Arkansas Administrative Code
Agency 006 - Department of Finance and Administration
Division 05 - Division of Revenues
Rule 006.05.90-001 - Motor Vehicle Regulations 1990-1
Universal Citation: AR Admin Rules 006.05.90-001
Current through Register Vol. 49, No. 9, September, 2024
Odometer Disclosure Requirements
Pursuant to his authority under Act 527 of 1975 as amended Ark. Code Ann. § 4-90-201 et. seq. (1987) and Act 142 of 1949 as amended Ark. Code Ann. § 27-14-101 et. seq. (1987), the Commissioner of Revenues for the State of Arkansas does hereby promulate the following regulations. These regulations are an adoption of NHTSA Odometer Disclosure Requirements, 49 CFR § 580.1 et seq. which were promulgated under 15 U.S.C. § 1981 et seq.. This regulation supersedes Motor Vehicle Regulation 1984-2.
SECTION 1. Purpose.
The purpose of this regulation is to provide purchasers of motor vehicles with odometer information to assist them in determining a vehicle's condition and value by making the disclosure of a vehicle's mileage a condition of title and by requiring lessees to disclose to their lessors the vehicle's mileage at the time the lessors transfer the vehicle. In addition, the purpose of this regulation is to preserve records that are needed for the proper investigation of possible violations of the Motor Vehicle Information and Cost Savings Act and any subsequent prosecutorial, adjudicative or other action.
SECTION 2. Definitions.
(1) "Owner" means a person, other
than a secured party, having the property in or title to a vehicle. The term
includes a person entitled to the use and possession of a vehicle subject to a
security interest in another person, but excludes a lessee under a lease not
intended as security;
(2) "Motor
vehicle" means any self-propelled vehicle not operated exclusively upon
railroad tracks except snowmobiles and other devices designed and used
primarily for the transportation of persons over natural terrain, snow, or ice
and propelled by wheels, skis, tracks, runners, or whatever other
means;
(3) "Person" means an
individual, firm, partnership, agent for the person, incorporated and
unincorporated association, or any other legal or commercial entity.
(4) "Lessee" means any person, or the agent
for any person, to whom a 'motor vehicle has been leased for term of at least 4
months.
(5) "Lessor" means any
person, or the agent for any person, who has leased 5 or more motor vehicles in
the past 12 months.
(6) "Mileage"
means actual distance that a vehicle has traveled.
(7) "Secure printing process or other secure
process" means any process which deters and detects counterfeiting and/or
unauthorized reproduction and allows alterations to be visible to the naked
eye.
(8) "Transferee" means any
person to whom ownership of a motor vehicle is transferred by purchase, gift or
any means other than by the creation of a security interest, and any person
who, as agent, signs an odometer disclosure statement for the
transferee.
(9) "Transferor" means
any person who transfers his ownership of a motor vehicle by sale, gift, or any
means other than by the creation of a security interest, and any person who, as
agent, signs an odometer disclosure statement for the transferor.
SECTION 3. Security of Title Documents and Power of Attorney Forms.
Each title shall be set forth by means of a secure printing process other secure process. In addition, power of attorney forms issued pursuant to Section 9 below and documents which are used to reassign the title shall be issued by the State and shall be set forth by a secure process.
SECTION 4. Disclosure of Odometer Information.
(a) Each title, at the time it is
issued to the transferee, must contain the mileage disclosed by the transferor
when ownership of the vehicle was transferred and contain a space for the
information required to be disclosed under paragraphs (c), (d), (e) and (f) of
this section at the time of future transfer.
(b) Any documents which are used to reassign
a title shall contain a space for the information required to be disclosed
under paragraphs (c), (d), (e) and (f) of this section at the time of transfer
of ownership.
(c) In connection
with the transfer of ownership of a motor vehicle, each transferor shall
disclose the mileage to the transferee in writing on the title or on the
document being used to reassign the title. This written disclosure must be
signed by-the transferor, including the printed name. In connection with the
transfer of ownership of a motor vehicle in which more than one person is a
transferor, only one transferor need sign the written disclosure. In addition
to the signature and printed name of the transferor, the written disclosure
must contain the following information:
(1)
The odometer reading at the time of transfer (not to include tenths of
miles);
(2) The date of
transfer;
(3) The transferor's name
and current address;
(4) The
transferee's name and current address; and ■
(5) The identity of the vehicle, including
its make, model, year and body type, and its vehicle identification
number.
(d) In addition
to the information provided under paragraph (c) of this section, the statement
shall refer to the Federal law and shall state that failure to complete or
providing false information may result in fines and/or imprisonment. Reference
may also be made to applicable State law.
(e) In addition to the information provided
under paragraphs (c) and (d) of this section.
(1) The transferor shall certify that to the
best of his knowledge the odometer reading reflects the actual mileage,
or;
(2) If the transferor knows
that the odometer reading reflects the amount of mileage in excess of the
designed mechanical odometer limit, he shall include a statement to that
effect; or
(3) If the transferor
knows that the odometer reading differs from the mileage and that the
difference is greater than that caused by odometer calibration error, he shall
include a statement that the odometer reading does not reflect the actual
mileage, and should not be relied upon. This statement shall also include a
warning notice to alert the transferee that a discrepancy exists between the
odometer reading and the actual mileage.
(f) The transferee shall sign the disclosure
statement, print his name, and return a copy to his transferor.
(g) If the vehicle has not been titled or if
the title does not contain a space for the information required, the written
disclosure shall be executed as a separate document.
(h) No person shall sign an odometer
disclosure statement as both the transferor and transferee in the same
transaction, unless permitted by Sections 9 or 10.
SECTION 5. Exemptions.
Notwithstanding the requirements of Section 4 and 6:
(a) A transferor or a lessee of any of the
following motor vehicles need not disclose the vehicle's odometer mileage:
(1) A vehicle having a Gross Vehicle Weight
Rating, as defined in § 571.3 of this title, of more than 16,000
pounds;
(2) A vehicle that is not
self-propelled;
(3) A vehicle that
is ten years old or older; or
(4) A
vehicle sold directly by the manufacturer to any agency of the United States in
conformity with contractual specifications.
(b) A transferor of a new vehicle prior to
its first transfer for purposes other than resale need not disclose the
vehicle's odometer mileage.
(c) A
lessor of any of the vehicles listed in paragraph (a) of this section need not
notify the lessee of any of these vehicles of the disclosure requirements of
Section 6.
SECTION 6. Disclosure of Odometer Information for Leased Motor Vehicles.
(a) Before executing any transfer of
ownership document, each lessor of a leased motor vehicle shall notify the
lessee in writing that the lessee is required to provide a written disclosure
to the lessor regarding the mileage. This notice shall contain a reference to
the federal law and shall state that failure to complete or providing false
information may result in fines and/or imprisonment. Reference may also be made
to applicable State law.
(b) In
connection with the transfer of ownership of the leased motor vehicle, the
lessee shall furnish to the lessor a written statement regarding the mileage of
the vehicle. This statement must be signed by the lessee and, in addition to
the information required by paragraph (a) of this section, shall contain the
following information:
(1) The printed name of
the person making the disclosure;
(2) The current odometer reading (not to
include tenths of miles);
(3) The
date of the statement;
(4) The
lessee's name and current address;
(5) The lessor's name and current
address;
(6) The identity of the
vehicle, including its make,' model, year, and body type, and its vehicle
identification number;
(7) The date
that the lessor notified the lessee of disclosure requirements;
(8) The date that the completed disclosure
statement was received by the lessor; and
(9) The signature of the lessor.
(c) In addition to the information
provided under paragraphs (a) and (b) of this section.
(1) The lessee shall certify that to the best
of his knowledge the odometer reading reflects the actual mileage; or
(2) If the lessee knows that the odometer
reading reflects the amount of mileage in excess of the designed mechanical
odometer limit, he shall include a statement to that effect; or
(3) If the lessee knows that the odometer
reading differs from the mileage and that the difference is greater than that
caused by odometer calibration error, he shall include a statement that the
odometer reading is not the actual mileage and should not be relied
upon.
(d) If the lessor
transfers the leased vehicle without obtaining possession of it, the lessor may
indicate on the title the mileage disclosed by the lessee under paragraph (b)
and (c) of this section, unless the lessor has reason to believe that the
disclosure by the lessee does not reflect the actual mileage of the
vehicle.
SECTION 7. Odometer Disclosure Statement Retention.
(a)
Dealers and distributors of motor vehicles who are required to execute an
odometer disclosure statement shall retain for five years a photostat, carbon
or other facsimile copy of each odometer mileage statement, which they issue
and receive. They shall retain all odometer disclosure statements at their
primary place of business in an order that is appropriate to business
requirements and that permits systematic retrieval.
(b) Lessors shall retain, for five years*'
following the date they transfer ownership of the leased vehicle, each odometer
disclosure statement which they receive from a lessee. They shall retain all
odometer disclosure statements at their primary place of business in an order
that is appropriate to business requirements and that permits systematic
retrieval.
(c) Dealers and
distributors of motor vehicles who are granted a power of attorney by their
transferor pursuant to Section 9, or by their transferee pursuant to Section
10, shall retain for five years a photostat, carbon or other facsimile copy of
each power of attorney that they receive. They shall retain all powers of
attorney at their primary place of business in an order that is appropriate to
business requirements and that permits systematic retrieval.
SECTION 8. Odometer Record Retention for Auction Companies.
Each auction company shall establish and retain at its primary place of business in an order that is appropriate to business requirements and that permits systematic retrieval, for five years following the date of sale of each motor vehicle, the following records:
(a) The name of the most recent owner (other
than the auction company);
(b) The
name of the buyer;
(c) The vehicle
identification number; and
(d) The
odometer reading on the date which the auction company took possession of the
motor vehicle.
SECTION 9. Disclosure of Odometer Information by Power of Attorney.
(a) If the transferor's title is physically
held by a lienholder, or if the transferor to whom the title was issued by the
State has lost his title and the transferee obtains a duplicate title on behalf
of the transferor, and if otherwise permitted by State law, the transferor may
give a power of attorney to his transferee for the purpose of mileage
disclosure. The power of attorney shall be on a form issued by the State to the
transferee that is set forth by means of a secure printing process or other
secure process, and shall contain, in part A, a space for the information
required to be disclosed under paragraphs (b), (c), (d), and (e) of this
section. If a State permits the use of a power of attorney in the situation
described in Section 10 (a), the form must also contain, in part B, a space for
the information required to be disclosed under Section 10 and, in-' part C, a
space for the certification required to be made under Section 11.
(b) In connection with the transfer of
ownership of a motor vehicle, each transferor to whom a title was issued by the
State whose title is physically held by a lienholder or whose title has been
lost, and who elects to give his transferee a power of attorney for the purpose
of mileage disclosure, must appoint the transferee his attorney-in-fact for the
purpose of mileage disclosure and disclose the mileage on the power of attorney
form issued by the state. This written disclosure must be signed by the
transferor, including the printed name, and contain the following information:
(1) The odometer reading at the time of
transfer (not to include tenths of miles);
(2) The date of transfer;
(3) The transferor's name and current
address;
(4) The transferee's name
and current address; and
(5) The
identity of the vehicle, including its make, model year, body type and vehicle
identification number;
(c) In addition to the information provided
under paragraph (b) of this section, the power of a attorney form shall refer
to the Federal odometer law and state that providing false information or the
failure of the person granted the power of attorney to submit the form to the
State may result in fines and/or imprisonment. Reference may also be made to
applicable State law.
(d) In
addition to the information provided under paragraphs (b) and (c) of this
section;
(1) The transferor shall certify that
to the best of his knowledge the odometer reading reflects the actual mileage;
or
(2) If the transferor knows that
the odometer reading reflects mileage in excess of the designed mechanical
odometer limit, he shall include a statement to that effect; or
(3) If the transferor knows that the odometer
reading differs from the mileage and the difference is greater than that caused
by a calibration error, he shall include a statement that the odometer reading
does not reflect the actual mileage and should not be relied upon. This
statement shall also include a warning notice to alert the transferee that a
discrepancy exists between the odometer reading and the actual
mileage.
(e) The
transferee shall sign the power of attorney form, print his name, and return a
copy of the power of attorney form to the transferor.
(f) Upon receipt of the transferor's title,
the transferee shall complete the space for mileage disclosure on the title
exactly as the mileage was disclosed by the transferor on the power of attorney
form. The transferee shall submit the original power of attorney form to the
State that issued it, with the application for new title and the transferor's
title. If the mileage disclosed on the power of attorney form is lower than the
mileage appearing on the title, the power of attorney is void and the dealer
shall not complete the mileage disclosure on the title.
SECTION 10. Power of Attorney to Review Title Documents and Acknowledge Disclosure.
(a) In
circumstances where part A of a secure power of attorney form has been used
pursuant to Section 9 of this part, and if otherwise permitted by State law, a
transferee may give a power of attorney to his transferor to review the title
and any reassignment documents for mileage discrepancies, and if no
discrepancies are found, to acknowledge disclosure on the title. The power of
attorney shall be on part B of the form referred to in Section 9(a), which
shall contain a space for the information required to be disclosed under
paragraphs (b), (c), (d), and (e) of this section and, in part C, a space for
the certification required to be made under Section 11.
(b) The power of attorney must include a
mileage disclosure from the transferor to the transferee and must be signed by
the transferor, including the printed name, and contain the following
information:
(1) The odometer reading at the
time of transfer (not to include tenths of miles);
(2) The date of transfer;
(3) The transferor's name and current
address;
(4) The transferee's name
and current address; and
(5) The
identity of the vehicle, including its make, model year, body type and vehicle
identification number.
(c) In addition to the information provided
under paragraph (b) of this section, the power of attorney form shall refer to
the Federal odometer law and state that providing false information or the
failure of the person granted the power of attorney to submit the form to the
State may result in fines and/or imprisonment. Reference may also be made to
applicable State law.
(d) In
addition to the information provided under paragraphs (b) and (c) of this
section:
(1) The transferor shall certify that
to the best of his knowledge the odometer reading reflects the actual
mileage;
(2) If the transferor
knows that the odometer reading reflects mileage in excess of the designed
mechanical odometer limit, he shall include a statement to that effect;
or
(3) If the transferor knows that
the odometer reading differs from the mileage and the difference is greater
than that caused by a calibration error, he shall include a statement that the
odometer reading does not reflect the actual mileage and should not be relied
upon. This statement shall also include a warning notice to alert the
transferee that a discrepancy exists between the odometer reading and the
actual mileage.
(e) The
transferee shall sign the power of attorney form and print his name.
(f) The transferor shall give a copy of the
power of attorney form to his transferee.
SECTION 11. Certification by Person Exercising powers of Attorney.
(a) A person
who exercises a power of attorney under both Section 9 and Section 10 must
complete a certification that he has disclosed on the title document the
mileage as it was provided to him on the power of attorney form, and that upon
examination of the title and any reassignment documents, the mileage disclosure
he has made on the title pursuant to the power of attorney is greater than that
previously stated on the title and reassignment documents. This certification
shall be under part C of the same form as the power of attorney executed under
Section 9 and Section 10 and shall include:
(1) The signature and printed name of-' the
person exercising the power of attorney:
(2) The address of the person exercising the
power of attorney; and
(3) the date
of the certification.
(b) If the mileage reflected by the
transferor on the power of attorney is less than that previously stated on the
title and any reassignment documents, the power of attorney shall be
void.
SECTION 12. Access of Transferee to Prior Title and Power of Attorney Documents.
(a) In circumstances in which a power of
attorney has been used pursuant to Section 9 of this part, if a subsequent
transferee elects to return to his transferor to sign the disclosure on the
title when the transferor obtains the title and does not give his transferor a
power of attorney to review the title and reassignment documents, upon the
transferee's request, the transferor shall show to the transferee a copy of the
power of attorney that he received from his transferor.
(b) Upon request of a purchaser, a transferor
who was granted a power of attorney by his transferor and who holds the title
to the vehicle in his own name, must show to the purchaser the copy of the
previous owner's title and the power of attorney form.
APPENDIX A
APPENDIX B
APPENDIX C
APPENDIX D
APPENDIX E
Disclaimer: These regulations may not be the most recent version. Arkansas may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.
