Frequently Asked Questions: Select a topic for more detail.
Auto insurance (influencing a buyer) | The Motor Vehicle Sales Finance Act (MVSFA) has rules against directly or indirectly recommending a particular company/agent to customers who may ask about auto insurance.
Civic License Plate | Dealers can apply for a special-use Civic Plate, available for dealership vehicles loaned or donated to golf tournaments, charity events, or public civic events.
Contracts with a minor | Under Michigan law, contracts entered into with individuals under the age of 18 are generally not enforceable.
Damage Disclosure | Written disclosure of damage and repairs are required in certain situations when a new vehicle dealer is selling a new, demonstrator, executive or manufacturer, or program vehicle has been damaged and repaired.
Dealer plates: missing, stolen, lost or damaged | If a dealer needs to replace lost, stolen or missing dealer plates, a police report must be filed before the replacement request will be approved.
Disabled Veterans vehicle tax relief | “Vehicle tax relief” does not provide a sales/use tax exemption on a vehicle purchased by a disabled veteran or his/her surviving spouse.
NADA Academy: Lemon Law & Warranty Reimbursement | Dealership employees who attend NADA Academy will often need to reference their state’s rules and regulations for lemon law and warranty reimbursement.
Repair invoice criteria | Chapter 6 of the Repair Facility Manual outlines the requirements for compliant customer invoices.
School children transportation | Before selling a full-size passenger van to a public or private school group, or even youth groups and child care centers, make sure you are aware of NHTSA’s school bus regulations.
Shorts in the service department | OSHA requires that a business identify all workplace hazards and implement a dress code that is designed to promote workplace safety.
Spot delivery | In Michigan, once a motor vehicle loan is closed and the buyer takes possession of the vehicle, the dealer cannot rescind the contract or request the return of the vehicle for any reason.
Tax exempt sales | When a customer claims a tax exemption, the dealership must obtain a properly completed form to substantiate the claim.
Temporary sales | A temporary sale at a location away from the established place of business requires additional licensing. This includes a “tent sale,” auto show or activity in which vehicles may be displayed or sold for a specific length of time.
Tribal sales | A tribal exemption is available in two circumstances: either Treasury provides the vehicle dealer with an exemption letter, or the tribal member provides a Tribal Certificate of Exemption for Sales and Use Tax and letter of authorization.

