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OIADA, P.O. Box 6905, Moore, OK 73153

PRSRT StandardU.S. Postage

PAIDDALLAS, TEXASPermit No. 2079

Change Service Requested

OIADA, P.O. Box 6905, Moore, OK 73153

Daniel Derr – 2012 Quality Dealer OIADA Legislative Report New Spot Delivery Form Available

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OIADAOFFICE813 NORTHWEST 34TH MOORE, OK 73160EMAIL: [email protected]

ROSE & ODELL MORGAN, Executive DirectorsJACKIE GARNER, Office Manager

AMBER SNOOK, Administrative AssistantJARED MORGAN, Electronics/Software Technician

LYNNA KAY, ProgrammerSTEVE MORGAN, ConsultantMIKE MORGAN,Technical Aide

NATIONAL INDEPENDENT AUTOMOBILE DEALERS ASSOCIATIONWWW.NIADA.COM • WWW.NIADA.TVNIADA HEADQUARTERS: 2521 BROWN BLVD. • ARLINGTON, TX 76006-5203 PHONE (817) 640-3838FOR ADVERTISING INFORMATION CONTACT: TROY GRAFF (800) 682-3837 OR [email protected]’ RESOURCE IS A PUBLICATION OF AUTOMOTIVE DEAL-ERS RESOURCE OF OKLAHOMA (ADR) PRODUCED ON BEHALF OF THE OKLAHOMA INDEPENDENT AUTOMOBILE DEALERS ASSOCIA-TION (OIADA), P.O. BOX 6905, MOORE, OK 73153. THE DEALERS’ RESOURCE IS PUBLISHED MONTHLY BY THE NATIONAL INDEPEN-DENT AUTOMOBILE DEALERS ASSOCIATION SERVICES CORPORA-TION. PERIODICAL POSTAGE PAID AT ARLINGTON, TX, AND AT ADDITIONAL OFFICES. POSTMASTER: SEND ADDRESS CHANGES TO OIADA, P.O. BOX 6905, MOORE, OK 73153. THE STATEMENTS AND OPINIONS EXPRESSED HEREIN ARE THOSE OF THE INDIVIDU-AL AUTHORS AND DO NOT NECESSARILY REPRESENT THE VIEWS OF ADR OF OKLAHOMA, THE OKLAHOMA INDEPENDENT AUTO-MOBILE DEALERS ASSOCIATION OR THE NATIONAL INDEPENDENT AUTOMOBILE DEALERS ASSOCIATION. LIKEWISE, THE APPEAR-ANCE OF ADVERTISERS, OR THEIR IDENTIFICATION AS MEMBERS OF OIADA OR NIADA DOES NOT CONSTITUTE AN ENDORSE-MENT OF THE PRODUCTS OR SERVICES FEATURED. COPYRIGHT © 2011 BY O&R MORGAN, INC. DBA OIADA. ALL RIGHTS RESERVED. DEALERS’ RESOURCE IS A PUBLICATION OF AUTOMOTIVE DEALERS RESOURCE OF OKLAHOMA ON BEHALF OF THE OKLAHOMA IN-DEPENDENT AUTOMOBILE DEALERS ASSOCIATION (OIADA), BUT IS MAILED TO ALL DEALERS IN THE STATE IN AN EFFORT TO EDU-CATE AND ENCOURAGE NON-MEMBERS TO JOIN THE ASSOCIA-TION AND SUPPORT OUR EFFORTS TO IMPROVE THE IMAGE AND PROFIT POTENTIAL OF THE INDUSTRY. FOR 55 YEARS, WE HAVE WORKED TO REPRESENT THE INDEPENDENT MOTOR VEHICLE DEALER IN OKLAHOMA. WE NEED YOUR SUPPORT.FRONT COVER BY Mike MorganSTATE MAGAZINE MGR./SALES Troy Graff • [email protected] Andy Friedlander • [email protected]/PRODUCTION MGR. Christy Haynes • [email protected] Nieman Printing

MAGAZINECONTENTS

ADVERTISERSINDEX71B Auto Auction ..................................................11ADESA ......................................... Inside Back CoverAlbright Insurance ..................................................7AutoTrader.com .................................................... 5Chase ...................................................................20Dealer’s Auto Auction of OKC ................ Back CoverJordan Insurance Group .........................................9Loftis & Wetzel Insurance .....................................19Manheim North Texas ................. Inside Front CoverManheim.com ......................................................15Nowcom ..............................................................13Sharp Commercial Properties ..............................21SmartAuction ...................................................... 17United Acceptance ..............................................18

04 Quality Dealer of the Year06 Buyers Guide: An Overview12 Tracking The Legislative

FOR INFORMATION ON HOW TO BECOME A MEMBER OF OIADA PLEASE CONTACT ROSE OR ODELL MORGAN AT 405-232-2947.

PRESIDENTChris GoadRegal Motors3515 N. MayOklahoma City, OK [email protected]

CHAIRMAN OF THE BOARDJohn EasttomAuto Mart of Elk CityP.O. Box 981Elk City, OK [email protected]

SECRETARY/ TREASURERBruce BeamDealers Auto Auction of OKC1028 S. PortlandOklahoma City, OK 73147405-947-2886www.daaokc.com

VICE PRESIDENTSJohn T. Longacre, IVTaft Motors, Inc.722 S. Linden St.Sapulpa, [email protected] Julian CoddingReliable Motors, Inc.9201 S. ShieldsOklahoma City, [email protected]

Monte ShockleyShockley Auto Sales2605 N. BroadwayPoteau, OK [email protected]

Glenn McDanielI-35 Credit Auto1113 SE 51st St.Oklahoma City, OK [email protected]

David McQuerryMcQuerry Motors, Inc.1302 N. Harrison St.Shawnee, OK [email protected]

OIADA BOARD OF DIRECTORS

Primary Number (OKC): 405-232-2947Toll Free: 800-346-4232BUSY SIGNAL? The 405-232-2947 number is designed to roll over to any of four other lines in our office, but has recently not been working correctly. If you encounter a busy signal at the 232 number, please call the 800 number or any of the following:

405-799-7116

405-799-1113 405-799-8115 405-799-3759

For your convenience, we have recently added a toll-free fax number: 877-804-3449.

OIADA CONTACT INFO

WHAT’SNEW

R A2Z EDUCATION SERIES - AutoZoneEducating the independent dealer to deliver the highest

quality service levels to your customers, manage your shop efficiently, train your technicians and maximize profits.niada.tv

R NATIONAL TIRE SAFETY WEEK: June 3-9National Tire Safety Week is a nationwide event

sponsored by the Rubber Manufacturers Association to raise consumer awareness about tire safety, help consumers keep their tires safe and demonstrate the industry’s commitment to motorist safety.

Visit www.betiresmart.org and fill out the form to receive your free National Tire Safety Week kit that includes brochures and other materials.

Some Insurance Pointers

Just one bit of advice: “Be aware – if your policy doesn’t say it’s covered, it isn’t covered.”

One of the most important issues for anyone in business is to understand what his insurance policies cover. It’s a shock – often a disastrous one – to learn your insurance doesn’t cover a loss you believed to be covered.

To help avoid such a shock, pull your insurance policies and check to see what’s covered. Then go to the exclusions section and note what isn’t covered. If there are areas you don’t understand, call your insurance agent and get him or her to explain those parts. Part of your agent’s job is to be sure you understand the terms of your insurance policies, including what is covered and what is not covered.

Be sure you understand the limitations in the policies. For instance, what is the distance you must operate within and still be covered under your contract? Are you covered for an accident if it happens outside those limits? How about when a customer takes a car for a test drive and gets into an accident? Does your insurance cover you if you or an employee are not in the vehicle with a customer during the test drive?

BY ADR S TAF F

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Four Ways to Get IRS Forms

The Internal Revenue Service has free tax forms and publications on a wide variety of topics. Because of the continued growth of electronic filing and the availability of free options to taxpayers, the IRS to reduce costs discontinued the automatic mailing of paper tax packages last tax season.

If you need IRS forms and publications, here are four easy methods for getting them.

On the Internet: You can access forms and publications on the IRS website 24 hours a day, seven days a week at www.irs.gov.

IRS Taxpayer Assistance Centers: There are 401 TACs throughout the country, where the IRS offers face-to-face assistance to taxpayers and taxpayers can pick up many IRS forms and publications. Visit www.irs.gov and go to “Contact My Local Office” on the “Individuals” page to find a list of TAC locations by state. On the “Contact My Local Office” page, you can also select “Office Locator” and enter your zip code to find the IRS walk-in office nearest you as well as a list of the services available at specific offices.

At convenient locations in your community: During the tax filing season, many libraries and post offices offer free tax forms to taxpayers. Some libraries also have copies of commonly requested publications. Many large grocery stores, copy centers and office supply stores have forms you can photocopy or print from a CD.

By mail: You can call 1-800-TAX-FORM (800-829-3676) Monday through Friday from 7 a.m. to 7 p.m. local time – except in Alaska and Hawaii, which use Pacific time – to order current year forms, instructions and publications, as well as prior year forms and instructions by mail. You will receive your order by mail, usually within 10 days.

Employee Tax Credits

The work opportunity credit has been expanded to provide employers with new incentives to hire certain unemployed veterans.

On Nov. 21, the President signed into law the VOW to Hire Heroes Act of 2011. The new law provides an expanded work opportunity tax credit to businesses that hire eligible unemployed veterans, and for the first time also makes part of the credit available to tax-exempt organizations.

Businesses claim the credit as part of the general business credit and tax-exempt organizations claim it against their payroll tax liability. The credit is available for eligible unemployed veterans who begin work on or after Nov. 22, 2011, and before Jan. 1, 2013.

The credit can be as much as $98,600 per veteran for for-profit employers, or up to $6,240 for tax-exempt organizations. The amount of the credit depends on a number of factors, including the length of the veteran’s unemployment before hire, hours the veteran works and the amount of first-year wages paid. Employers who hire veterans with service-related disabilities may be eligible for the maximum credit.

Normally, an eligible employer must file Form 8850 with the state workforce agency within 28 days after the eligible worker begins work. But according to recent guidance, employers have until June 19 to complete and file this newly revised form for veterans hired on or after Nov. 22, 2011 and before May 22, 2012. The 28-day rule will again apply to eligible veterans hired on or after May 22.

For more information, go to www.IRS.gov/newsroom and see news release IR-2012-17, Feb 9, 2012.

IRS NOTICE

Thoroughbred Motors in Oklahoma City is the product of Daniel Derr, who has developed his business based on the characteristics depicted in the image of the word “thoroughbred.” Dan himself reflects the image of a thoroughbred and is recognized by his customers, friends and fellow dealers as one who contributes to raising the image of car dealers to that level of integrity.

Dan was selected by fellow dealers to represent them and all members of the Oklahoma Independent Automobile Dealers Association to the nation as an example of what independent dealers are and can be like.

He was not selected because he has a mega-dealership that employs hundreds of people, displays thousands of vehicles, occupies acres and acres of real estate and sells thousands of used vehicles each year. He was selected because he operates a small independent dealership that specializes in becoming personally acquainted with each of his customers to the degree that he knows and understands their transportation needs and satisfies those needs with quality vehicles that serve them.

He was chosen because of his comprehensive knowledge of each of the vehicles sold at

Thoroughbred Motors and his assurance that they are fairly priced and will satisfy the transportation needs of his customers. He was chosen because he enjoys the respect of the business community and because he values and respects his family, his employees and his customers. His reputation for honesty and integrity among his customers is demonstrated by the repeat business he enjoys.

Daniel Derr’s Thoroughbred Motors is truly a thoroughbred operation. We congratulate Dan on his selection to represent the members of the Oklahoma Independent Automobile Dealers Association as our Quality Dealer for 2012.

Daniel Derr: 2012 OIADA Quality Dealer

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In accordance with the Federal Trade Commission (FTC) Used Car Rule, vehicles offered for sale by dealers are generally required to have a Buyers Guide form prominently displayed. The rule authorizes two distinct versions, one for use in states allowing “As Is – No Warranty” sales and a second with “Implied Warranty” language for use in states that limit or prohibit As Is sales.

The “As Is – No Warranty” version, appropriate for use in Oklahoma, is readily available through OIADA, your state association. The English language form is available as a two-seal, four-seal and mirror hanger. A Spanish language version of the form is also available.

The Used Car Rule is primarily intended to prevent oral misrepresentations and unfair omissions of material facts by used car dealers concerning warranty coverage. The rule requires clear disclosure through a window sticker, called the Buyers Guide, of any warranty coverage and the terms and conditions of any dealer-offered warranty, including the duration of warranty coverage and the percentage of total repair costs the dealer will pay.

The rule also requires certain additional disclosures on the Buyers Guide, including a suggestion that consumers ask the dealer if a pre-purchase inspection is permitted, a warning against reliance on spoken promises that are not confirmed in writing, and a list of the 14 major systems of an automobile and defects that can occur in these systems.

In addition, the rule provides that the Buyers Guide disclosures be incorporated into the sales contract. Dealers are required to place a specific, two-sentence disclosure in the sales contract informing the purchaser that, in the event of any inconsistency

between the Buyers Guide and the sales contract, the information on the Buyers Guide will govern. The rule also requires dealers to give the purchaser a copy of the Buyers Guide reflecting the final warranty terms.

When the used car transaction is conducted in Spanish, the rule requires the dealer to display a Spanish-language version of the Buyers Guide on the vehicle prior to offering the vehicle for sale. The rule includes text for the Spanish-language version.

You must post a Buyers Guide before you offer a used vehicle for sale. A vehicle is considered offered for sale when you display it for sale or let a customer inspect it for the purpose of buying it, even if the car is not fully prepared for delivery. That requirement also applies to used vehicles for sale on your lot through consignment, power of attorney or other agreement. At public auctions, dealers and the auction company must comply if the auction is open to consumers. The rule does not apply at auctions that are closed to consumers.

Previously titled or not, any vehicle driven for purposes other than moving or test driving is considered a used vehicle, including light-duty vans, light-duty trucks, demonstrators and program cars that meet the following specifications:• Gross vehicle weight rating (GVWR) of less

than 8,500 pounds• Curb weight of less than 6,000 pound • Frontal area of less than 46 square feet.Exceptions to the rule are:• Motorcycles• Any vehicle sold for scrap or parts if the

dealer submits title documents to the appropriate state authority and obtains a salvage certification

• Agricultural equipment.

The rule requires dealers to use the exact format for the Buyers Guide specified by the rule and to abide by specific printing instructions. The forms available through OIADA fully comply with the rule.You must complete four sections of the preprinted Buyers Guide: vehicle information, warranty information, service contract availability and dealer identification/consumer complaint information.

The vehicle information, service contract availability and dealer identification/consumer complaint sections are self-explanatory. The warranty section, however, comprises the bulk of page 1 of the form and may contain an infinite variety of responses. For specific guidance on completing the warranty section, see “Buyers Guide Warranty Section” on page 8.

The properly completed Buyers Guide must be posted prominently and conspicuously on or in a vehicle when a car is available for sale. That means it must be in plain view and both sides must be visible. The following display options are acceptable:• Affix the Guide to the side window of the

vehicle.• Hang the Guide from the rearview mirror

inside the car.• Hang the Guide on a side-view mirror

outside the car. • Place the Guide under a windshield wiper.

A Guide in a glove compartment or trunk or under the seat is not conspicuous because it is not in plain sight.

Note: This article is provided for information purposes only. It is not intended as legal advice. Contact legal counsel for its application to your business.

BY ADR STAFF

The Buyers Guide

An Overview

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* FOR ACCOUNTS THAT QUALIFY / ACCEPTABLE WITH UNDERWRITING

DAA/OKC Secures U.S. Govt. ContractBy Auto Remarketing Staff

CREATED 01/30/2012 - 16:22Dealers Auto Auction of Oklahoma City

announced it has secured contracts for 2012 to sell and marshal vehicles for the U.S. General Services Administration.

While DAA/OKC already has a contract with GSA that started last year and runs through 2015, it still submits a proposal each year to GSA, which evaluates the offer heading into the next year, DAA/OKC general manager Bruce Beam said.

“We’re off to a great start in 2012 at DAA/OKC, and the GSA contract award is one more reason to celebrate,” Beam said. “Already, we’re seeing more cars in the lanes and more buyers with their hands high in the air, and we expect the momentum to keep building.

“This year we sharpened our pencils and submitted a best and final offer to GSA for 2012 that hit the mark.”

Beam said DAA/OKC sells the government’s vehicles on Thursdays after its usual consignment sale.

“GSA sales can be as challenging as they are exciting,” he said. “But our experience selling for a wide variety of national consignors has honed our skills in adapting to a variety of scenarios and customer requirements, and we know GSA’s buyers will find a level of service at DAA/OKC they have not experienced anywhere else.”

The new Spot Delivery form required by the Oklahoma Motor Vehicle Commission and the Used Motor Vehicle Commission is now available at OIADA.

A Spot Delivery form is required when a vehicle is sold but the financing has not yet been pro-vided.

To place your order, call 405-232-2947 or 800-346-4232. If you have trouble getting through on the 232 number, please call 405-799-7116, 405-799-1113 or 405-799-8115. Our toll-free fax number is 877-804-3449, and our Oklahoma City-area fax number is 405-799-3367.

If you place your order by 2 p.m., Monday through Thursday, you should receive the forms by noon the next day.

IMPORTANT NOTICE Spot Delivery Forms Available

BY ADR STAFF

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Before posting the FTC Buyers Guide, you must complete four parts of the form: vehicle information, warranty information, service contract availability, and dealer identification and consumer complaint information.

The following FTC guidelines regarding the warranty section of the “As Is – No Warranty” Guide are provided for your benefit.

If you offer a vehicle “as is,” which means without any express or implied warranties, mark the box provided next to the “As Is – No Warranty” disclosure. The Used Car Rule does not affect any state law that requires you to use special language or a separate form to make an effective “as is” sale. “As is” disclosures will excuse you from liability under state law only if you follow state law requirements for making the disclosure.

Dealers who offer a warranty on a vehicle must mark the large box next to the word “warranty” and complete the other parts of the warranty section of the Buyers Guide.

First, mark one of the smaller boxes to indicate whether the warranty offered is “Full” or “Limited.” Under federal law, your warranty is “full” if each of the following statements about your warranty’s terms and conditions is true:

1. You provide warranty service to anyone who owns the vehicle during the warranty period when they report a problem.

2. You provide warranty service free of charge, including such costs as returning the vehicle or removing and reinstalling a “covered” system when necessary.

3. You provide, at the consumer’s choice, either a replacement or a full refund if you are unable, after a reasonable number of tries, to repair the vehicle.

4. You do not require consumers to perform any duty as a precondition for receiving service, except notifying you that service is needed, unless you can demonstrate that the duty is reasonable.

5. You do not limit the duration of implied warranties.

If any one of these statements is not true, then your warranty is “limited.” A limited

warranty tells your customers there are some costs or responsibilities you will not cover for the specified systems.

A full or limited warranty need not cover the entire vehicle. You may give a full warranty on some systems and a limited warranty on others. If most systems are covered by a limited warranty, check the limited warranty box and list which systems will be covered by a full warranty.

Second, fill in the percentage of the repair cost that will be paid by the dealer. For example: “The dealer will pay 100 percent of the labor and 100 percent of the parts…” The Used Car Rule does not require a dealer to pay any specific percentage of repair or labor costs. The figure in the example is provided only for illustration.

Third, indicate which specific systems are covered. Do not use shorthand terms such as “drive train” or “power train.” Rather, indicate the exact systems (e.g., frame and body, brake systems, etc.) that are covered. A list of the major systems of an automobile is printed on the back of the Buyers Guide. Those terms may be used to indicate the specific systems covered by the warranty.

Some dealers may wish to provide warranty coverage for some systems of a used vehicle and at the same time disclaim all other express or implied warranty coverage for the other systems of the car. A dealer may use the space provided for warranty disclosures to write in any disclaimers or exclusions. You may enlarge the Buyers Guide, if necessary, to provide additional warranty information.

Fourth, indicate the duration of the warranty. For example, “30 days or 1,000 miles, whichever occurs first.” If there are different durations for different systems, write out each different duration. If the duration of the warranty is the same for all systems covered by the warranty, you need only write the duration once.

If you choose, you may disclose unexpired manufacturer’s warranties in the warranty section of the Buyers Guide. To disclose that

a manufacturer’s warranty still applies on a used vehicle, staff suggests dealers use one of two methods, depending on whether the dealer offers a warranty in addition to the unexpired manufacturer’s warranty.

If additional warranty coverage is not offered by the dealer, the dealer should check the large box to indicate a warranty is offered, then simply fill in (with a rubber stamp, if desired) the following statement: “MANUFACTURER’S WARRANTY STILL APPLIES. The manufacturer’s original warranty has not expired on the vehicle. Consult the manufacturer’s warranty booklet for details as to warranty coverage, service location, etc.” Separately, and beneath that statement, the dealer may add the following language (if permitted by state law to sell a used vehicle on an “as is” basis): “The dealership itself assumes no responsibility for any repairs, regardless of any oral statements about the vehicle. All warranty coverage comes from the unexpired manufacturer’s warranty.”

If a dealership warranty is offered and the dealer also chooses to disclose the unexpired manufacturer’s warranty, the dealer should mark the large box to indicate a warranty is offered and fully complete the rest of the Buyers Guide’s warranty section, indicating whether the dealer’s warranty is full or limited, what percentage of parts and labor are covered, the systems covered, and the duration of coverage; and fill in (with a rubber stamp, if desired) the unexpired manufacturer’s warranty statement below the dealer’s warranty disclosure.

For case examples of completed warranty sections of the Buyers Guide, see the article “Used Car Rules FAQs” on page 10.Note: This article is provided for information purposes only. It is not intended as legal advice. Consult legal counsel for its application to your business.

BY ADR STAFFNOTE: THIS ARTICLE IS PROVIDED FOR INFORMATION PURPOSES

ONLY. IT IS NOT INTENDED AS LEGAL ADVICE. CONSULT LEGAL

COUNSEL FOR ITS APPLICATION TO YOUR BUSINESS.

The Buyers Guide

Warranty Section

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Note from OIADA staff: If you rely on third-party background reports on individuals for purposes such as employee applicant screening or credit applicant screening, remember those reports might be subject to the Fair Credit Reporting Act (FCRA). The Federal Trade Commission (FTC) is currently investigating marketers of six background-screening applications to determine whether the marketers and/or the users of the applications might be in violation of the FCRA.

The text of the FTC news release, dated Feb. 7, 2012, follows:

The Federal Trade Commission recently warned marketers of six mobile applications that provide background screening apps they may be violating the Fair Credit Reporting Act (FCRA). The FTC warned the apps marketers that if they have reason to believe the background reports they provide are being used for employment screening, housing, credit or other similar purposes, they must comply with the FCRA.

The companies that received the letters are Everify, Inc., marketer of the Police

Records app; InfoPay, Inc., marketer of the Criminal Pages app; and Intelligator, Inc., marketer of Background Checks, Criminal Records Search, Investigate and Locate Anyone, and People Search and Investigator apps.

According to the FTC, some of the apps include criminal record histories, which bear on an individual’s character and general reputation and are precisely the type of information typically used in employment and tenant screening.

“If you have reason to believe your background reports are being used for employment or other FCRA purposes, you and your customers who are using your reports for such purposes must comply with the FCRA,” the letters say.

The FCRA is designed to protect the privacy of consumer report information and ensure the information supplied by consumer reporting agencies is accurate. Consumer reports are communications that include information on an individual’s character, reputation or personal characteristics and are used or expected to be used for purposes

such as employment, housing or credit.Under the FCRA, operations that

assemble or evaluate information to provide to third parties qualify as consumer reporting agencies, or CRAs. Mobile apps that supply such information may qualify as CRAs under the act. CRAs must take reasonable steps to ensure the user of each report has a “permissible purpose” to use the report, take reasonable steps to ensure the maximum possible accuracy of the information conveyed in its reports, and provide users of its reports with information about their obligations under the FCRA. In the case of consumer reports provided for employment purposes, for example, CRAs must provide employers with information regarding their obligation to provide notice to employees and applicants of any adverse action taken on the basis of a consumer report.

According to the letters, the agency has made no determination whether the companies are violating the FCRA, but encourages them to review their apps and their policies and procedures to be sure they comply with the FCRA.

FTC Investigating Background Screening Marketers

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The Federal Trade Commission’s “Trade Regulation Rule Concerning the Sale of Used Motor Vehicles” became effective May 9, 1985.

This rule, commonly referred to as the “Used Car Rule,” established the requirement for the display of the FTC Buyer’s Guide in used vehicles offered for sale to consumers. Violations of the rule can result in civil penalties of up to $10,000 per violation.

The following case examples regarding completion of the warranty section of the Guide were prepared by the FTC staff and are offered here for your benefit:

Q: You are a dealer offering a used vehicle for sale and you want to offer a warranty on the vehicle. You would like to warrant only the engine, transmission and drive shaft, differential and electrical systems, and you would like to disclaim any warranties, express or implied, on the other systems of the vehicle. Can you indicate this disclaimer on the Buyers Guide?

A: Yes. Mark the large box to indicate that a warranty is offered on the vehicle. Indicate whether the warranty is “full” or “limited.” Fill in the lines to show what percentage of parts and labor you will pay for repairs to covered systems. Beneath the warranty disclosure, fill in the list of covered systems and the duration of the warranty coverage for each covered system. Below that, you may indicate that you disclaim all warranties, express or implied, on other systems or parts of the vehicle. Of course, you still must describe the warranty in a separate warranty document, including the systems covered and the systems not covered. Be careful to check your state’s laws for any restrictions that might apply to disclaimers of express warranty coverage or disclaimers of implied warranty coverage.

Q: You are a dealer offering a warranty on a used vehicle. The warranty you offer covers less than 100 percent of the cost of labor and parts for the systems covered. Is that a full warranty?

A: No. A full warranty is one that meets the minimum standards for a warranty under Section 104 of the Magnuson-Moss Act. All other warranties are called “limited.” In this example, the warranty covers less than 100 percent of the repair costs of the covered systems and thus does not meet one of the elements of a full warranty. The elements of a full warranty are discussed more completely in the “Buyers Guide Warranty Section” article on page 8.

Q: You are a dealer who wishes to provide a warranty covering all vehicle systems shown on the reverse of the Buyers Guide. Under “systems covered” in the warranty section of the Buyers Guide, can you write “all systems shown on reverse of the Buyers Guide?”

A: Yes. To indicate your warranty covers all systems shown on the reverse side of the Buyers Guide, write in the “systems covered” section that the warranty covers “All systems shown on the reverse side of the Buyers Guide.” If you choose to use this sentence, you must specifically list in the “systems covered” section any systems not covered. For example, if your warranty covers all systems shown on the reverse of the Buyers Guide except for the fuel system, write, “All systems shown on the reverse side of the Buyers Guide, except the fuel system.” You may not use shorthand terms, such as “power train” or drive train” to describe the systems covered by a warranty. The requirements are designed so both you and the consumer will understand exactly what is covered by the warranty. This avoids misunderstandings and potential disputes.

Q: You offer a warranty that covers 100 percent of labor and parts, but with a $50 deductible over the course of the warranty. Should you fill in “100%” on the Buyers Guide on the lines for percentage of repair cost covered under the warranty?

A: Yes. Fill in “100% *” on the lines for percentage of parts and labor. Include an asterisk (*) with the percentage as well as a note on the first line of the “systems covered/duration” section to explain the deductible. For example, on the first line of the “systems covered/duration” portion, write: “*A one-time $50 deductible will apply on repairs.”

Q: You are a dealer offering a used car for sale “as is” in a state that permits such sales. The Buyers Guide displayed on the vehicle indicates the car is offered “as is.” However, after negotiating with the buyer, you agree to warrant the vehicle’s engine for 90 days or 3,000 miles, whichever comes first, and pay 75 percent of the cost of parts and labor involved in necessary repairs during the warranty period. Do you have to change the Buyers Guide before you give it to the buyer?

A: Yes. Before you give the buyer a copy of the Buyers Guide, you must change it to indicate the warranty you have agreed to provide. In the alternative, you may simply fill out a new Buyers Guide with the new

information. If, however, you choose the change the “old” Buyers Guide, first cross out the “As Is – No Warranty” box. Then fill in the warranty portion of the Buyers Guide just as you would if you were originally offering the car with that warranty. Remember the final warranty terms must be included in the sales contract for the car.

Q: Your dealership has a used vehicle that is still being prepared for sale. A consumer is interested in looking at that vehicle, with the understanding that it cannot be delivered until the preparations are complete. Does the vehicle need to have a Buyers Guide?

A: Yes. Before you offer to sell, show or actually sell any used vehicle to a consumer, you must prepare and display a Buyers Guide in the side window of that vehicle. Therefore, you might want to prepare and display a Buyers Guide soon after you acquire the vehicle.

Q: You are a dealer who makes a substantial number, but not a majority, of your sales to Spanish-speaking customers. Your staff is trained to conduct sales in both Spanish and English. Should you display both a Spanish and English version of the Buyers Guide on all your vehicles?

A: Yes. To ensure your compliance with the rule, it is a good idea to post both versions of the Buyers Guide if you expect a sale could be conducted in either Spanish or English. A Spanish-language Buyers Guide must be posted on a used vehicle before you begin to discuss, in Spanish, that vehicle with a customer. Therefore, as a practical way to ensure compliance, you should post both English and Spanish Buyers Guides if you make a large number of sales in both languages.

Q: When you sell a vehicle, you complete a customer order or bill of sale, and, if the consumer finances the vehicle, a financing document prepared by a bank. Do both of those documents have to contain the contract disclosure required by the rule?

A: No. The disclosure is required only on the “contract of sale.” The contract of sale is the document by which you agree to transfer title to the vehicle upon payment of the purchase price. The “financing agreement” must contain this disclosure if the document contains a clause stating that the financing document represents the complete and total agreement between the dealer and the consumer, or if the financing agreement is the only document given to the consumer to record the transaction.

The Used Car Rule FAQsBY ADR S TAF F

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HOUSE HB 2242, DenneyThe license fee of a wrecker or tow vehicle to be based on the gross weight of the wrecker or tow vehicle alone without inclusion of weight towed by the vehicle; provides exception for applications.Bill History01-12-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on A&B02-09-12 H Sent to subcommittee House A&B Sub on Revenue and Tax02-13-12 H Meeting set for 4:30 p.m., Room 412C, State Capitol, House A&B Sub on Revenue and Tax

HB 2274, MurpheyAdds a vehicle’s average trade-in value according to the National Auto Dealers Association to the formula for figuring out a vehicle’s excise tax; EMERGENCY.Bill History01-17-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on A&B

HB 2291, Roberts, DustinCreates the “Oklahoma Motor Vehicle Inspection Act” and sets guidelines for vehicles that require inspections; sets guidelines for inspection stations and licensing.Bill History01-17-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on House A&BNote: Bill is ineffective as written and could unduly burden motor vehicle dealers. Dealers need to be protected from those instances when a vehicle that does not meet environmental safety equipment requirements is traded or sold without disclosure that such equipment is not operational or does not exist. In addition, the inspection requirements applied to dealers do not apply to personal sales, placing dealers at a significant disadvantage.

HB 2374, TibbsExempts vehicles towed by a licensed wrecker operator from confiscation by any law enforcement officer.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Public Safety

HB 2418, EnnsMakes it unlawful for any person licensed to sell, trade or transfer from or to Oklahoma residents any passenger vehicle unless that vehicle has a handle mounted above the driver side door to be used for entering and exiting the vehicle.

Bill History01-18-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on TransportationNote: Needs to be amended to apply only to franchise dealers and clarify that it applies only to model 2013 and later vehicles that are factory equipped with such handles.

HB 2467, StilesExempts individual licensing processes from the One-Stop Business Licensing Program; exemptions will not be granted on an agency-by-agency basis and will be renewed on an annual basis.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Gov. Mod., Transparency, Accountability02-09-12 H Meeting set for 10:30 a.m., Room 412C, State Capitol, House Gov. Mod., Transparency, Accountability 02-09-12 H Voted from committee - Do Pass House Gov. Mod., Transparency, Accountability

HB 2542, McCulloughUpdates language to include powersports vehicles and adds multiple definitions that relate to motored vehicles and licensing thereof.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Judiciary

HB 2575, OwnbeyModifies how to obtain a salvage or junk title; defines fee; defines how to obtain a salvage title; EMERGENCY.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on A&B

HB 2688, BanzModifies the renewal of driver licenses and identification cards.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on RulesNote: Applies to veterans

HB 2705, VaughanCreates Oklahoma Used Motor Vehicle Education and Recovery Commission; provides appointments of board requirements, payments, terms, hiring, powers, reports and duties; amends licensing; EMERGENCY.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Public Safety

Note: In deference to Governor Fallin’s policy of reducing the size and scope of state government and improving the state’s small business climate, this bill creates another unnecessary state commission and significantly increases the cost of doing business for members of the used motor vehicle industry without responding to a verified need for the legislation or such a commission.

HB 2706, VaughanCreates requirements for out-of-state licensed dealers including registering, not being denied a license in the past, and paying all fees; EMERGENCY.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Econ. Dev., Tourism & Financial Svcs.Note: Discourages licensed out-of-state dealers from doing business at Oklahoma auctions by requiring them to also pay Oklahoma dealer license fees.

HB 2711, Jackson Defines terms; adds resident broker; each applicant for a resident broker’s license shall procure and file with the commission a good and sufficient bond in the amount of $25,000. Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on A&B

HB 2775, StilesCreates the Motor Vehicles Act of 2012. Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on RulesNote: SHELL BILL

HB 2845, OwnbeyAmends existing legislation related to motor vehicles and security interests; providing lien release alternatives and defines terms.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Rules

HB 2860, HoskinCreates the “Employee Credit Privacy Act;” prohibits an employer from using credit reports or history for hiring criteria with certain exceptions (see exceptions); sets legal guidelines for civil remedies.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Econ. Dev., Tourism & Financial Svcs.

Note: Unduly restricts employers’ ability to adequately assess potential employees’ character related to financial stability, which can affect employees’ actions on the job.

HB 2961, ChristianCreates a new section of law to be cited as the Oklahoma Motor Vehicles Act of 2012. Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Public SafetyNote: SHELL BILL

HB 3007, TerrillChanges the definition of autonomous vehicles to include those with artificial intelligence that drive themselves without active human operation; directs the Department of Public Safety to adopt rules authorizing their operation.Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on Public Safety

HB 3117, HickmanEstablishes the “Oklahoma Title 47 Act of 2012.” Bill History01-19-12 H Filed 02-06-12 H First Reading 02-06-12 H Referred to House Committee on RulesNote: SHELL BILL

SENATESB 1021, EllisExempts the portion of gross receipts or gross proceeds from the sale of automobile parts that are core charges meant to secure a trade-in from the Oklahoma Sales Tax Code; does not apply to non-trade-ins.Bill History01-03-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Finance

SB 1024, LasterRemoves the requirement that the value of a trade-in vehicle prior to the subtraction of discounts and credits be within 20 percent of average retail price in regards to the motor vehicle excise tax.Bill History01-03-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Finance

SB 1067, BarringtonAuthorizes officers of the Department of Public Safety or any other political subdivision to tow any vehicle found on a public place or on any private road that provides access to single or multi-family dwellings.

OIADA LEGISLATION TRACKING REPORT BY OIADA STAFF

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D E A L E R S ’ R E S O U R C E APRIL 2012 w w w . e - o i a d a . c o m

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OIADA LEGISLATION TRACKING REPORT

Bill History01-05-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Public Safety02-09-12 S Meeting set for 9:30 a.m., Room 534, State Capitol, Senate Public Safety 02-09-12 S Voted from committee - Do Pass Senate Public Safety

SB 1099, WilsonIncreases the required bond amount for used motor vehicle auction licenses from $50,000 to $300,000; allows dealers with proof of check and title insurance in the amount of $300,000 to have a bond of $150,000; EMERGENCY.Bill History01-09-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Business & Commerce

SB 1106, BallengerCreates written hold order requirements; not to exceed thirty days; out-of-state dealers will be subject to jurisdiction per transaction of one hundred dollars or more.Bill History01-09-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Business & CommerceNote: Relates to precious metals and gem dealers

SB 1164, MarlattProvides definition for synthetic diesel fuel as addressed in a specific state title; EMERGENCY.Bill History01-12-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Energy02-09-12 S Meeting set for 8:30 a.m., Room 419C, State Capitol, Senate Energy 02-09-12 S Voted from committee - Do Pass Senate Energy

SB 1168, AldridgeDebt cancellation agreements between creditors and borrowers shall remain a part of the loan or retail installment upon the assignment, transfer or sale of the loan or retail installment contract.Bill History01-12-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on JudiciaryNote: Could impact dealer’s contracts

SB 1354, BurrageAllows citizens who use bioptic telescopic devices to obtain drivers licenses.Bill History01-18-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Public Safety

SB 1361, BarringtonTransfers the property and employees of the Wrecker Services Division of the Department of Public Safety to the Corporation Commission; present

salaries and accrued annual and sick leave to be transferred.Bill History01-18-12 S Filed 02-06-12 S First Reading 02-06-12 S Referred to Senate Committee on Public Safety02-09-12 S Meeting set for 9:30 a.m., Room 534, State Capitol, Senate Public Safety 02-09-12 S Heard in committee and laid over Senate Public Safety

SB 1458, Johnson, RobRenames the act the “Use of Aftermarket Emissions and Safety Parts Notice and Consent Act;” modifies definitions of parts and practices; requires notification in estimates.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Business & CommerceNote: Confusing language

SB 1460, AllenRequires a certificate of title for all noncommercial boat trailers, farm trailers and utility-type trailers; sets fees, registrations, plate requirements and other rules.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on FinanceNote: Should apply only to new trailers

SB 1461, CoatesAdds special mobilized machinery utilized in oil and gas exploration, servicing and production to those eligible for excise tax.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Finance

SB 1475, Johnson, RobCreates the Service Warranty Act; defines terms; defines requirements; details contracts and fees; declares penalties and confidentiality; amends Oklahoma Statute 36.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Retirement & InsuranceNote: Could create issues with dealer service contract use

SB 1476, Johnson, RobAddition of service contracts requiring specific information for administrators; not requiring all parties to be printed on contract, but may be added at the time of sale.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Retirement & InsuranceNote: Could create issues with dealer service contract use

SB 1497, BrinkleyRemoves unnecessary section references and reduces one year period to 36 months for closing out sales from the expiration date of the closing out sale license in regards to OK Consumer Protection Act violations; EMERGENCY.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Business & Commerce

SB 1515, Johnson, RobAdds the core charge for automobile parts to the list of sales tax exempt items.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Finance

SB 1536, Johnson, RobAn act relating to used motor vehicle and parts dealers; amending 47 O.S. 2011, Sections 581 and 583, which relate to definitions and licenses required; adding and modifying definitions; adding certain types of license required; providing for certain fees; providing for certain renewal; increasing amount of certain bond; deleting exception to certain bond; providing for bond for certain license; making certain bonds subject to certain approval; providing for waiver of certain bond; and providing an effective date. (FIL )Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Finance

SB 1542, MarlattSalaried deputy sheriffs can demand weight registration certification from vehicles.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Public Safety

SB 1762, SykesDefines sections relating to false information in drivers education.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Rules

SB 1776, Johnson, RobRelates to a special lien; makes language gender neutral.Bill History01-19-12 S Filed 02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Rules

SB 1793, JolleyRemoves certain license plates types from authorized special plates; authorizes Administrator of Oklahoma Tax Commission to reissue special plates authorized before January 1, 2004.

Bill History01-19-12 S Filed02-06-12 S First Reading02-07-12 S Referred to Senate Committee on Finance 02-14-12 S Meeting set for 10:30 a.m., Room 511A, State Capitol, Senate Finance

SB 1833, Childers, GregRemoves previous information regarding off-road vehicles; defines off-road vehicles, sets new requirements and rules for enforcement.Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on Public Safety

SB 1839, BallengerClarifies language of existing legislation pertaining to removal of vehicles from roadway.Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

SB 1840, NewberryClarifies language of existing legislation pertaining to wreckers and towing services.Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

SB 1844, Childers, GregCreates the “Off-road Vehicle Safety and Control Act.”Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

SB 1846, Childers, GregCreates the “Off-road Vehicle Safety and Control Act.”Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

SB 1870, NewberryDefines certain rules that the Motor Vehicle Commission can apply to fines and fees.Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

SB 1929, BingmanRelates to certain agencies that are to be consolidated.Bill History01-19-12 S Filed 02-06-12 S First Reading02-08-12 S Referred to Senate Committee on RulesNote: SHELL BILL

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REPORT OF CEASE AND DESIST LETTERS ISSUEDThese letters direct the individual or business to cease violations of laws or rules

ENTITY TYPE OF VIOLATION CITY DATE ISSUED Michael Wood Motor Home Owasso 1-05-12

CLOSED COMPLAINT REPORTThese are complaints that have been resolved one way or another. They do not necessarily reflect any wrongdoing on the part of dealers.

ENTITY CITY COMPLAINT RESOLVEDApple Housing Oklahoma City Contract 1/27/2012Batman’s Auto Sales Tulsa Miscellaneous 1/10/2012BMW Motorcycles of Oklahoma Oklahoma City Miscellaneous 1/17/2012Bob Howard Automall Oklahoma City Title 1/11/2012Bob Howard Automall Oklahoma City Mechanical 1/30/2012Bob Howard Toyota Oklahoma City Title 1/17/2012Broken Arrow Credit World Auto Sales Broken Arrow Contract 1/30/2012Cars Plus Oklahoma City Title 1/27/2012Cherokee Home Center Tahlequah Miscellaneous 1/30/2012Credit Connection Auto Sales, Inc. Midwest City Mechanical 1/05/2012Dandy Homes, Inc. Oklahoma City Miscellaneous 1/20/2012David Stanley Chevrolet, Inc. Oklahoma City Miscellaneous 1/20/2012David Stanley Chevrolet, Inc. Oklahoma City Contract 1/24/2012Durant Auto Mart Calera Mechanical 1/20/2012Front Row Auto Sales Lawton Mechanical 1/18/2012Hillside Motors, LLC Marlow Contract` 1/30/2012Hudiburg Chevrolet, LLC Midwest City Contract 1/05/2012James Hodge Hyundai, Inc. Muskogee Mechanical 1/24/2012Kars & Kars Sales and Leasing II/OKC, LLC Bethany Contract 1/30/2012King’s Auto Sales Oklahoma City Contract 1/04/2012Metro Auto Wholesale Tulsa Title 1/18/2012Montoya Motors Oklahoma City Contract 1/31/2012Montoya Motors Oklahoma City Title 1/24/2012Norris Auto Sales & Service, LLC #2 Oklahoma City Title 1/05/2012North Point Auto Sales Nowata Miscellaneous 1/09/2012Saturn of Edmond, LLC Edmond Title 1/11/2012Synergy Motorworks, LLC Tulsa Title 1/09/2012

LICENSES SUSPENDED OR ABANDONEDIn other action, the following license was suspended or abandoned:

I-44 Auto Center, Tulsa: Out of business per Katherine Karney

Chairman John Longacre convened the Feb. 14 session of the Used Motor Vehicle and Parts Commission.

Following roll call and approval of the Jan. 17 meeting minutes, Longacre called on director John Maile for the director’s report. Maile called the commissioners’ attention to the expenditure report included in the agenda packet, then introduced Roy Dockum, director of the Motor Vehicle Commission. Dockum was present to participate in the discussion and consideration of needed revisions to the Spot Delivery form used in some deals involving the financing of motor vehicles. Maile also reported that legislative liaison Curt Rogow was at the Capitol representing their interests in current legislation.

Following a vote affirming receipt and approval of the expenditures report, Longacre called on deputy director Kenneth Whitehead for his report. Whitehead reported two informal hearings had been held in the past month. One was resolved without issue and the other resulted in Jake’s Tire & Auto Sales being fined $500 for employing an unlicensed salesperson.

Whitehead’s written report indicated commission staff had issued one cease and desist letter and completed 47 inspections during the period. Staff also handled 27 written complaints – eight were title issues, eight had to do with contract violations, five were related to mechanical issues and six were complaints of a miscellaneous nature. The education program had 18 in attendance.

Applicants for a new license and dealers involved in significant rule violations are required to attend the commission’s education program as a part of acquiring or maintaining a state license. The education sessions are being held at the commission conference room at 2401 NW 23, Oklahoma City. Classes are held the Monday prior to the commission meeting on the second Tuesday of each month. The sessions run from 9 a.m. to about noon or 1 p.m. You are asked to make reservations so staff can be prepared to accommodate you. Call the commission at 405-521-3600 to make reservations.

In other business, the commissioners approved a consent agreement staff worked out with Nanettee Yant, on behalf of Poor Man’s Auto Emporium. The agreement resulted in a fine of $1,500 for that licensed used motor vehicle dealer having employed two unlicensed salespeople.

The commissioners approved changes to the Spot Delivery form that had, during other sessions, been considered as needed in order to protect the public as well as the dealer in those transactions in which a motor vehicle is being used by the consumer while the dealer is awaiting approval of the consumer’s loan. The new form is available from OIADA/ADR 405-232-2947.

BY ADR STAFF

Used Motor Vehicle and Parts Commission Report

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NHTSA RECALLS BY ADR STAFF(SOURCE: WWW.NHTSA.GOV)

Dodge Charger, 2011-2012NHTSA ID number: 12V042000Service brakes, hydraulic: Antilock: Control unit/moduleUnits affected: 9,688Chrysler is recalling certain model year 2011 and 2012 Dodge Charger police vehicles. The low beam headlamps of some vehicles could fail due to an overheated bulb harness connector. Other vehicles may lose ABS/ESC system function due to an overheated power distribution center. This could lead to loss of visibility and/or braking ability, increasing the risk of a crash. Chrysler will notify owners and dealers will replace the headlamp jumper harnesses and relocate the ABS/ESC system fuse within the power distribution center, free of charge. The safety recall is expected to begin during March 2012. Owners may contact Chrysler at 1-800-853-1403. Chrysler’s recall number is M01.

Ford F-53, 2011-2012Ford F-59, 2011-2012NHTSA ID number: 12V035000Power train: Automatic transmission: gear position indication (PRNDL)Units affected: 13,239Ford is recalling certain model year 2011 F-53 and

F-59 stripped chassis vehicles manufactured from Feb. 1, 2010 through July 1, 2011, and certain model year 2012 F-53 and F-59 stripped chassis vehicles manufactured from May 10, 2011 through Oct. 25, 2011. The PRNDL cable may break at the attachment to the transmission control selector arm assembly mounted on the steering column. If the cable breaks, the transmission gear indicator in the PRNDL display in the instrument panel will remain in the first gear position regardless of the gear selected. An incorrect gear indication in the instrument panel may prevent drivers from knowing if they are in park or reverse, increasing the risk of a crash. Ford will notify owners and dealers will replace the transmission selector arm assembly and the PRNDL cable assembly free of charge. The safety recall is expected to begin on or about March 2, 2012. Owners can contact the Ford Motor Company customer relationship center at 1-866-436-7332. Ford’s safety recall number is 12S27.

Maserati Granturismo, 2008-2010 NHTSA campaign ID number: 12V024000 Component: Exterior lighting: Tail lights Potential number of units affected: 1,768 Maserati is recalling certain model year 2008-2010 Granturismo and Granturismo convertible vehicles manufactured from June 2008 to March 2010. Due

to a faulty lamp assembly, the rear lights (both tail and brake) may fail. Tail and/or brake lamp failure could lead to reduced vehicle visibility, increasing the risk of a crash. Maserati will notify owners, and dealers will inspect and replace affected rear tail lamp assemblies free of charge. The safety recall is expected to begin during February 2012. Owners may contact Maserati at 1-201-816-2600. Maserati’s safety recall number is 198.

Honda Ridgeline, 2011-2012 NHTSA campaign ID number: 12V025000 Component: Tires Potential number of units affected: 206Honda is recalling certain model year 2011-2012 Ridgeline vehicles manufactured from Aug. 25, 2011, through Nov. 29, 2011. The spare tire installed in affected vehicles may not match the information on the vehicle’s tire information placard. Therefore, these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard No. 110, “Tire Selection and Rims for Motor Vehicle.” An incorrect label could lead to improper tire inflation, which could result in a tire failure, increasing the risk of a crash. Honda will notify owners, and dealers will inspect the spare tire and if necessary, exchange the spare tire assembly or replace the tire information placard free of

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BY ADR STAFF(SOURCE: WWW.NHTSA.GOV)

charge. The safety recall is expected to begin on or before Feb. 10, 2012. Owners may contact Honda at 1-800-999-1009.

Toyota RAV4, 2011 NHTSA campaign ID number: 12V029000 Component: Air bags: Side/windowPotential number of units affected: 427 Toyota is recalling certain model year 2011 RAV4 vehicles, manufactured from Nov. 24, 2011, through Dec. 19, 2011. In the curtain shield airbags, propellant with the incorrect specification was used for the initiator assembled in the airbag inflator. In this condition, the inflator may not perform properly, causing one or both curtain shield airbags to not deploy. In the event of a crash, the airbags may not deploy and will not be able to properly protect an occupant, increasing the risk of injuries. Toyota will notify owners, and dealers will check the vehicle identification number to identify the curtain shield assemblies and replace the assemblies as necessary with new ones free of charge. The safety recall is expected to begin early March 2012. Owners may contact Toyota at 1-800-331-4331.

Acura MDX, 2012 Honda Accord, 2012 Honda Civic, 2012 Honda Crosstour, 2012 NHTSA campaign ID number: 12V030000 Component: Air bags: Side/window Potential number of units affected: 974 Honda is recalling certain model year 2012 Accord, Crosstour, Civic and Acura MDX vehicles. The driver-side or passenger-side side curtain airbag inflator may not have been manufactured

according to correct specifications. In the event of a crash, the side curtain airbag may fail to deploy, increasing the risk of injury. Honda will replace the driver’s side or passenger’s side side curtain airbag as needed, free of charge. The safety recall is expected to begin on or about Feb. 10, 2012. Owners may contact Honda Customer Service at 1-800-999-1009.

Nissan Altima, 2012Nissan Versa, 2012NHTSA ID number: 12V055000Air bags: Side/windowUnits affected: 976Nissan is recalling certain model year 2012 Altima and Versa vehicles. These vehicles may be equipped with side curtain air bags that contain an incorrect propellant mixture for the initiator component used, resulting in insufficient output of compressed gas. The side curtain air bags may not deploy, increasing the risk of injury. Nissan will notify owners, and dealers will replace one or both side curtain air bag modules as necessary, free of charge. The safety recall is expected to begin on Feb. 27, 2012. Owners may contact Nissan customer service at 1-615-725-1000.

Subaru Legacy, 2012Subaru Outback, 2012NHTSA ID number: 12V047000Air bags: Side/windowUnits affected: 381Subaru is recalling certain model year 2012 Legacy and Outback vehicles, manufactured from Dec. 1, 2011 through Dec. 23, 2011. These vehicles may be equipped with side curtain air bags that contain

an incorrect propellant mixture for the initiator component used, resulting in insufficient output of compressed gas. The side curtain air bags may not deploy, increasing the risk of injury. Subaru will notify owners, and dealers will replace one or both side curtain air bag modules, free of charge. The safety recall is expected to begin during or before early April 2012. Owners may contact Subaru at 1-800-782-2783. Subaru’s recall number is WVZ-36.

Mazda Tribute, 2001-2002NHTSA ID number: 12V016000Service brakes, hydraulic: Antilock: Control unit/moduleUnits affected: 52,390Mazda is recalling certain model year 2001-2002 Mazda Tribute vehicles manufactured from April 20, 2000 through July 19, 2002. The brake master cylinder reservoir cap can leak brake fluid. If brake fluid leaks, it could come in contact with the antilock brake system (ABS module wiring harness connector). Corrosion may develop in the electrical connector leading to melting, smoking or possible fire. Mazda will notify owners, and dealers will replace the vehicle’s brake master cylinder reservoir cap and modify the ABS electrical system, free of charge. Until the repair has been performed, vehicle owners should park their vehicles outside. The safety recall is expected to begin during February 2012. Owners may contact Mazda at 1-800-222-5500. Mazda’s safety recall campaign number is 6712A.

For more information, visit www.nhtsa.gov or www.safercar.gov.

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Latest NMB Partner Provides Emissions Diagnostics

PH2 Solutions has joined NIADA’s National Member Benefit program, offering the association’s members its award-winning PH2 Validator emissions diagnostic technology for a $259 savings with multiple payment plan options.

The diagnostic software of choice for dealers and their on-site staff rapidly identifies emission-related issues on virtually all 1996 and newer vehicles, helping save time and resources on “Check Engine Light” maintenance and repairs, emission inspection compliance, fuel consumption, vehicle

acquisition and remarketing, and reducing customer “comebacks.”

”NIADA is delighted to be working with PH2 Solutions in assisting our members to resolve ‘Check Engine Light’ and vehicle emissions issues,” NIADA vice president of member services Scott Lilja said. “NIADA is confident PH2 Solutions will be a tremendous hit with our members who have vehicle service operations as well as those that outsource.”

The PH2Validator earned first place in SEMA’s Best New Tools and Equipment Products category for 2012, and Motor magazine named it one of its Top 20 Tools for 2011.

PH2 Validator’s easy-to-use application was developed specifically to address independent repair shop challenges such as OBDII false code problems, no code faults, costly long drive cycles and other emissions-related repairs. The diagnostic software redefines conventional factory drive cycles to 10 miles or less by engaging the on-board computer (PCM) with its patented automated repetitive requests of all supported monitors simultaneously, resulting in rapid monitor

completion if conditions are met.If readiness conditions are met, the

monitors complete. If they are not met, driving beyond 10 miles will not change the outcome, and the PH2Validator’s automated data stream analysis provides technicians with a real-time record of clues as to why by simultaneously and continuously capturing out-of-range operating values and prioritizing them by seriousness.

Exclusive NIADA member-only pricing is also available to repair shops handling member repairs.

“We are honored to partner with NIADA and even more excited to offer members this game-changing technology that truly makes life easier for dealers, technicians and service centers, affording them the ability to move inventory faster and more efficiently,” PH2 Solutions president and CEO Mark L. Scotland said.

FOR MORE INFORMATION, CONTACT [email protected], AND TO ORDER, VISIT WWW.PH2SOLUTIONS.COM/NIADA0818 OR CALL (973) 902-5517.

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February Sales Take a Leap Up

The used-car market got a nice bump from 2012 being a leap year. Otherwise, CNW Marketing Research suggested February’s used sales would have been rather static.

CNW forecast 1.95 million used sales for the month, an 8.1 percent hike from February 2011 on an unadjusted basis.

“Adjusted, however, sales would barely break even with last year,” CNW president Art Spinella said.

CNW expected franchise dealers to move 650,000 used units for the month for a 5 percent gain over February 2011, while independents were projected to fall 4.2 percent, with 640,000 used sales. The firm predicted a 27.8 percent spike in private-party sales, at 658,000 units.

January showed larger vehicles grabbing more attention from consumers, CNW said. The market shares for small pickups (10.84 percent) and full-size pickups (13.06 percent) were either at or close behind their highest levels in two years, while small car market share dropped dramatically.

But don’t count on those trends to last, Spinella said.“Even under threat of higher fuel bills, consumers

are still gravitating toward larger vehicles,” Spinella said. “Small cars, for example, took about 16 percent of the used market in January, down two full points from year ago and seven points lower than in September of last year. Expect that to change as gas prices move upward. … The true test will be in April.”

While February sales seemed strong, the number of buyers waiting to make a purchase has gone down. CNW projected pent-up demand for the month to be only 90.8 percent of its level a year ago. Meanwhile, in January, it was up 6.2 percent year-over-year.

“The average delay in making an acquisition among those who have postponed a purchase is around 2.4 months, statistically no different than it was in January but down from February 2011’s three months,” Spinella said. “And while it’s too early to make much of the data, the share of postponers who still plan to buy a used car has dipped to 94.9 percent, compared to 95.17 percent in January.”

For franchise dealers, February transactions prices were up 4.28 percent from February 2011 at $11,090, a 2.17 percent rise from January. Asking prices were up 3.21 percent from last year at $11,652.

Independents’ transaction prices averaged $9,784, up 10.93 percent from 2011 and 0.72 percent from January. Asking prices for independent dealers averaged $10,516, an 11.07 percent hike from a year ago and a 0.31 percent rise from January.

“After concerns that the used-car market price slide among dealers would continue into 2012, February’s pricing has taken a dramatic turn to the positive,” Spinella said.

BY AUTO REMARKETING

click on compliance channel

View all of the latest compliance issues for

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COMPLIANCE

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License Applicants ApprovedThe following applicants, as listed in the agenda for the Used Motor Vehicle and Parts Commission regular meeting on Feb. 14, 2012, were considered for issuance of used motor vehicle dealer licenses and wholesale vehicle dealer licenses. The applications were approved pending compliance with the state licensing laws and rules, and subject to final approval by commission staff.

Used Dealer Licenses COMPANY NAME CITY 1st School Bus Sales Timothy Kirk Tulsa Jason Petty Matthew Browne**A K Cars Export, LLC Aymen Kassaimh Stillwater Mohamed ShehataAltus Motorsports George Nassaney Altus Janette NassaneyAmer Camaro & Firebird Auto Gary Berlin Warr AcresAutomotive Management & Sales Steven Hightower TulsaBee Auto LLC Araseli Brito Oklahoma CityBest Way Auto, Inc. Tarek Samara Yukon Amro SamaraBML Motors, Inc. David Kim Oklahoma CityBogle Classic Car Sales Gale L. Bogle Tahlequah*C & G Autos Gary Sorrels Yukon(Two on a lot with Redneck Autos)Car Search Auto Sales #2 Tyson Heltzen Oklahoma CityCars On The Move, Inc. Shane A. Sills WagonerChampion Auto Sales, LLC Homayoon Ahmadirahdari Oklahoma CityEdmond Equipment, Inc. Michael D. Kelly MarlowFasking Performance Chung Wu NormanFrontline Auto Ernesto Reyna Oklahoma CityGeneration Auto Sales, Inc. Tiffany Claunch LexingtonHammock Motor City Ronald Hammock Ponca CityHighway 11 Auto Sales Don Dobbs SperryHudiburg Nissan, LLC Paul Hudiburg Oklahoma City David HudiburgHudiburg Subaru, LLC David Hudiburg Oklahoma City Steve HudiburgInmotion Auto Sales, LLC Darryl Brown TulsaJ & R Environment Truck Sales Tim Barr Oklahoma City Rodney WomackJaygeng Motorvehicle Associates Jay Geng ColbertJerry’s Vehicles Unlimited Jerry Bryan OkemahJS & P Auto Leasing & Sales, Inc. Bryan Berman Glenpool Collin SharpMeyer Truck Center, Inc. Mary Meyer Oklahoma City Randall MeyerMontoya Motors Armond Oliphant Oklahoma CityMuscle Car Motors, LLC Jack Sadler TulsaNew Deal Auto Sales Patricia Henderson SapulpaNorris Auto Sales & Service, LLC Timothy Norris MustangNu-Way Auto Sales, LLC Carl Burchett, Jr. LexingtonOK Auto Sales Freemont Nebling, III AltusPerformance Cycle Gerald Tims BethanyPhoenix Rising Motors, LLC Jon England ClintonPristine Auto Sales of Tulsa Eric Harper TulsaRed Dirt Auto Sales, LLC James Manuel StillwaterR-K Motors, Inc. Anne H. Rudy Sand Springs Elva P. Rudy John H. Rudy Mary Rudy LuttrellR-Mac Auto, LLC Ronald Gene McVey Norman*Redneck Autos James Stovall Yukon(Two on a lot with C & G Autos)Simple Auto Sales Sandra K. Bahe Savanna Robert BaheSooner RV Brett E. Clark PurcellSpeedline Auto Center II, LLC Katherine Karney Tulsa Robert Cummings Steve AdamsStateline Truck Center Dell Wood ColbertTenkiller Classic Cars John B. Montgomery Gore James Caleb MontgomeryThe Auto Bin, LLC Kelly Berger Broken ArrowThrifty Motors Dan Lafferty CatoosaTJ Motors Mohammadreza Tajbakhsh Oklahoma CityTrading Zone Auto Sales Shelby Townsend TecumsehTriple T Equipment & Auto Joan Kretchmar Claremore Randy KretchmarTruck Country Donald Jackson MuskogeeUnited Auito Sales #2 Sam Salameh Warr Acres Mohamad N. SalameV8 Choppers, LLC Stan Hughes MiamiVIP Auto, Inc. Aaron Daniel Johnson CarnegieVIP Auto, Inc. II Aaron Daniel Johnson Oklahoma CityWilderom Motors Tulsa Shawn Wilderom TulsaWillie’s Used Cars William Ray Willson Earlsboro

*Special Circumstances**Subject to approval of financial information

Wholesale Dealer Licenses COMPANY NAME CITY Imtz Auto Sales Ahmad Ali Ismail TulsaMove In Motors, LLC George Eid Broken ArrowTM Auto Wholesale Thomas Arthur Meyer Yukon

CONSUMER COMPLAINT FORM

Stars GPSWe are pleased to include Stars GPS as an OIADA Branded Provider of vehicle tracking and recovery solutions for our industry. Stars GPS specializes in providing the best technology with personal service, training and support for the independent and franchise dealership. For more information, go to www.stars-gps.com, email [email protected] or call 877-828-4770.

David L. Nunn, Esq.David L. Nunn heads the Edmond, Okla., law office of David L. Nunn, P.C., which serves the greater metro Oklahoma City area. We are pleased to include Mr. Nunn as an OIADA Select Provider of legal services to the industry. David L. Nunn, P.C. is located at 17 East First Street, Edmond, OK 73034. He can be reached at 405-330-4053 or by fax at 405-330-8470. Mr. Nunn is included as a Select Provider not because he asked to be, but because we know the quality of service that he provides to dealers.

B & C Auto Transport, Inc.B & C Auto Transport takes pride in providing fast, dependable transport service to auto dealers nationwide. We are pleased to include B & C Auto Transport, Inc. as an OIADA Select Provider of transport services for auto dealers nationwide because of its record of providing outstanding service at reasonable rates. Call 405-381-0114 or 405-641-6057 (cell), or email [email protected].

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License Applicants ApprovedThe following applicants, as listed in the agenda for the Used Motor Vehicle and Parts Commission regular meeting on Feb. 14, 2012, were considered for issuance of used motor vehicle dealer licenses and wholesale vehicle dealer licenses. The applications were approved pending compliance with the state licensing laws and rules, and subject to final approval by commission staff.

Used Dealer Licenses COMPANY NAME CITY 1st School Bus Sales Timothy Kirk Tulsa Jason Petty Matthew Browne**A K Cars Export, LLC Aymen Kassaimh Stillwater Mohamed ShehataAltus Motorsports George Nassaney Altus Janette NassaneyAmer Camaro & Firebird Auto Gary Berlin Warr AcresAutomotive Management & Sales Steven Hightower TulsaBee Auto LLC Araseli Brito Oklahoma CityBest Way Auto, Inc. Tarek Samara Yukon Amro SamaraBML Motors, Inc. David Kim Oklahoma CityBogle Classic Car Sales Gale L. Bogle Tahlequah*C & G Autos Gary Sorrels Yukon(Two on a lot with Redneck Autos)Car Search Auto Sales #2 Tyson Heltzen Oklahoma CityCars On The Move, Inc. Shane A. Sills WagonerChampion Auto Sales, LLC Homayoon Ahmadirahdari Oklahoma CityEdmond Equipment, Inc. Michael D. Kelly MarlowFasking Performance Chung Wu NormanFrontline Auto Ernesto Reyna Oklahoma CityGeneration Auto Sales, Inc. Tiffany Claunch LexingtonHammock Motor City Ronald Hammock Ponca CityHighway 11 Auto Sales Don Dobbs SperryHudiburg Nissan, LLC Paul Hudiburg Oklahoma City David HudiburgHudiburg Subaru, LLC David Hudiburg Oklahoma City Steve HudiburgInmotion Auto Sales, LLC Darryl Brown TulsaJ & R Environment Truck Sales Tim Barr Oklahoma City Rodney WomackJaygeng Motorvehicle Associates Jay Geng ColbertJerry’s Vehicles Unlimited Jerry Bryan OkemahJS & P Auto Leasing & Sales, Inc. Bryan Berman Glenpool Collin SharpMeyer Truck Center, Inc. Mary Meyer Oklahoma City Randall MeyerMontoya Motors Armond Oliphant Oklahoma CityMuscle Car Motors, LLC Jack Sadler TulsaNew Deal Auto Sales Patricia Henderson SapulpaNorris Auto Sales & Service, LLC Timothy Norris MustangNu-Way Auto Sales, LLC Carl Burchett, Jr. LexingtonOK Auto Sales Freemont Nebling, III AltusPerformance Cycle Gerald Tims BethanyPhoenix Rising Motors, LLC Jon England ClintonPristine Auto Sales of Tulsa Eric Harper TulsaRed Dirt Auto Sales, LLC James Manuel StillwaterR-K Motors, Inc. Anne H. Rudy Sand Springs Elva P. Rudy John H. Rudy Mary Rudy LuttrellR-Mac Auto, LLC Ronald Gene McVey Norman*Redneck Autos James Stovall Yukon(Two on a lot with C & G Autos)Simple Auto Sales Sandra K. Bahe Savanna Robert BaheSooner RV Brett E. Clark PurcellSpeedline Auto Center II, LLC Katherine Karney Tulsa Robert Cummings Steve AdamsStateline Truck Center Dell Wood ColbertTenkiller Classic Cars John B. Montgomery Gore James Caleb MontgomeryThe Auto Bin, LLC Kelly Berger Broken ArrowThrifty Motors Dan Lafferty CatoosaTJ Motors Mohammadreza Tajbakhsh Oklahoma CityTrading Zone Auto Sales Shelby Townsend TecumsehTriple T Equipment & Auto Joan Kretchmar Claremore Randy KretchmarTruck Country Donald Jackson MuskogeeUnited Auito Sales #2 Sam Salameh Warr Acres Mohamad N. SalameV8 Choppers, LLC Stan Hughes MiamiVIP Auto, Inc. Aaron Daniel Johnson CarnegieVIP Auto, Inc. II Aaron Daniel Johnson Oklahoma CityWilderom Motors Tulsa Shawn Wilderom TulsaWillie’s Used Cars William Ray Willson Earlsboro

*Special Circumstances**Subject to approval of financial information

Wholesale Dealer Licenses COMPANY NAME CITY Imtz Auto Sales Ahmad Ali Ismail TulsaMove In Motors, LLC George Eid Broken ArrowTM Auto Wholesale Thomas Arthur Meyer Yukon

JUST SO YOU KNOWDid you ever wonder what the UMV&PC complaint form asks for? Here it is:

STATE OF OKLAHOMAUSED MOTOR VEHICLE AND PARTS COMMISSION

2401 NW 23rd Street, Suite 57Oklahoma City, OK 73107Telephone: (405) 949-2626


This form MUST BE COMPLETED in BLUE or BLACK INK. Please TYPE or PRINT CLEARLY and LEGIBLY: Purchaser (Buyer) Seller (Dealer)

NAME _____________________________________________ NAME ____________________________________________

ADDRESS _________________________________________ ADDRESS _________________________________________

CITY ______________________________________________ CITY _____________________________________________

ST __________________ ZIP __________________ ST _________________ ZIP __________________

DAYTIME PHONE ___________________________________ PHONE ___________________________________________

VEHICLE INFORMATION

YEAR______ MAKE_______________ MODEL_________________ TAG#_____________ VIN#___________________________

DATE OF VEHICLE SALE________________ ODOMETER READING_____________________________

DID YOU RECEIVE THE FOLLOWING PAPERWORK? (PLEASE ANSWER YES OR NO)

1. CERTIFICATE OF TITLE?_________ IF YES, WHAT DATE?_____________________________2. BILL OF SALE?__________3. FTC (FEDERAL TRADE COMMISSION) BUYER’S GUIDE?_________________4. WARRANTY DISCLAIMER?____________5. FEDERAL ODOMETER STATEMENT?_________________5. DID THE DEALER FINANCE THE TRANSACTION?_____________7. DID YOU RECEIVE A COPY OF THE FINANCE AGREEMENT?_____________

ttIf your complaint relates to false or misleading advertising, please attach a copy of the advertisement, and include the name of the publication it was printed in and the date it ran.tt

Editor’s note: The back side of this form provides a space for the consumer to type or print the complaint on the form, and provide what they would consider a satisfactory solution to the complaint. Then they must certify that the information they provide is true and correct, then authorize the dealer to release all records pertaining to the complaint, and sign the form. We hope this is helpful to you. OIADA/ADR staff.

PROCEDURE FOR MEDIATING CONSUMER COMPLAINTS1. Discuss the situation with the dealer before you file the complaint to allow the dealer the opportunity to resolve the problem2. Complaints must be submitted on this form. Fill out the form as completely as possible. Be sure to complete both sides of the form. WE DO NOT ACCEPT FAXED COPIES OF COMPLAINTS. Attach copies of all the paperwork relating to the transaction or vehicle in question. DO NOT SEND THE ORIGINALS OF ANY OF YOUR PAPERWORK.3. A copy of your complaint will be mailed to the dealer. The dealer will be given ten (10) days from the posting of the letter to submit a response.4. A Commission investigator will contact you once a response has been received from the dealer. Please allow 3 to 4 weeks for the investigation to be completed. A solution to the problem between the parties will be sought by the Commission through the investigator. The Commission will attempt to mediate a solution. If no agreement can be reached, the complainant may wish to seek the advice of an attorney or take the case to court.

THERE IS NO FEE FOR THE MEDIATION OF COMPLAINTS THROUGH THIS AGENCY.


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The National Highway Traffic Safety Administration (NHTSA) is expanding an investigation of side airbags that could fail to deploy.

On Jan. 31, Toyota Motor Corporation notified the NHTSA it had decided certain vehicles it manufactured contained a safety-related defect. Toyota said certain model year 2011 RAV4 vehicles, manufactured from Nov. 24 through Dec. 19, 2011, contain side curtain airbag inflators with an incorrect propellant specification.

In this condition, the inflator might not perform properly, causing one or both curtain shield airbags to not deploy in the event of a crash. That could increase the risk of injury to an occupant. NHTSA assigned recall number 12V-029 to this matter.

NHTSA received similar reports from other vehicle manufacturers. Specifically, in a letter dated Jan. 31, Honda Motor Co., Ltd. notified

the NHTSA of the same defect it determined to exist in certain model year 2012 Honda Accord and Honda Crosstour vehicles. That recall was assigned recall number 12V-030.

In a letter dated Feb., 2012, Subaru of America, Inc. notified the NHTSA of the same defect determined to exist in model year 2012 Legacy and Outback vehicles manufactured from Dec. 1 through Dec. 23, 2011. That recall was assigned recall number 12V-047. In a letter dated Feb. 13, Nissan North Ameri-can, Inc. notified the NHTSA of the same defect determined to exist in certain model year 2012 Nissan Versa and Altima vehicles manufactured from Nov. 21 through Dec. 21, 2011. That recall was assigned recall number 12V-055.

The four manufacturers – Toyota, Honda, Subaru, and Nissan – identified Autoliv Americas as the manufacturer of the affected airbag propellant. In response to an inquiry

from NHTSA, Autoliv identified a number of additional vehicle manufacturers, including Ford Motor Company, Chrysler Group, Gen-eral Motors, Suzuki and Kia, as customers receiving potentially affected airbag prod-ucts. It has not been determined at this time whether any recalls of vehicles from those manufacturers will be necessary.

In that same response, dated Feb. 17, Autoliv documented its internal investigation of the manufacture of the subject airbag prod-ucts. It also documented a series of in-house test results that included reproducing the errant manufacturing process.

Based on those test results, Autoliv did not disagree with the course of action proposed by Toyota and Honda. Autoliv did, however, disagree with the conclusions reached in the Subaru and Nissan reports to NHTSA, and does not believe those particular products contain a safety defect.

BY ADR STAFF

NHTSA Expanding Airbag InvestigationA I R B A G M A N U F A C T U R E R D I S A G R E E S I N P A R T

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JANUARY 2012

The following list includes members who joined or renewed their OIADA/NIADA membership during January, 2012. We express our sincere appreciation for all the members of OIADA and we extend our invitation to dealers who are not members. A membership application can be found in this newsletter. We urge you to be an active part of maintaining a strong and effective used car industry voice in the legislative and regulatory environment. With the current administration’s attitude toward the motor vehicle sales industry, we need that voice more than ever!

Chris Goad, President

Company Name Joined City

R Taylor Auto Sales, Inc. Carl Taylor 1993 Oklahoma CityR Buck Myers Motors, Inc. Matt Myers 1993 ClaremoreR JS Wholesale Autos Jeff Skaggs 1997 Sand SpringsR Elite Motors, Inc. Earl Cook 2006 SayreR Bob Moore Mazda Bob Moore Mazda 2004 Oklahoma CityR Smalygo Auto Wholesale, Inc. Kelly Smalygo 2007 ClaremoreR Creek East auto Auction Mr. Ed’s Auction Company, Inc. 2000 CatoosaR Red Line Auto Sports, Inc. Fred Murfin 2001 WilsonR Greenwood Motors Rick Gore 2010 Oklahoma CityR Martin-Dunn Country Auto Sales, Inc. Joe Martin, II 1999 WisterR Frasher Wholesale Bob Frasher 2000 Oklahoma CityN Insurance Auto Auctions, Corp. Thomas O’Brien 2012 Westchester, ILR Choctaw Autoplex, LLC Mike West 2004 Choctaw

OIADA NEW AND RENEWAL MEMBERS

With regard to OIADA service to the industry, we know this has been a rough time for many business-es – including the motor vehicle sales business as well as the association business – so we have some good news and some bad news for you.

The good news is there is enough money for the association to continue our services to the industry. The bad news is it’s still out there in your pockets.

OIADA/NIADA membership dues are only $295 for a full year’s membership. That’s all that we ask of you. The money you invest for this service is returned to you with dividends through the generos-ity of auctions and other vendors who participate in the OIADA V.I.P. card program, and the 10 percent discount members receive when they purchase their forms and accessories from OIADA.

It is the desire of the OIADA board and staff to continue to provide a multitude of services and member benefits to help to keep you in compliance with federal and state laws and contribute to your success as a dealer. For your convenience, there is a membership application in this newsletter.

Our Mission: Your Success.

Service for the Industry

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Join OIADA online at http://www.e-oiada.com/join

OIADA Can Help MakeYour Path

Certain.Oklahoma Independent Automobile

Dealers Association

For $295 You Get Membership In Both OIADA and NIADAPlus All Of The Following Benefits And Even More That Are Not Listed!

Programs for Extra Profit• Access to Insured Warranty & Service Agreements• How to Structure a Related Finance Company• Networking Opportunities With Other Dealers

Programs to Help Keep Profit• NADA Guide Books – single copy or subscription•• Black Book Guide Books – single copy or subscription• Dealer Bonds - Salesmen’s Bonds• Discount on complete line of State approved Business Forms• Discount on Dealer supplies National Dealer Network Skip Tracing Contacts

PublicPublications• OIADA Magazine/Newsletter• Federally Required Safeguards Policy Document• Federally Required Red Flags Rules Policy Documents• IRS Audit Technique Guide For the Independent Used Car Dealer• Current Industry Information•• Legislative Alerts• NIADA Monthly Magazine• NIADA Annual Buyer’s Guide

Professional Development• Dealer Educational Seminars• Certified Master Dealer Program• Regional Professional Development Compliance Seminars• Free Access to NIADA.tv Training at Your Business • Access to IndependentDealer.com where dealers go for answers answers• NIADA Membership and Window Decal• OIADA “Symbol of Integrity” Logo, Window Decal and Membership Plaque• NIADA Annual Convention and Trade Show• Individual Assistance by phone• Code of Ethics

RRepresentation• State Lobby and Consultant Services• State Legislative and Regulatory Tracking and Reporting• Federal Lobby and Consulting Services• Federal Legal, Legislative and Regulatory Tracking and Reporting• Used Motor Vehicle and Parts Commission Liaison•• Oklahoma Tax Commission Liaison• Oklahoma Department of Consumer Credit Liaison• Full Time Professional Staff to assist you when problems arise

Members Can Also Sign Up For Automotive Dealers Rewards From

Automotive Dealers Resource Of Oklahoma and Earn Money Saving Coupons For

Their Future Purchases.Visit http://rewards.buyadr.com/

Automotive Dealers Rewards is open to Members and Non-Members Who Purchase Automotive Dealers Rewards is open to Members and Non-Members Who Purchase From ADR of Oklahoma

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1

OIADA/ADR ORDER FORM

Date of Order:___________________ Residential Delivery? yes_____ no_____

Requested By: ____________________________________________________

Visa Master Card Discover Amex 3 or 4 digit code # ________________

Credit Card Billing Address:_______________________________________________________________

Expiration Date:________/_________ Signature:______________________________________________

Ship To: ___________________________________________________________________________________ _____Ph.__________________________ Name ________________________________________________________________________ _______________ Fax:_________________________ Physical Address (no P.O. Boxes) _____________________________________________________________________________________________________________________ City, State, Zip Code

Item # Item Description Price No. Total All Items in packs of 100 unless otherwise noted $ $

F01 Dealer Warranty Disclaimer 10.00 F02 Odometer Disclosure Statements (3 part) 11.00 F03 30 Day Notice (Title Receipt – (1 part perforated)) 7.00

F04 Buyers Guides – FTC AS IS (2part) 15.00 F04 A Buyers Guides – FTC AS IS 4 seal (2 part) 50.00

F 04 B Buyers Guides – FTC AS IS Spanish (2 part) 18.00 F04.1 Vehicle Inventory Record (bound book per each) 14.00 F05 Retail Purchase Agreement (3 part) 25.00

A 127 Wholesale Buyers Order (50) 13.00 F05.0 Vehicle Inspection Form (2 part) 17.00

F05.1 Privacy Notice – Special Order Required – email [email protected] F05.3 Repo Notice of Sale (2 part) 17.00

F05.4 Repo Calculation of Return (2 part) 17.00 F06 Multiform (Retail Buyers Order – Bill of Sale – 3 part) (short form) 25.00

F06.1 Multiform (Retail Buyers Order – Bill of Sale – 2 part) (short form) 18.00 F06.2 Retail Purchase Agreement – Multiform – 3 part (long form) 60.00

F07.1 Poly Stock Window Stickers (per 250) 30.00 F08 Retail Installment Contract (4 part) 55.00 F08.3 Simple Interest Contract – Legal size (5 part) 65.00

F09 Lien Entry Form MVD-21-A (pad of 100) 10.00 F09.0 Agreement to Provide Insurance 40.00

F10.3 We Owe Forms (2 part) 17.00 F11 Used Car Sales Envelope – Deal Jacket (9”X12” Tan – Printed on both sides) 25.00 F11.1 Used Car Sales Envelope – Deal Jacket (9”X12” Green) 25.00

F13 Credit Application 23.00 F13.2 Personal Loan Applications 23.00

F13.1 Spot Delivery Form 18.00 F14.6 Consignment Forms 15.00 F14.4 Certificate of Ownership 25.00

F14.5 Dismantler’s Forms 25.00

F07 B Stock Window Stickers – Blue___; White___; Green___; Red___; Red Blank___: Yellow__ 11.00 F10 Rigidene Key Tags – (Bag 125) White or Yellow 11.00

F10.0 Rigidene Key Tags – (Box 500) White or Yellow 40.00 F10.1 Top Stripe Key Tags – (Box 250) Black, Green, Orange, Red Blue, or Pink 20.00 F10.2 Protek Key Tags (Box 250) Blue, Red, White, Green, Orange, Tan, Gray, or Yellow 23.00

F10.3B EIT (Service Department) Key Tags (Pack of 1,000) 23.00

F14 Plastic Folders for FTC AS IS (Pack of 25) 21.00 F14.1 Plastic Folder Kits for FTC AS IS (Box of 100) 58.00

S15 Dealer Tag Magnets (per each) 7.00

S15.1 Pan Head Tag Screws (Box of 100) 10.00 S15.2 Hex Head Tag Screws ( Box of 100) 10.00 (Continued next page)

Order on line at www.buyadr.com

Prices subject to change without notice

Rev 01/20/12

Phone 800-346-4232 Fax 405-799-3367

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2

Item # Item Description $ Price No. $Total S15.3 Hex Head Tag Screws (Metric – Box of 100) 10.00

S15.4 Nylon Tag Screw Inserts (Box of 100) 7.00 S15.5 Tag Thumb Screws (Box of 50) 10.00

S15.7 Rubber Tag Holder with Magnet (per each) 16.00 S16 Rubber Dealer Tag Holder (per each) 12.00

S17 Uni Posca Marker (Small – each) White__,Yellow__ 4.00 S17.1 Uni Posca Marker (Medium – each) Green__, Orange__, Red__, Pink__, or Yellow___ 5.00

S17.2 Uni Posca Marker (Jumbo - each) Pink___, Red___, White___, or Yellow___ 7.00 S17.6 Uni Posca Marker ( Wide – each) Wht.___; Yel.___; Red___; Or.___; Gr.___; Pink___ 9.50

S17.4 Solid Marker Paint Stick – Solid Paint (each) Red___ Yellow___ White___ Blue___ Pink__ 4.00 S18 Key Board – 32 peg (per each) 45.00

S18.1 Key Board – 55 peg (per each) 65.00 S18.2 Key Board – 105 peg (per each) 105.00

S18.3 Key Board – 38 peg (per each) 50.00 S18.4 Key Board – 75 peg (per each) 88.00

S20 Floor Mats – Plastic/paper (Box of 500) 69.00 S21 Rear View Mirror Signs – Various imprints (Packs of 50) 14.00

S21.1 Windshield Signs – Various model years (Packs of 12) 6.95 S21.2 Windshield Message Signs – Various 3 ½ X14” (Packs of 12) 3.50 S21.4 Windshield Number Signs – 7 ½” (Packs of 12) 3.50

S21.5 Windshield Number Signs – 9 ½” (Packs of 12) 3.50 S21.6 Windshield “Bubble” Number Signs – 3”X4” (Packs of 12) 2.00

S21.7 Arched Slogan Signs (Mates with year signs) (Packs of 12) 4.50 (list desired imprints here)

FEX (formely DOX

TM – DealerCap

TM ) Forms (Dealership protection):

A 100 Customer Proposal 23.00

A 101 Trade-in Vehicle Appraisal 23.00 A 102 Test Drive Agreement 23.00

A 116 Used Vehicle Limited Warranty 23.00 A 119 Authorization to Release Payoff Information 23.00 A 120 Notice to Co-Signer 23.00

A 121 Insurance Coverage Acknowledgement 23.00 A 123 Delivery Confirmation and Acknowledgement (also covers “We Owe” Items) 23.00

A 123 S Delivery Confirmation (Spanish) 23.00 A 123 F Delivery Confirmation (for sales in language other than English or Spanish) 23.00 A 124 Customer Delivery Checklist 23.00

A 125 Acknowledgement of AS IS Sale 23.00 A 126 Good Will Repair Acknowledgement 23.00

A 130 Retail Purchase Agreement 32.00 A 140 Interpreter’s Acknowledgement of Confirmation 23.00

A 141 Service Loaner Agreement 23.00 A 144 Agreement to Arbitrate 23.00 A 145 Retail Lease Agreement 32.00

A 214 Carbonless Receipt Books (meets federal requirements) (200 numbered receipts) 24.00

B 50.1 NADA Used Car Guide (Annual Subscription $98.00) (per each) 10.00 B 50.2 NADA Older Car Guide (Annual Subscription $75.00) (per each) 28.00 B 52 Black Book Weekly Guide (Annual Sub. $186.00) (per each) 10.00

B 54 Black Book Truck & Van (Annual Sub. $155.00) (per each) 10.00 B 55 Black Book Old Car Monthly Guide (Annual Sub. $116.00) (per each) 14.00

B 53 Black Book CPI Collectible Vehicle Value Guide (Annual Sub. $90.00) (per each) 10.00

Weatherproof Temporary Tags – To help you to comply with the new law on Temporary Tags, OIADA now supplies weatherproof tags that comply with the UMV&PC Rules.

See temporary tag order form elsewhere in this document OTHER

Notes: Member Discount is 10% Order on line at www.buyadr.com Shipping is by UPS Ground - Place your order by 2:00 pm and it will be shipped that day to arrive at your door the next business day. Make checks payable to OIADA. Payment due upon receipt - Net 10 days - 2% per month late payment OIADA managed by ADR of Oklahoma

ORDER TOTAL

MBR DISCOUNT 10%

SUB-TOTAL

SALES TAX

SHIPPING

C.O.D. CHARGE

TOTAL DUE OIADA

Shipping & Handling Chart Order Value Amount $ 1.00 $ 30.00 $10.00 $ 30.01 $ 50.00 $11.00 $ 50.01 $100.00 $13.00 $100.01 $130.00 $15.00 $130.01 $150.00 $16.00 $150.01 $200.00 $17.00

Add $6.00 for residential addr.

CASH CHARGE Check #_________

Visit our Web Page: www.buyadr.com

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With the regulatory climate being what it is in the motor vehicle industry, there is no time like the present to think about auditing your dealership’s cash reporting policies.

As some motor vehicle dealers are discovering, failing to comply with the cash reporting rules can be costly. One dealer who was audited by the Internal Revenue Service (IRS) to determine compliance with the rules was notified that the dealership owed more than $236,000 in fines and penalties for 10 unreported cash transactions.

The form used to report such transactions is IRS Form 8300/FinCEN Form 8300. After enactment of the Patriot Act, the IRS issued a rule amending its regulations to clarify that the information reported to the IRS on cash transactions is also required to be reported to FinCEN. Motor vehicle dealers were required to begin using the new form beginning Jan. 1, 2002.

To comply with the Form 8300 filing requirements, it is important to understand how the term “cash” is defined for purposes of reporting. The term “cash” means U.S. and foreign currency in excess of $10,000. It also includes cashier’s checks, money orders, bank drafts and traveler’s checks having a face amount of $10,000 or less when two or more are presented or when combined with cash so the total amount exceeds $10,000.

The term “cash” does not include personal checks, checks drawn on the account of a business, or certified personal and business checks. The term “cash” also does not include amounts charged to a credit card.

If a dealership receives $10,000 or more in cash, Form 8300 should be filed by the 15th day after the date the cash was received. If the due date falls on a Saturday, Sunday or legal holiday, it should be filed on the next business day. If a dealership re-ceives more than one cash payment for a single transaction or for related transactions, it must report the multiple payments if it receives a total amount that exceeds $10,000 within any 12-month period, filing Form 8300 within 15 days of the date the dealership receives the payment that causes the total amount to exceed $10,000.

Keep in mind that filing Form 8300 is not the dealership’s only obligation. It is also required to give a written statement to each person named on a required Form 8300 on or before Jan. 31 of the year following the calendar year in which the cash is received. The statement must show the name, telephone number and address of the contact for the dealership, the aggregate amount of reportable cash received, and notification that the information was furnished to the IRS.

The dealership can be subject to penalties if it fails to file a correct and complete Form 8300 on time or it fails to furnish a correct and complete statement to each per-son named in a report and cannot show that the failure was due to reasonable cause. Therefore, it is important for motor vehicle dealers to develop a written policy that ex-plains how cash transactions involving $10,000 or more will be handled and to provide ongoing training programs for its employees.

In addition, the dealership should implement auditing procedures to ensure it remains in full compliance with the filing requirements. If you discover that a cash transaction has not been properly reported, you can file Form 8300 late. Filing late can result in some fines and penalties, but they are insignificant compared to the fines and penalties the dealership can incur for not filling at all – fines of up to $500,000 for corporations, seizure of assets and, in some cases, imprisonment for up to five years.

The information contained herein is for general information purposes only. You should contact legal counsel for specific application.

Are Your Cash Reporting Policies In Compliance?

The NIADA announced its 66th Annual Convention & Expo will be held June 11-14, 2012 – a week

earlier than previously scheduled – at Caesars Palace Hotel and Casino in Las Vegas.

NIADA’s showcase event will offer an expanded dealer education program for 2012, including more sessions covering more topics than ever before, as well as an enhanced Expo featuring more companies representing all facets of the automotive industry. Expo exhibit dates are June 12, 13 and 14. The Convention, to be held for the third consecutive year at spectacular Caesars Palace, will kick off with activities beginning on Monday afternoon, June 11.

Online registration is now open at www.niada.com. Rooms at Caesars Palace will be available at the discounted rate of $154 per night.

NIADA’s Annual Convention & Expo provides its members with an opportunity to network with their peers, participate in quality education sessions and gather valuable information they can take back and apply toward their dealerships’ success. Educational offerings will cover topics for both retail and Buy Here-Pay Here dealers. The event is also a gateway for vendors to build and foster relationships with dealers through the Expo, an industry marketplace of top-notch vendors showcasing their products and services and the benefits they can provide to dealers.

NIADA has held its Annual Convention & Expo since 1947 and has continued to flourish as the most sought-after and reputable used motor vehicle industry event for automobile dealers.

NIADA ANNUAL CONVENTION & EXPO SET FOR JUNE 11-14, 2012

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