Interpretation ID: nht78-4.3

DATE: 02/02/78

FROM: AUTHOR UNAVAILABLE; John Womack; NHTSA

TO: Jerome Avenue Dealers Association

TITLE: FMVSR INTERPRETATION

TEXT: This is in response to your letter of December 1, 1977, requesting information on the Federal odometer disclosure law.

You asked whether an employee has the authority to sign an odometer disclosure statement relating to the purchase of vehicles sold dealer to dealer. Section 580.4 of Title 49, Code of Federal Regulations, requires each transferor of a motor vehicle to furnish to the transferee a written statement of the mileage traveled by the vehicle. "Transferor" is defined as "any person who transfers his ownership in a motor vehicle by sale, gift, or any means other than by creation of a security interest." In a dealer-to-dealer transaction, as in all other transactions, the owner of the vehicle is responsible for signing the disclosure statement. He may assign that responsibility to an employee or representative. The transferor, however, as the owner of the vehicle, nevertheless remains liable for the actions of his employee.

You also raised the question in your telephone call of January 18, with Kathy DeMater of my staff, whether in a wholesale transaction all vehicles could be listed on one invoice as long as separate disclosure statements are issued for each. The National Highway Traffic Safety Administration is concerned with the issuance of correct mileage statements for each vehicle and does not have any objection to all the vehicles being listed in one invoice.

The sample "Odometer Statement" which you enclosed with your letter meets all of the requirements of the Federal regulation. Thank you for your cooporation in preparing the revised statements.