[§481J-4]  Disclosure of damages or defects
in used motor vehicles.  (a)  No dealer may offer for sale any used motor
vehicle without first providing:



(1)  Written notice to the prospective consumer of any
material mechanical defect in the motor vehicle and any damage sustained by the
motor vehicle due to fire, water, collision, or other causes for which the cost
of repairs exceeds $1,000 for parts and labor, when the defect or damage is
known to the dealer; and



(2)  Written notice to the prospective consumer
whether the dealer has conducted any inspection of the motor vehicle to
determine known defects or damage.



(b)  If a dealer promises that any repairs will
be made or any conditions corrected in connection with the purchase of a used
motor vehicle, such promises shall be provided in writing and either attached
or incorporated into the sales contract.



(c)  For purposes of this section:



"Known" means that a dealer or the
dealer's agent or employee has obtained facts or information about the
condition of a motor vehicle which would lead a reasonable person in similar
circumstances to believe that the motor vehicle contained one or more material
mechanical defects.  The term "known" encompasses knowledge obtained
through an inspection, from a previous owner, from the salesperson at an
auction or another dealer, or through other means.



"Material mechanical defect" means
any defect or malfunction which renders the motor vehicle mechanically unsound
or inoperable. [L 1994, c 224, pt of §1]