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HOT TOPICS
2017
MEMBERSHIP
DIRECTORY
33
RECALL CALLS DO NOT VIOLATE “DO-NOT-CALL”
USED CAR RECALLS
Dealers trying to keep up with what needs to be done to sell a used car subject to an open recall face a confusing
maze of different information from numerous agencies. The FTC, the State Attorney General, DMV, and the NYC
Department of Consumer Affairs are a few groups that oversee dealer practices. The difficulty for dealers is that
the guidance can be inconsistent but these agencies agree that disclosure is important.
Dealers are advised to disclose any recall on a used vehicle and to have the customer sign an acknowledgement
that they have been provided that information before delivery. Providing the customer with a report from
NHTSA’s safercar.gov website, along with any information from your OEM, is the best way to meet the agencies’
requirements.
If the customer accepts the vehicle at the agreed to price after disclosure, the customer should sign and date
the acknowledgment. A copy of this acknowledgement should be given to the customer, and the dealership
should retain a copy, in addition to the recall report.
Dealers who call customers about recall-related issues are not violating national Do-Not-Call rules.
The Do-Not-Call Registry was set up a little over a decade ago, so people could designate their phone number as
off-limits for telemarketers and other solicitations. However, informing a customer that their vehicle is subject to
a recall does not qualify as solicitation; rather, it is helpful notice to the customer that their vehicle needs servicing.
It should be noted that this exception only applies when the
repair work is completed at no cost to the customer. Any
attempts to sell additional parts or service during the
conversation will designate it as a phone solicitation,
which is prohibited.
Cell phones, texting, autodialing and prerecorded
calls are subject to a completely separate set of
restrictions, under the Telephone Consumer
Protection Act (TCPA). The cell phone stipulation
admittedly makes the lines tricky to stay within,
as a dealer may not be able to tell whether he/
she is calling a mobile phone or landline. However,
if a customer provided you with their cell phone
number, you can call to notify them of the recall, as
long as you limit the conversation to that recall.