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Perhaps unfortunately and unfairly, car dealers have a rather poor reputation. This year, however, the General Assembly seems determined to assist in that sordid endeavor. Legislation is pending that would allow car dealers to not disclose up to $5000 worth of water or flood damage repair that a car has incurred. Presently, dealers are required to disclose any amounts above $1000, but this bill would raise that amount to $5000.
If this law passes, Virginia will be unique, and not in a good way, with the highest amount of damage that doesn’t have to be disclosed. Most states require that ANY previous water damage to the vehicle be revealed, with a few states allowing our present amount, $1000, to be shielded.
Ironically, in these perilous economic times, we propose to punish those who are willing and able to purchase a vehicle by creating a situation where they may not even know if their car has experienced significant flood damage. The average sales price of a used car (according to DMV) is about $6200, meaning that if a car has experienced $4999 worth of damage (just under the proposed $5000 disclosure), then that is over 80% of the car’s value that has been damaged, but not disclosed.
But, perhaps more important than the specific numbers, is the human cost of this legislation. Vehicles that have experienced substantial water damage have electrical components that may well corrode, impacting steering, engine, brakes and air bags, all very critical parts of cars and car safety. Moreover, they can have damage that appears cosmetic but actually leaves mold and mildew, dangerous for those with asthma and weak immune systems. How can we, as the Commonwealth of Virginia, ask our citizens to incur such risks?
Isn’t it our responsibility as legislators to ensure that Virginians have access to the most information so they can make informed decisions and be knowledgeable, cautious and wise consumers. We should be improving our consumer standards, providing more information in the name of transparency, education and safety, not, in the 21st century, moving backwards to putting consumers at greater risk. Buyers should be able to decide based on ALL available information and vehicle history.
Surely, the recent automobile recalls have taught us that we need to approach vehicles with caution and knowledge. I will continue to advocate for more consumer protections, more consumer information and greater transparency in all transactions.
Please feel free to contact me for more information on this or any other legislation. I can be reached at
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or 804.698.7509. Additional information about the legislative session can be found on my website at www.donaldmceachin.com. And, once again, let me thank you for the honor and privilege of serving you. |