Vehicle Sales Amendments

56
41-1a-102
41-1a-513
41-1a-1004
0
Vehicle Sales Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Jordan D. Teuscher
Senate Sponsor: Lincoln Fillmore
LONG TITLE
General Description:
This bill amends provisions related to motor vehicle title brands.
Highlighted Provisions:
This bill:
defines terms, including terms for motor vehicle title brands;
describes the circumstances under which a salvaged vehicle may receive a brand of
rebuilt and restored;
requires the Motor Vehicle Division to check a national database before issuing a new
Utah title; and
makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
Utah Code Sections Affected:
AMENDS:
41-1a-102
, as last amended by Laws of Utah 2025, Chapter 285
41-1a-513
, as enacted by Laws of Utah 1992, Chapter 1 and last amended by Laws of
Utah 1992, Chapter 218
41-1a-1004
, as last amended by Laws of Utah 2020, Chapter 267
Be it enacted by the Legislature of the state of Utah:
Section 1. Section
41-1a-102
is amended to read:
41-1a-102
. Definitions.
As used in this chapter:
(1)
"Actual miles" means the actual distance a vehicle has traveled while in operation.
(2)
"Actual weight" means the actual unladen weight of a vehicle or combination of
vehicles as operated and certified to by a weighmaster.
(3)
"All-terrain type I vehicle" means the same as that term is defined in Section
41-22-2
.
(4)
"All-terrain type II vehicle" means the same as that term is defined in Section
41-22-2
.
(5)
"All-terrain type III vehicle" means the same as that term is defined in Section
41-22-2
.
(6)
"Alternative fuel vehicle" means:
(a)
an electric motor vehicle;
(b)
a hybrid electric motor vehicle;
(c)
a plug-in hybrid electric motor vehicle; or
(d)
a motor vehicle powered exclusively by a fuel other than:
(i)
motor fuel;
(ii)
diesel fuel;
(iii)
natural gas; or
(iv)
propane.
(7)
"Amateur radio operator" means a person licensed by the Federal Communications
Commission to engage in private and experimental two-way radio operation on the
amateur band radio frequencies.
(8)
"Autocycle" means the same as that term is defined in Section
53-3-102
.
(9)
"Automated driving system" means the same as that term is defined in Section
41-26-102.1
.
(10)
"Brand" means a label on a title certificate identifying a motor vehicle as:
(a)
fire damaged;
(b)
flood damaged;
(c)
gray market;
(d)
hail damaged;
(e)
stolen/recovered; or
(f)
rebuilt and restored.
(10)
(11)
"Branded title" means a title certificate that is labeled
:
with a brand.
(a)
rebuilt and restored to operation;
(b)
flooded and restored to operation; or
(c)
not restored to operation.
(11)
(12)
"Camper" means a structure designed, used, and maintained primarily to be
mounted on or affixed to a motor vehicle that contains a floor and is designed to provide
a mobile dwelling, sleeping place, commercial space, or facilities for human habitation
or for camping.
(12)
(13)
"Certificate of title" means a document issued by a jurisdiction to establish a
record of ownership between an identified owner and the described vehicle, vessel, or
outboard motor.
(13)
(14)
"Certified scale weigh ticket" means a weigh ticket that has been issued by a
weighmaster.
(14)
(15)
"Commercial vehicle" means a motor vehicle, trailer, or semitrailer used or
maintained for the transportation of persons or property that operates:
(a)
as a carrier for hire, compensation, or profit; or
(b)
as a carrier to transport the vehicle owner's goods or property in furtherance of the
owner's commercial enterprise.
(15)
(16)
"Commission" means the State Tax Commission.
(17)
"Compliant gray market" means a motor vehicle that was branded as gray market and
has been altered to meet federal and state motor vehicle safety and emissions standards.
(16)
(18)
"Consumer
price index
Price Index
" means the same as that term is defined in
Section
59-13-102
.
(17)
(19)
"Dealer" means a person engaged or licensed to engage in the business of
buying, selling, or exchanging new or used vehicles, vessels, or outboard motors either
outright or on conditional sale, bailment, lease, chattel mortgage, or otherwise or who
has an established place of business for the sale, lease, trade, or display of vehicles,
vessels, or outboard motors.
(18)
(20)
"Diesel fuel" means the same as that term is defined in Section
59-13-102
.
(19)
(21)
"Division" means the Motor Vehicle Division of the commission, created in
Section
41-1a-106
.
(20)
(22)
"Dynamic driving task" means the same as that term is defined in Section
41-26-102.1
.
(21)
(23)
"Electric motor vehicle" means a motor vehicle that is powered solely by an
electric motor drawing current from a rechargeable energy storage system.
(22)
(24)
"Essential parts" means the integral and body parts of a vehicle of a type required
to be registered in this state, the removal, alteration, or substitution of which would tend
to conceal the identity of the vehicle or substantially alter the vehicle's appearance,
model, type, or mode of operation.
(23)
(25)
"Farm tractor" means a motor vehicle designed and used primarily as a farm
implement for drawing plows, mowing machines, and other implements of husbandry.
(24)
(26)
(a)
"Farm truck" means a truck used by the owner or operator of a farm solely
for the owner's or operator's own use in the transportation of:
(i)
farm products, including livestock and its products, poultry and its products,
and
floricultural and horticultural products;
(ii)
farm supplies, including tile, fence, and any other thing or commodity used in
agricultural, floricultural, horticultural, livestock, and poultry production; and
(iii)
livestock, poultry, and other animals and things used for breeding, feeding, or
other purposes connected with the operation of a farm.
(b)
"Farm truck" does not include the operation of trucks by commercial processors of
agricultural products.
(27)
"Fire damaged" means a motor vehicle that was damaged by fire to a degree that an
insurance company declared the motor vehicle a total loss.
(25)
(28)
"Fleet" means:
(a)
one or more commercial vehicles; or
(b)
for purposes of Section
41-1a-215
, one or more personal vehicles.
(29)
"Flood damaged" means a motor vehicle that an insurance company declared a total
loss due to:
(a)
immersion in a liquid; or
(b)
contamination with toxic fluid.
(26)
(30)
"Foreign vehicle" means a vehicle of a type required to be registered, brought
into this state from another state, territory, or country other than in the ordinary course
of business by or through a manufacturer or dealer, and not registered in this state.
(31)
"Gray market" means a motor vehicle:
(a)
manufactured outside of the United States;
(b)
not intended by the manufacturer for sale in the United States; and
(c)
that does not meet federal or state motor vehicle safety or emissions standards.
(27)
(32)
"Gross laden weight" means the actual weight of a vehicle or combination of
vehicles, equipped for operation, to which shall be added the maximum load to be
carried.
(33)
"Hail damaged" means a motor vehicle that was damaged by exposure to falling hail to
a degree that an insurance company declared the motor vehicle a total loss.
(28)
(34)
"Highway" or "street" means the entire width between property lines of every
way or place of whatever nature when any part of it is open to the public, as a matter of
right, for purposes of vehicular traffic.
(29)
(35)
"Hybrid electric motor vehicle" means a motor vehicle that draws propulsion
energy from onboard sources of stored energy that are both:
(a)
an internal combustion engine or heat engine using consumable fuel; and
(b)
a rechargeable energy storage system where energy for the storage system comes
solely from sources onboard the vehicle.
(30)
(36)
(a)
"Identification number" means the identifying number assigned by the
manufacturer or by the division for the purpose of identifying the vehicle, vessel, or
outboard motor.
(b)
"Identification number" includes a vehicle identification number, state assigned
identification number, hull identification number, and motor serial number.
(31)
(37)
"Implement of husbandry" means a vehicle designed or adapted and used
exclusively for an agricultural operation and only incidentally operated or moved upon
the highways.
(32)
(38)
(a)
"In-state miles" means the total number of miles operated in this state
during the preceding year by fleet power units.
(b)
If a fleet is composed entirely of trailers or semitrailers, "in-state miles" means the
total number of miles that those vehicles were towed on Utah highways during the
preceding year.
(33)
(39)
"Interstate vehicle" means a commercial vehicle operated in more than one state,
province, territory, or possession of the United States or foreign country.
(34)
(40)
"Jurisdiction" means a state, district, province, political subdivision, territory, or
possession of the United States or any foreign country.
(35)
(41)
"Lienholder" means a person with a security interest in particular property.
(36)
(42)
"Manufactured home" means a transportable factory built housing unit
constructed on or after June 15, 1976, according to the Federal Home Construction and
Safety Standards Act of 1974 (HUD Code), in one or more sections, which, in the
traveling mode, is eight body feet or more in width or 40 body feet or more in length, or
when erected on site, is 400 or more square feet, and which is built on a permanent
chassis and designed to be used as a dwelling with or without a permanent foundation
when connected to the required utilities, and includes the plumbing, heating,
air-conditioning, and electrical systems.
(37)
(43)
"Manufacturer" means a person engaged in the business of constructing,
manufacturing, assembling, producing, or importing new or unused vehicles, vessels, or
outboard motors for the purpose of sale or trade.
(38)
(44)
"Military vehicle" means a vehicle of any size or weight that was manufactured
for use by armed forces and that is maintained in a condition that represents the vehicle's
military design and markings regardless of current ownership or use.
(39)
(45)
"Mobile home" means a transportable factory built housing unit built prior to
June 15, 1976, in accordance with a state mobile home code which existed prior to the
Federal Manufactured Housing and Safety Standards Act (HUD Code).
(40)
(46)
"Motor fuel" means the same as that term is defined in Section
59-13-102
.
(41)
(47)
(a)
"Motor vehicle" means a self-propelled vehicle intended primarily for use
and operation on the highways.
(b)
"Motor vehicle" includes a roadable aircraft and a street-legal all-terrain vehicle.
(c)
"Motor vehicle" does not include:
(i)
an off-highway vehicle; or
(ii)
a motor assisted scooter as defined in Section
41-6a-102
.
(42)
(48)
"Motorboat" means the same as that term is defined in Section
73-18c-102
.
(43)
(49)
"Motorcycle" means:
(a)
a motor vehicle having a saddle for the use of the rider and designed to travel on not
more than three wheels in contact with the ground; or
(b)
an autocycle.
(44)
(50)
"Natural gas" means a fuel of which the primary constituent is methane.
(45)
(51)
(a)
"Nonresident" means a person who is not a resident of this state as defined
by Section
41-1a-202
, and who does not engage in intrastate business within this
state and does not operate in that business any motor vehicle, trailer, or semitrailer
within this state.
(b)
A person who engages in intrastate business within this state and operates in that
business any motor vehicle, trailer, or semitrailer in this state or who, even though
engaging in interstate commerce, maintains a vehicle in this state as the home station
of that vehicle is considered a resident of this state, insofar as that vehicle is
concerned in administering this chapter.
(46)
(52)
"Odometer" means a device for measuring and recording the actual distance a
vehicle travels while in operation, but does not include any auxiliary odometer designed
to be periodically reset.
(53)
"Odometer discrepancy" means that a written odometer disclosure statement described
in Section
41-1a-902
indicates that the motor vehicle's odometer does not match the
actual amount of miles or kilometers driven by the motor vehicle.
(47)
(54)
"Off-highway implement of husbandry" means the same as that term is defined
in Section
41-22-2
.
(48)
(55)
"Off-highway vehicle" means the same as that term is defined in Section
41-22-2
.
(49)
(56)
(a)
"Operate" means:
(i)
to navigate a vessel; or
(ii)
collectively, the activities performed in order to perform the entire dynamic
driving task for a given motor vehicle by:
(A)
a human driver as defined in Section
41-26-102.1
; or
(B)
an engaged automated driving system.
(b)
"Operate" includes testing of an automated driving system.
(50)
(57)
"Original issue license plate" means a license plate that is of a format and type
issued by the state in the same year as the model year of a vehicle that is a model year
1973 or older.
(51)
(58)
"Outboard motor" means a detachable self-contained propulsion unit, excluding
fuel supply, used to propel a vessel.
(52)
(59)
(a)
"Owner" means a person, other than a lienholder, holding title to a vehicle,
vessel, or outboard motor whether or not the vehicle, vessel, or outboard motor is
subject to a security interest.
(b)
If a vehicle is the subject of an agreement for the conditional sale or installment sale
or mortgage of the vehicle with the right of purchase upon performance of the
conditions stated in the agreement and with an immediate right of possession vested
in the conditional vendee or mortgagor, or if the vehicle is the subject of a security
agreement, then the conditional vendee, mortgagor, or debtor is considered the owner
for the purposes of this chapter.
(c)
If a vehicle is the subject of an agreement to lease, the lessor is considered the owner
until the lessee exercises the lessee's option to purchase the vehicle.
(53)
(60)
"Park model recreational vehicle" means a unit that:
(a)
is designed and marketed as temporary living quarters for recreational, camping,
travel, or seasonal use;
(b)
is not permanently affixed to real property for use as a permanent dwelling;
(c)
requires a special highway movement permit for transit; and
(d)
is built on a single chassis mounted on wheels with a gross trailer area not exceeding
400 square feet in the setup mode.
(54)
(61)
"Personal vehicle" means a vehicle that is not a commercial vehicle.
(55)
(62)
"Personalized license plate" means a license plate that has displayed on it a
combination of letters, numbers, or both as requested by the owner of the vehicle and
assigned to the vehicle by the division.
(56)
(63)
(a)
"Pickup truck" means a two-axle motor vehicle with motive power
manufactured, remanufactured, or materially altered to provide an open cargo area.
(b)
"Pickup truck" includes a motor vehicle with the open cargo area covered with a
camper, camper shell, tarp, removable top, or similar structure.
(57)
(64)
"Plug-in hybrid electric motor vehicle" means a hybrid electric motor vehicle
that has the capability to charge the battery or batteries used for vehicle propulsion from
an off-vehicle electric source, such that the off-vehicle source cannot be connected to the
vehicle while the vehicle is in motion.
(58)
(65)
"Pneumatic tire" means a tire in which compressed air is designed to support the
load.
(59)
(66)
"Preceding year" means a period of 12 consecutive months fixed by the division
that is within 16 months immediately preceding the commencement of the registration or
license year in which proportional registration is sought. The division in fixing the
period shall conform it to the terms, conditions, and requirements of any applicable
agreement or arrangement for the proportional registration of vehicles.
(60)
(67)
"Public garage" means a building or other place where vehicles or vessels are
kept and stored and where a charge is made for the storage and keeping of vehicles and
vessels.
(68)
"Rebuilt and restored" means a motor vehicle that qualifies for a brand of rebuilt and
restored under Section
41-1a-1004
.
(61)
(69)
"Receipt of surrender of ownership documents" means the receipt of surrender of
ownership documents described in Section
41-1a-503
.
(62)
(70)
"Reconstructed vehicle" means a vehicle of a type required to be registered in
this state that is materially altered from its original construction by the removal,
addition, or substitution of essential parts, new or used.
(63)
(71)
"Recreational vehicle" means the same as that term is defined in Section
13-14-102
.
(64)
(72)
"Registration" means a document issued by a jurisdiction that allows operation of
a vehicle or vessel on the highways or waters of this state for the time period for which
the registration is valid and that is evidence of compliance with the registration
requirements of the jurisdiction.
(65)
(73)
"Registration decal" means the decal issued by the division that is evidence of
compliance with the division's registration requirements.
(66)
(74)
(a)
"Registration year" means a 12 consecutive month period commencing
with the completion of the applicable registration criteria.
(b)
For administration of a multistate agreement for proportional registration the division
may prescribe a different 12-month period.
(67)
(75)
"Repair or replacement" means the restoration of vehicles, vessels, or outboard
motors to a sound working condition by substituting any inoperative part of the vehicle,
vessel, or outboard motor, or by correcting the inoperative part.
(68)
(76)
"Replica vehicle" means:
(a)
a street rod that meets the requirements under Subsection
41-21-1(3)(a)(i)(B)
; or
(b)
a custom vehicle that meets the requirements under Subsection
41-6a-1507(1)(a)(i)(B)
.
(69)
(77)
"Restored-modified vehicle" means a motor vehicle that has been restored and
modified with modern parts and technology, including emission control technology and
an on-board diagnostic system.
(70)
(78)
"Road tractor" means a motor vehicle designed and used for drawing other
vehicles and constructed so it does not carry any load either independently or any part of
the weight of a vehicle or load that is drawn.
(71)
(79)
"Roadable aircraft" means the same as that term is defined in Section
72-10-102
.
(72)
(80)
"Sailboat" means the same as that term is defined in Section
73-18-2
.
(73)
(81)
"Security interest" means an interest that is reserved or created by a security
agreement to secure the payment or performance of an obligation and that is valid
against third parties.
(74)
(82)
"Semitrailer" means the same as the term "trailer."
(75)
(83)
"Special group license plate" means a type of license plate designed for a
particular group of people or a license plate authorized and issued by the division in
accordance with Section
41-1a-418
or Part 16, Sponsored Special Group License Plates.
(76)
(84)
(a)
"Special interest vehicle" means a vehicle used for general transportation
purposes and that is:
(i)
20 years or older from the current year; or
(ii)
a make or model of motor vehicle recognized by the division director as having
unique interest or historic value.
(b)
In making a determination under Subsection
(76)(a)
(84)(a)
, the division director
shall give special consideration to:
(i)
a make of motor vehicle that is no longer manufactured;
(ii)
a make or model of motor vehicle produced in limited or token quantities;
(iii)
a make or model of motor vehicle produced as an experimental vehicle or one
designed exclusively for educational purposes or museum display; or
(iv)
a motor vehicle of any age or make that has not been substantially altered or
modified from original specifications of the manufacturer and because of its
significance is being collected, preserved, restored, maintained, or operated by a
collector or hobbyist as a leisure pursuit.
(77)
(85)
(a)
"Special mobile equipment" means a vehicle:
(i)
not designed or used primarily for the transportation of persons or property;
(ii)
not designed to operate in traffic; and
(iii)
only incidentally operated or moved over the highways.
(b)
"Special mobile equipment" includes:
(i)
farm tractors;
(ii)
off-road motorized construction or maintenance equipment including backhoes,
bulldozers, compactors, graders, loaders, road rollers, tractors, and trenchers; and
(iii)
ditch-digging apparatus.
(c)
"Special mobile equipment" does not include a commercial vehicle as defined under
Section
72-9-102
.
(78)
(86)
"Specially constructed vehicle" means a vehicle of a type required to be
registered in this state, not originally constructed under a distinctive name, make, model,
or type by a generally recognized manufacturer of vehicles, and not materially altered
from its original construction.
(79)
(87)
(a)
"Standard license plate" means a license plate for general issue described
in Subsection
41-1a-402(1)
.
(b)
"Standard license plate" includes a license plate for general issue that the division
issues before January 1, 2024.
(80)
(88)
"State impound yard" means a yard for the storage of a vehicle, vessel, or
outboard motor that meets the requirements of rules made by the commission as
described in Subsection
41-1a-1101(7)
.
(89)
"Stolen/recovered" means a motor vehicle that:
(a)
was reported stolen;
(b)
was recovered; and
(c)
an insurance company declared the vehicle a total loss.
(81)
(90)
"Street-legal all-terrain vehicle" or "street-legal ATV" means the same as that
term is defined in Section
41-6a-102
.
(82)
(91)
"Symbol decal" means the decal that is designed to represent a special group and
displayed on a special group license plate.
(83)
(92)
"Title" means the right to or ownership of a vehicle, vessel, or outboard motor.
(84)
(93)
(a)
"Total fleet miles" means the total number of miles operated in all
jurisdictions during the preceding year by power units.
(b)
If fleets are composed entirely of trailers or semitrailers, "total fleet miles" means the
number of miles that those vehicles were towed on the highways of all jurisdictions
during the preceding year.
(85)
(94)
"Tow truck motor carrier" means the same as that term is defined in Section
72-9-102
.
(86)
(95)
"Tow truck operator" means the same as that term is defined in Section
72-9-102
.
(87)
(96)
"Trailer" means a vehicle:
(a)
without motive power; and
(b)
designed for:
(i)
carrying persons or property; and
(ii)
being drawn by a motor vehicle.
(88)
(97)
"Transferee" means a person to whom the ownership of property is conveyed by
sale, gift, or any other means except by the creation of a security interest.
(89)
(98)
"Transferor" means a person who transfers the person's ownership in property by
sale, gift, or any other means except by creation of a security interest.
(90)
(99)
"Travel trailer," "camping trailer," or "fifth wheel trailer" means a portable
vehicle without motive power, designed as a temporary dwelling for travel, recreational,
or vacation use that does not require a special highway movement permit when drawn
by a self-propelled motor vehicle.
(91)
(100)
"Truck tractor" means a motor vehicle designed and used primarily for drawing
other vehicles and not constructed to carry a load other than a part of the weight of the
vehicle and load that is drawn.
(92)
(101)
"Vehicle" includes a motor vehicle, trailer, semitrailer, off-highway vehicle,
camper, park model recreational vehicle, manufactured home, and mobile home.
(93)
(102)
"Vessel" means the same as that term is defined in Section
73-18-2
.
(94)
(103)
"Vintage vehicle" means the same as that term is defined in Section
41-21-1
.
(95)
(104)
"Waters of this state" means the same as that term is defined in Section
73-18-2
.
(96)
(105)
"Weighmaster" means a person, association of persons, or corporation
permitted to weigh vehicles under this chapter.
Section 2. Section
41-1a-513
is amended to read:
41-1a-513
. Examination of registration records and indices of stolen and
recovered vehicles, vessels, and outboard motors -- National title records.
The division upon receiving application for any certificate of title shall first check
the identification number shown in the application against the indices of registered vehicles,
vessels, and outboard motors and against indices of stolen and recovered vehicles, vessels, and
outboard motors.
(1)
As used in this section, "National Motor Vehicle Title Information System" or
"NMVTIS" means the electronic vehicle record system described in 28 C.F.R. Part 25,
Subpart B, operated by the American Association of Motor Vehicle Administrators.
(2)
After receiving an application for a certificate of title, the division shall first check the
vehicle identification number listed on the application against the indices of:
(a)
registered vehicles, vessels, and outboard motors; and
(b)
stolen and recovered vehicles, vessels, and outboard motors.
(3)
(a)
After receiving an application for a new Utah certificate of title, the division shall
check the vehicle identification number listed on the application against NMVTIS.
(b)
After checking the vehicle identification number as described in Subsection
(3)(a)
,
the division shall follow the procedure for issuing a branded title described in Section
41-1a-1004
if a jurisdiction contributing to NMVTIS identifies the title as one of the
following:
(i)
a salvage brand;
(ii)
a total loss; or
(iii)
damaged.
(c)
The division shall conduct the NMVTIS check described in Subsection
(3)(a)
if an
applicant applies for a Utah certificate of title and the applicant has:
(i)
no certificate of title for the vehicle; or
(ii)
a certificate of title from another state.
Section 3. Section
41-1a-1004
is amended to read:
41-1a-1004
. Certificate of title -- Salvage vehicles -- Buyer notification of salvage
or total loss vehicle.
(1)
(a)
If the division is able to
ascertain the fact, at the time
determine the actual brand
when an
application is made for initial registration or transfer of ownership of a
salvage vehicle, the
title shall be branded:
division shall label the title certificate
with the applicable brand.
(a)
rebuilt and restored to operation;
(b)
in a flood and restored to operation; or
(c)
not restored to operation.
(b)
A motor vehicle that has, or qualifies for, a brand of fire damaged, flood damaged, or
hail damaged may receive a brand of rebuilt and restored if the vehicle is rebuilt or
restored to a degree that the motor vehicle may be safely operated on a highway.
(c)
A motor vehicle that has, or qualifies for, a gray market brand may receive a brand of
compliant gray market if the motor vehicle:
(i)
is altered to meet federal and state motor vehicle safety standards; and
(ii)
successfully completes a safety inspection as described in Section
53-8-205
.
(d)
The division shall indicate on a title certificate, "Odometer discrepancy" if the motor
vehicle has an odometer discrepancy.
(e)
(i)
The division shall ensure a brand of rebuilt and restored appears on a title
certificate as "Rebuilt and Restored --," followed by the brand that the motor
vehicle had, or qualified for, before receiving the rebuilt and restored brand.
(ii)
A brand label following "Rebuilt and Restored --" shall appear as one of the
following:
(A)
"Fire";
(B)
"Flood";
(C)
"Hail"; or
(D)
"Stolen."
(2)
(a)
(i)
Except as provided in Subsection
(2)(b)
, before the sale of a vehicle for
which a salvage certificate or branded title has been knowingly issued or
knowingly declared a total loss by an insurance company, the seller shall provide
the prospective purchaser with written notification that a salvage certificate or a
branded title has been issued for the vehicle.
(ii)
If the vehicle is a salvage vehicle or if the vehicle has been declared a total loss
by an insurance company, the notification shall be as required in Section
41-1a-1005.3
.
(b)
The requirement to provide written notification under Subsection
(2)(a)
does not
apply if:
(i)
the prospective purchaser, motor vehicle auction, or seller is:
(A)
a licensed motor vehicle dealer whose primary business is auctioning salvage
motor vehicles to licensed salvage vehicle buyers; or
(B)
an insurance company, if the sale of the vehicle is the result of a total loss
settlement; or
(ii)
the vehicle has been stolen, recovered, and declared a total loss by an insurance
company but does not meet the definition of a salvage vehicle.
(3)
(a)
An advertisement for the sale of a vehicle for which a salvage certificate or
branded title has been issued shall disclose that a salvage certificate or branded title
has been issued for the vehicle.
(b)
(i)
Except as provided in Subsection
(3)(b)(ii)
, an advertisement for a vehicle
declared a total loss by an insurance company shall disclose that the vehicle has
been declared a total loss by an insurance company.
(ii)
A vehicle that has been stolen, recovered, and declared a total loss by an
insurance company but does not meet the definition of a salvage vehicle is
exempted from the advertising requirement described in Subsection
(3)(b)(i)
.
(iii)
Subsections
(3)(a)
,
(3)(b)(i)
, and
(3)(b)(ii)
do not apply to a motor vehicle
auction or a consigner to a motor vehicle auction if no disclosure is required under
Section
41-1a-1005.3
.
(c)
The advertisement disclosure under Subsection
(3)(a)
or
(b)(i)
shall:
(i)
be displayed at least as prominently as the description of the advertised vehicle is
displayed; and
(ii)
if a salvage certificate or branded title has been issued or the vehicle has been
declared a total loss by an insurance company:
(A)
use the words "salvage certificate" or "branded title" in the advertisement; or
(B)
use the words "insurer declared total loss."
Section 4.
Effective Date.
This bill takes effect on
January 1, 2027
.
3-6-26 2:38 PM