Section 11713.16 Of Article 1. Issuance Of Licenses And Certificates To Manufacturers, Transporters, And Dealers From California Vehicle Code >> Division 5. >> Chapter 4. >> Article 1.
11713.16
. It is a violation of this code for the holder of any
dealer's license issued under this article to do any of the
following:
(a) Advertise any used vehicle of the current or prior model-year
without expressly disclosing the vehicle as "used," "previously
owned," or a similar term that indicates that the vehicle is used, as
defined in this code.
(b) Use the terms "on approved credit" or "on credit approval" in
an advertisement for the sale of a vehicle unless those terms are
clearly and conspicuously disclosed and unabbreviated.
(c) Advertise an amount described by terms such as "unpaid balance"
or "balance can be financed" unless the total sale price is clearly
and conspicuously disclosed and in close proximity to the advertised
balance.
(d) Advertise credit terms that fail to comply with the disclosure
requirements of Section 226.24 of Title 12 of the Code of Federal
Regulations. Advertisements of terms that include escalated payments,
balloon payments, or deferred downpayments shall clearly and
conspicuously identify those payments as to amounts and time due.
(e) Advertise as the total sales price of a vehicle an amount that
includes a deduction for a rebate. However, a dealer may advertise a
separate amount that includes a deduction for a rebate provided that
the advertisement clearly and conspicuously discloses, in close
proximity to the amount advertised, the price of the vehicle before
the rebate deduction and the amount of the rebate, each so
identified. A dealer may not advertise a rebate deduction that
conflicts with another advertised rebate deduction.
(f) Advertise claims such as "everyone financed," "no credit
rejected," or similar claims unless the dealer is willing to extend
credit to any person under any and all circumstances.
(g) Advertise the amount of any downpayment unless it represents
the total payment required of a purchaser prior to delivery of the
vehicle, including any payment for sales tax or license. Statements
such as "$_____ delivers," "$____ puts you in a new car" are examples
of advertised downpayments.
(h) Advertise the price of a new vehicle or class of new vehicles
unless the vehicle or vehicles have all of the equipment listed as
standard by the manufacturer or distributor or the dealer has
replaced the standard equipment with equipment of higher value.
(i) Fail to clearly and conspicuously disclose in an advertisement
for the sale of a vehicle any disclosure required by this code or
any qualifying term used in conjunction with advertised credit terms.
Unless otherwise provided by statute, the specific size of
disclosures or qualifying terms is not prescribed.