rate of the dealer's authorized warranty rate
for labor and parts.
2. A new motor vehicle dealer shall disclose in writing to a purchaser of the new
motor vehicle before entering into a sales contract that the new motor vehicle has been
damaged and repaired if the damage to the new motor vehicle exceeds three per cent of the
manufacturer's suggested retail price as calculated at the rate of the dealer's
authorized warranty rate for labor and parts.
B. Disclosure is not required for any glass, tires or bumper of a new motor vehicle
if the damaged item has been replaced with original or comparable equipment.
C. If disclosure is not required under this section, a purchaser may not revoke or
rescind a sales contract due solely to the fact that the new motor vehicle was damaged
and repaired before completion of the sale.
D. For purposes of this section, "manufacturer's suggested retail price" means the
retail price of the new motor vehicle suggested by the manufacturer, including the retail
delivered price suggested by the manufacturer for each accessory or item of optional
equipment physically attached to the new motor vehicle at the time of delivery to the new
motor vehicle dealer that is not included within the retail price suggested by the
manufacturer for the new motor vehicle.
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