jfr628 said:
A dealership sold me a wrecked car! What can I do about it? Do I have any legal rights? When I found out it had been wrecked (within the 30 day warrenty) I told them I wanted my vehicle back that I had traded and they told me it was too late. They had already sold it. I live in Alabama.
My response:
Throw this Federal law in the dealers face, and get your money back - - if the fact of the vehicle was a salvage and wasn't disclosed. If the dealer still refuses, sue the jerk, and report the dealership to the DMV.
SECTION 1. SHORT TITLE.
This Act may be cited as the `Salvaged and Damaged Motor Vehicle Information Disclosure Act'.
SEC. 2. FINDINGS AND PURPOSE.
(a) FINDINGS- Congress finds that--
(1) the salvage, flood, and damage history of a motor vehicle is important in assisting a buyer to determine its safety, value and reliability;
(2) the rebuilding of salvage and flood vehicles bears similarities to the manufacture of motor vehicles, and as such requires safeguards to prevent the sale and operation on the roadways of the United States of unsafe rebuilt motor vehicles;
(3) the switching of parts and vehicle identification numbers between salvage vehicles and stolen motor vehicles facilitates the disposal of stolen motor vehicles for profit;
(4) motor vehicle titles and accompanying documents are an important source of information concerning the salvage, flood, and damage history of motor vehicles;
(5) the National Motor Vehicle Title Information System has the potential to greatly enhance the availability of critical information concerning motor vehicles for the buying public and for auto theft investigators, if sufficient information is made available to that system and through the system to vehicle purchasers; and
(6) motor vehicles move in, or affect, interstate and foreign commerce.
(b) PURPOSES- The purposes of this Act are as follows:
(1) To establish certain safeguards for the protection of--
(A) buyers in the sale of motor vehicles that are salvage or flood vehicles or have suffered major damage; and
(B) any other person whose safety may be affected by such a vehicle.
(2) To--
(A) preserve information provided on motor vehicle titles and accompanying documents with respect to the title and damage history of the vehicles;
(B) establish certain safeguards to ensure that, with respect to a motor vehicle, the information described in subparagraph (A) is passed on with all subsequent title transfers; and
(C) promote the participation of the States in, and the flow of important information concerning the title and damage history of motor vehicles through, the National Motor Vehicle Title Information System.
SEC. 3. MOTOR VEHICLE TITLING AND DISCLOSURE REQUIREMENTS.
(a) IN GENERAL- Subtitle VI of title 49, United States Code, is amended by adding at the end the following:
`CHAPTER 333--SAFEGUARDS FOR PURCHASERS OF MOTOR VEHICLES CONCERNING THE HANDLING OF SALVAGE AND NONREBUILDABLE VEHICLES.
`Sec.
`33301. Definitions.
`33302. Disclosure requirements on transfer of motor vehicles.
`33303. Certification of proper repair.
`33304. Transfer and operation of nonrepairable vehicles.
`33305. Conspiracy to violate this chapter.
`33306. General enforcement provisions.
`33307. Administrative warrants.
`33308. Confidentiality of information.
`33309. Penalties and enforcement.
`33310. Civil actions by private persons.
`33311. Relationship to State law.
`33312. State eligibility for funding.
`Sec. 33301. Definitions
`In this chapter:
`(1) ACTUAL COST- The term `actual cost', when used in connection with a motor vehicle, means the price paid at retail for repairs or the fair retail market value of the repairs needed to return a motor vehicle to its undamaged condition, whichever is greater.
`(2) AUCTION COMPANY- The term `auction company' has the meaning given that term in section 32702.
`(3) AUTOMOTIVE RECYCLER OR DISMANTLER- The term `automotive recycler or dismantler' has the meaning given that term in section 30501(a).
`(4) COSMETIC DAMAGE- The term `cosmetic damage' means damage to paint, glass, trim, tires, or any other component of a motor vehicle that is purely cosmetic in nature.
`(5) COST OF REPAIR- The term `cost of repair' means the estimated or actual cost of repair, whichever is greater.
`(6) DEALER- The term `dealer' has the meaning given that term in section 32702.
`(7) DISTRIBUTOR- The term `distributor' has the meaning given that term in section 32702.
`(8) FLOOD VEHICLE- The term `flood vehicle' means a motor vehicle that has--
`(A) been submerged in water to the point that rising water has reached over the door sill of the motor vehicle or has entered the passenger or trunk compartment; or
`(B) had `flood' or a similar word or symbol placed on its title.
`(9) INSURANCE CARRIER- The term `insurance carrier' has the meaning given that term in section 30501.
`(10) LEASED MOTOR VEHICLE- The term `leased motor vehicle' means a motor vehicle leased to a person for a period of at least 4 months by a lessor that leased at least 5 vehicles during the preceding 12-month period.
`(11) MAJOR DAMAGE-
`(A) IN GENERAL- Subject to subparagraph (B), the term `major damage' means damages of any kind, suffered in 1 incident, that have an aggregate cost of repair of $3,000 or more.
`(B) INCLUSION OF COSMETIC DAMAGE- If the full cost of repair for damages suffered in 1 incident is attributable only to cosmetic damages, those damages shall not constitute major damage.
`(12) MOTOR VEHICLE- The term `motor vehicle' has the meaning given that term in section 30102 of title 49, United States Code.
`(13) NONREPAIRABLE VEHICLE- The term `nonrepairable vehicle' means a motor vehicle that at any time--
`(A) has had `nonrepairable' or a similar word or symbol placed on its title;
`(B) has been designated as a nonrepairable vehicle by its owner; or
`(C) has suffered major damage, in 1 incident, for which the cost of repair exceeds 90 percent of the vehicle's fair retail market before it was damaged.
`(14) SALVAGE VEHICLE- The term `salvage vehicle' means a motor vehicle that, at any time--
`(A) has had `salvage' or a similar word or symbol placed on its title;
`(B) has been transferred to an insurance carrier in connection with the resolution of a damage claim;
`(C) has been designated as a salvage vehicle by its owner; or
`(D) has suffered major damage, in 1 incident, for which the cost of repair exceeds 65 percent of the vehicle's fair retail market value immediately before it was damaged.
`(15) SECRETARY- The term `Secretary' means the Secretary of Transportation.
`(16) STATE- The term `State' has the meaning given that term in section 32101.
`(17) TITLE- The term `title' means, with respect to a motor vehicle, the certificate of title or other document issued by a State indicating ownership, or the manufacturer's certificate of origin if no document has been issued by the State indicating ownership.
`(18) TRANSFER- The term `transfer' has the meaning given that term in section 32702.
`Sec. 33302. Disclosure requirements on transfer of motor vehicles
`(a) DISCLOSURE REQUIREMENTS-
`(1) IN GENERAL- Not later than 180 days after the date of enactment of the Salvaged and Damaged Motor Vehicle Information Disclosure Act, the Secretary shall promulgate regulations that--
`(A) provide for the manner in which information is disclosed and retained under this section;
`(B) require that a person transferring ownership of a motor vehicle give the transferee a written disclosure, signed by the transferor and transferee, that--
`(i) states, to the best of the transferor's knowledge--
`(I) whether the vehicle at any time in its history has been a salvage, flood, or nonrepairable vehicle; and
`(II) whether the vehicle at any time in its history has suffered major damage; and
`(ii) if a vehicle has suffered major damage or flood damage, includes a brief description of the nature and amount of each occurrence of that damage.
`(2) ADDITIONAL REQUIREMENTS-
`(A) IN GENERAL-
`(i) ATTACHMENT OF FORM- Except as provided in clause (ii), the regulations promulgated under paragraph (1) shall require that the original of the form containing the information described in paragraph (1)(B) be attached by the transferor to the title of the motor vehicle.
`(ii) EXCEPTION- If the title of a motor vehicle includes spaces for disclosures in a format that conforms with the regulations promulgated by the Secretary under this subsection, those disclosures on the title may constitute the original of the form, if the law of the State in which the transfer is executed provides that the disclosures constitute the original.
`(B) POWER OF ATTORNEY-
`(i) IN GENERAL- The regulations promulgated under paragraph (1) shall provide that if the original of the form containing the information described in paragraph (1)(B) is on the title, and the title is in the possession of a lienholder when the transferor transfers the vehicle, the transferor may use a secure written power of attorney (if permitted under applicable State law) in making the disclosure required under paragraph (1)(B).
`(ii) PROCEDURES- Any secure written power of attorney exercised under clause (i) shall be exercised in accordance with procedures that are similar to the procedures under the regulations issued under section 32705(b)(2).
`(C) DISCLOSURE FORMS- The regulations promulgated under paragraph (1) shall require that--
`(i) a copy of the form containing the information described in paragraph (1)(B), or a copy of the secure power of attorney (if such a form is used), shall be given to the transferee before the execution of any sale or transfer of ownership;
`(ii) the disclosure form shall advise any transferor who lacks certainty about the history or scope of damage to the vehicle to give a full description of all facts known by the transferor bearing on possible major damage or flood, salvage, or nonrepairable history; and
`(iii) the disclosure form shall be printed by means of a secure printing process (or other secure process).
`(D) RETENTION OF DISCLOSURE FORMS- A dealer or distributor that is required by this chapter to execute a disclosure statement on a disclosure form shall retain for at least 5 years a photostat, carbon, or other facsimile copy of each disclosure form that the dealer or distributor issues and receives.
`(3) APPLICABILITY OF REQUIREMENTS- A person transferring ownership of a motor vehicle shall be subject to the requirements of the regulations promulgated under this section. That person may not give a false statement to the transferee in making the disclosure required by such a regulation or otherwise violate the requirements of those regulations.
`(4) ACQUISITIONS FOR RESALE- A person acquiring a motor vehicle for resale may not accept a written disclosure under this section unless the disclosure form is complete, as determined under this section. Such a person may not accept a title to the motor vehicle unless each assignment of the title is accompanied by an attached disclosure form required under this section.
`(b) DISCLOSURE STATEMENT REQUIREMENT FOR LICENSING- If the ownership of a motor vehicle is transferred, the motor vehicle may not be licensed for use in a State unless the transferee, in submitting an application to a State for the title on which the license will be issued, includes with the application--
`(1) the transferor's title; and
`(2) an attached disclosure statement on a disclosure form that meets the requirements of this section for each assignment of title that is, as required under subsection (a)--
`(A) signed and dated by each transferor; and
`(B) signed by each transferee.
`(c) LEASED MOTOR VEHICLES-
`(1) IN GENERAL- For a leased motor vehicle, the regulations promulgated under subsection (a) shall require written disclosure concerning major damage, salvage, flood or nonrepairable history to be made--
`(A) by the lessor to the lessee before the execution of any lease documents; and
`(B) by the lessee to the lessor before the lessor's transfer of ownership of the vehicle.
`(2) NOTICE- Under the regulations described in paragraph (1), the lessor shall provide written notice to the lessee of--
`(A) the lessee's damage, salvage, flood and nonrepairable disclosure requirements under paragraph (1); and
`(B) the penalties for failure to comply with the requirements referred to in subparagraph (A).
`(3) RETENTION OF DISCLOSURES- The lessor shall retain the disclosures made by a lessee under paragraph (1) for a period of at least 5 years following the date the lessor transfers the leased motor vehicle.
`(4) TRANSFER OF OWNERSHIP-
`(A) IN GENERAL- Except as provided in subparagraph (B), if the lessor transfers ownership of a leased motor vehicle without obtaining possession of the vehicle, the lessor, in making the disclosure required by subsection (a), may indicate on the disclosure form the facts disclosed by the lessee under paragraph (1).
`(B) EXCEPTION- If the lessor has reason to believe that the disclosure by the lessee does not reflect the complete major damage or flood, salvage, or nonrepairable history of the vehicle, the disclosure of the facts disclosed by the lessee shall not be considered sufficient to meet the requirements of subparagraph (A).
`(d) AUCTION SALES- If any motor vehicle is sold at an auction, the auction company or other entity conducting the auction shall maintain the following records for at least 5 years after the date of the sale:
`(1) The name of the most recent owner of the motor vehicle (except the auction company) and the name of the buyer of the motor vehicle.
`(2) The vehicle identification number required under chapter 301 or 331.
`(3) A statement indicating whether the disclosure given by the most recent owner of the motor vehicle as required by subsection (a) indicated that the vehicle had suffered major damage or was a salvage, flood, or nonrepairable vehicle.
`(e) SETTLEMENTS-
`(1) IN GENERAL- In any case in which an insurance carrier makes a settlement on a motor vehicle that is a salvage, flood, or nonrepairable vehicle, or has suffered major damage, and the vehicle is not transferred to the insurance carrier in connection with the settlement, the carrier shall deliver a written notice to the vehicle's owner at or before the time of the settlement informing the owner of the obligation to make disclosures upon transfer of the vehicle in a manner consistent with this chapter.
`(2) ADDITIONAL REQUIREMENTS- If a vehicle referred to in paragraph (1) is--
`(A) a salvage or flood vehicle, the notice under that paragraph shall inform the owner of the requirements of section 33303; or
`(B) a nonrepairable vehicle, in addition to providing the notice under paragraph (1), the insurance carrier shall notify the State agency responsible for issuing titles to motor vehicles for the State in which the motor vehicle is registered that the motor vehicle is a nonrepairable vehicle.
`(3) DISCLOSURE FORM- The notice shall enclose a blank disclosure form that meets the requirements of the regulations promulgated under subsection (a) for use by the owner in any transfer of the vehicle.
`(f) NONDESTRUCTION OF TITLE INFORMATION-
`(1) IN GENERAL- The regulations promulgated under subsection (a) shall require that for any motor vehicle title issued on or after the date that is 1 year after the date of enactment of the Salvaged and Damaged Motor Vehicle Information Disclosure Act, the issuing State shall conspicuously disclose in writing on the new certificate of title in any case in which the previous title or accompanying documents surrendered to the State indicate that the motor vehicle--
`(A) at any time has been a salvage, flood, nonrepairable, or rebuilt salvage vehicle;
`(B) has suffered major damage; or
`(C) has been described by any other symbol or word of like kind.
`(2) IDENTIFICATION OF STATE- The regulations promulgated under subsection (a) shall require that the name of the State that issued any title showing a description described in subparagraph (A), (B), or (C) of paragraph (1) be conspicuously disclosed in writing on the new certificate of title.
`Sec. 33303. Certification of proper repair
`(a) REQUIREMENT FOR CERTIFICATION OF REPAIRED SALVAGE OR FLOOD VEHICLES-
`(1) IN GENERAL-
`(A) REGULATIONS- Not later than 180 days after the date of enactment of the Salvaged and Damaged Motor Vehicle Information Disclosure Act, the Secretary shall promulgate regulations that specify that, after the date which is 1 year after the date of enactment of that Act, no person may transfer any vehicle that becomes a salvage or flood vehicle to any person other than a person described in subparagraph (B), unless the transferor gives to the transferee a copy of a certificate of inspection prepared by a person who rebuilt the vehicle (referred to in this subsection as the `rebuilder') meeting the requirements of paragraph (2)(C) that--
`(i) is signed by the rebuilder; and
`(ii) attests that the original recognized vehicle manufacturer's established repair procedures or specifications and allowable tolerances for the particular model and year were utilized and adhered to in the repair and inspection of the vehicle.
`(B) PERSONS DESCRIBED- A person described in this subparagraph is--
`(i) an insurance company;
`(ii) a dealer;
`(iii) a distributor; or
`(iv) an automotive recycler or dismantler.
`(2) ADDITIONAL REQUIREMENTS- In addition to the requirements under paragraph (1), the regulations promulgated under this subsection shall--
`(A) require that--
`(i) the original of the certificate of inspection containing the information required under paragraph (1) be attached by the transferor to the title, unless the original of the form has previously been surrendered with a title to a State;
`(ii) a copy of the certificate of inspection be given to the transferee before the execution of any sale or transfer of ownership documents;
`(iii) the certificate of inspection be printed by means of a secure printing process (or other secure process); and
`(iv) a decal or inscription that the Secretary considers to be permanent be affixed by the rebuilder on the door jamb or other prominent location on the vehicle, with the primary aim of alerting prospective future purchasers to the salvage or flood history and the damage to the vehicle;
`(B) provide that, if a title that is issued after the vehicle became a salvage or flood vehicle indicates on its face that a certification from the rebuilder required under this section was surrendered to the State, the transferor shall not be required to provide a certificate of inspection concerning that repair;
`(C) describe the qualifications and equipment required for any person to be permitted to execute a certification described in paragraph (1)(A);
`(D) establish the minimum steps and inquiry to be undertaken during any inspection; and
`(E) at the discretion of the Secretary, require that the inspector shall post a bond, of an amount determined by the Secretary, but not to exceed $250,000, conditioned on terms designed to protect the public against--
`(i) unsafe or otherwise inadequate repairs; or
`(ii) incorrect or otherwise improper inspection certifications.
`(b) PROHIBITION- A person transferring ownership of a motor vehicle or making the certification may not violate a regulation promulgated under this section or make a false statement in making the certification.
`Sec. 33304. Transfer and operation of nonrepairable vehicles
`(a) IN GENERAL- With respect to any motor vehicle that is first determined to be nonrepairable later than 90 days after the date of enactment of the Salvaged and Damaged Motor Vehicle Information Disclosure Act, a person--
`(1) may not register the vehicle in any State for operation on any street, road or highway, and may not operate the vehicle on any street, road or highway, if the person knows that the vehicle has been determined to be nonrepairable; and
`(2) may transfer the vehicle only to an insurance company, automotive recycler or dismantler, and only for dismantling into parts or for crushing.
`(b) PROHIBITION- After a State receives a disclosure form under section 33302(a) or a title or title application indicating that a motor vehicle is a nonrepairable vehicle, the vehicle that is the subject of the form or application may not be licensed for use in that State.
`Sec. 33305. Conspiracy to violate this chapter
`A person may not conspire to violate section 33302, 33303, or 33304.
`Sec. 33306. General enforcement provisions
`(a) AUTHORITY TO INSPECT AND INVESTIGATE-
`(1) IN GENERAL- Subject to section 33307, the Secretary may conduct an inspection or investigation necessary to carry out this chapter (including a regulation promulgated or order issued under this chapter).
`(2) COOPERATION- In conducting an inspection or investigation under this section, the Secretary shall cooperate with State and local officials to the greatest extent practicable.
`(3) INFORMATION- The Secretary may provide to the Attorney General information concerning a violation of this chapter (including a regulation promulgated or order issued under this chapter).
`(b) ENTRY, INSPECTION, AND IMPOUNDMENT-
`(1) IN GENERAL- In carrying out subsection (a), an officer or employee designated by the Secretary, on display of proper credentials and written notice to the owner, operator, or agent in charge, may--
`(A) enter and inspect commercial premises in which a motor vehicle or motor vehicle equipment is manufactured, held for shipment or sale, maintained, or repaired;
`(B) enter and inspect noncommercial premises in which the Secretary reasonably believes there is a motor vehicle or motor vehicle equipment that is an object of a violation of this chapter;
`(C) inspect that motor vehicle or motor vehicle equipment; and
`(D) impound for a period of not more than 72 hours for inspection a motor vehicle or motor vehicle equipment that the Secretary reasonably believes is an object of a violation of this chapter.
`(2)(A) INSPECTION- An inspection or impoundment under this subsection shall be conducted at a reasonable time, in a reasonable manner, and with reasonable promptness.
`(B) WRITTEN NOTICE- The written notice under paragraph (1) may consist of a warrant issued under section 33307.
`(c) REASONABLE COMPENSATION- At such time as the Secretary impounds for inspection a motor vehicle (except a vehicle subject to an exemption under subchapter I of chapter 135) or motor vehicle equipment under subsection (b)(1)(D), the Secretary shall pay reasonable compensation to the owner of the vehicle or equipment if the inspection or impoundment results in denial of use, or reduction in value, of the vehicle or equipment.
`(d) RECORDS AND INFORMATION REQUIREMENTS-
`(1) IN GENERAL- To enable the Secretary to make a determination whether a dealer or distributor is complying with this chapter (including regulations promulgated and orders issued under this chapter), the Secretary may require a dealer, distributor, or automotive recycler or dismantler to--
`(A) keep records;
`(B) provide information from those records if the Secretary states the purpose for requiring the information and identifies the information to the fullest extent practicable; and
`(C) allow an officer or employee designated by the Secretary to inspect relevant records of the dealer or distributor.
`(2) STATUTORY CONSTRUCTION- This subsection and subsection (e)(1)(B) shall not be construed to authorize the Secretary to require a dealer, distributor, or automotive recycler or dismantler to provide information to the Secretary on a regular periodic basis.
`(e) ADMINISTRATIVE AUTHORITY AND CIVIL ACTIONS TO ENFORCE-
`(1) IN GENERAL- In carrying out this chapter, the Secretary may--
`(A) inspect and copy records of any person at reasonable times;
`(B) order a person to file written reports or answers to specific questions, including reports or answers under oath; and
`(C) conduct hearings, administer oaths, take testimony, and require (by subpoena or otherwise) the appearance and testimony of witnesses and the production of records the Secretary considers advisable.
`(2) PAYMENT OF WITNESSES- A witness summoned under this subsection may receive the same fee and mileage as that witness would be paid in a court of the United States.
`(3) ACTIONS-
`(A) IN GENERAL- A civil action to enforce a subpoena or order of the Secretary under this subsection may be brought in the United States district court for any judicial district in which the proceeding by the Secretary is conducted.
`(B) CONTEMPT OF COURT- The court may punish a failure to obey an order of the court to comply with the subpoena or order of the Secretary as a contempt of court.
`(f) PROHIBITIONS- A person may not fail to--
`(1) keep records or provide access to or copying of records, as required under this section;
`(2) make reports or provide information, as required under this section;
`(3) allow entry or inspection, as required under this section; or
`(4) permit impoundment, as required under this section.
`Sec. 33307. Administrative warrants
`(a) DEFINITION- In this section, the term `probable cause' means a valid public interest in the effective enforcement of this chapter (including a regulation promulgated under this chapter) that is sufficient to justify the inspection or impoundment in the circumstances stated in an application for a warrant under this section.
`(b) WARRANT REQUIREMENT AND ISSUANCE-
`(1) IN GENERAL- Except as provided in paragraph (4), an inspection or impoundment under section 33306 may be carried out only after a warrant is obtained.
`(2) WARRANTS-
`(A) IN GENERAL- A judge of a court of the United States or a State court of record or a United States magistrate may issue a warrant for an inspection or impoundment under section 33306 within the territorial jurisdiction of the court or magistrate.
`(B) REQUIREMENTS FOR AFFIDAVITS- A warrant under subparagraph (A) shall be based on an affidavit that--
`(i) establishes probable cause to issue the warrant; and
`(ii) is sworn to before the judge or magistrate by an officer or employee who knows the facts alleged in the affidavit.
`(C) ISSUANCE OF WARRANTS- The judge or magistrate shall issue a warrant under subparagraph (A) if the judge or magistrate determines there is a reasonable basis for believing that probable cause exists to issue the warrant.
`(D) REQUIREMENTS FOR WARRANTS- A warrant issued under this paragraph shall--
`(i) identify the premises, property, or motor vehicle to be inspected and the items or type of property to be impounded;
`(ii) state the purpose of the inspection, the basis for issuing the warrant, and the name of the affidavit;
`(iii) direct an individual authorized under section 33306 to inspect the premises, property, or vehicle for the purpose stated in the warrant and, if appropriate, to impound the property specified in the warrant;
`(iv) direct that the warrant be served during the hours specified in the warrant; and
`(v) name the judge or magistrate with whom proof of service is to be filed.
`(3) EXCLUSIONS- A warrant is not required under this section, if--
`(A) the owner, operator, or agent in charge of the premises consents to the inspection or impoundment;
`(B) it is reasonable to believe that the mobility of the motor vehicle to be inspected renders obtaining a warrant impractical;
`(C) an application for a warrant cannot be made because of an emergency;
`(D) records are to be inspected and copied under section 33306(e)(1)(A); or
`(E) a warrant is not required under the Constitution of the United States.
`(c) SERVICE AND IMPOUNDMENT OF PROPERTY-
`(1) IN GENERAL-
`(A) PERIOD FOR SERVICE- A warrant issued under this section shall be served and proof of service filed not later than 10 days after its issuance date.
`(B) EXTENSION- The judge or magistrate may extend the period of time specified in subparagraph (A) in the warrant if the Secretary demonstrates a need for additional time.
`(C) PROOF OF SERVICE- Proof of service shall be filed promptly after a warrant is executed, with a written inventory of the property impounded under the warrant.
`(D) INVENTORIES- An inventory under subparagraph (B) shall be made in the presence of--
`(i) the individual serving the warrant and the individual from whose possession or premises the property was impounded; or
`(ii) if that individual is not present, a credible individual, except the individual making the inventory.
`(E) VERIFICATION- The individual serving the warrant shall verify the inventory.
`(F) COPIES OF INVENTORIES- On request, the judge or magistrate shall send a copy of the inventory to the individual from whose possession or premises the property was impounded and to the applicant for the warrant.
`(2) IMPOUNDMENT- When property is impounded under a warrant under this section, the individual serving the warrant shall--
`(A) give the person from whose possession or premises the property was impounded a copy of the warrant and a receipt for the property; or
`(B) leave the copy and receipt at the place from which the property was impounded.
`(3) FILING- A judge or magistrate shall file a warrant, proof of service, and all documents filed about the warrant with the clerk of the United States district court for the judicial district in which an inspection is made.
`Sec. 33308. Confidentiality of information
`(a) GENERAL- Information obtained by the Secretary under this chapter related to a confidential matter referred to in section 1905 of title 18 may be disclosed only--
`(1) to another officer or employee of the United States Government for use in carrying out this chapter; or
`(2) in a proceeding under this chapter.
`(b) WITHHOLDING INFORMATION FROM CONGRESS- This section does not authorize information to be withheld from a committee of Congress authorized to have the information.
`Sec. 33309. Penalties and enforcement
`(a) CIVIL PENALTIES-
`(1) IN GENERAL-
`(A) LIABILITY- A person that violates this chapter (including a regulation prescribed or order issued under this chapter) is liable to the United States Government for a civil penalty of not more than $2,000 for each violation.
`(B) SEPARATE VIOLATIONS- A separate violation occurs for each motor vehicle involved in the violation.
`(C) MAXIMUM PENALTY- The maximum penalty under this subsection for a related series of violations is $100,000.
`(2) PROCEDURES FOR IMPOSING CIVIL PENALTIES-
`(A) CIVIL PENALTIES- The Secretary shall impose a civil penalty pursuant to this subsection.
`(B) CIVIL ACTIONS- The Attorney General shall bring a civil action to collect the penalty.
`(C) COMPROMISE- Before referring a penalty claim to the Attorney General, the Secretary may compromise the amount of the penalty. Before compromising the amount of the penalty, the Secretary shall give the person charged with a violation an opportunity to establish that the violation did not occur.
`(3) FACTORS FOR CONSIDERATION- In determining the amount of a civil penalty under this subsection, the Secretary shall consider--
`(A) the nature, circumstances, extent, and gravity of the violation;
`(B) with respect to the violator, the degree of culpability, any history of prior violations, the ability to pay, and any effect on the ability or the violator to continue conducting business; and
`(C) such other matters as justice requires.
`(b) CRIMINAL PENALTIES-
`(1) IN GENERAL- A person who knowingly and willfully violates this chapter (including a regulation promulgated or order issued under this chapter) shall be fined under title 18, imprisoned for not more than 3 years, or both.
`(2) OFFICERS AND AGENTS OF CORPORATIONS- If a person subject to a criminal penalty under paragraph (1) is a corporation, the penalties under this subsection shall also apply to any director, officer, or individual agent of that corporation who knowingly and willfully authorizes, orders, or performs an act in violation of this chapter (including a regulation promulgated or order issued under this chapter) without regard to penalties imposed on the corporation.
`(c) CIVIL ACTIONS BROUGHT BY ATTORNEY GENERAL-
`(1) IN GENERAL- The Attorney General may bring a civil action to enjoin a violation of this chapter or a regulation prescribed or order issued under this chapter. The action may be brought in the United States district court for the judicial district in which the violation occurred or the defendant is found, resides, or does business.
`(2) SERVICE OF PROCESS- Process in the action may be served in any other judicial district in which the defendant resides or is found. A subpoena for a witness in the action may be served in any judicial district.
`(d) CIVIL ACTIONS BY STATES-
`(1) IN GENERAL- In any case in which a person violates this chapter (including a regulation promulgated or order issued under this chapter), the chief law enforcement officer of the State in which the violation occurs may bring a civil action--
`(A) to enjoin the violation; or
`(B) to recover amounts for which the person is liable under section 33310 for each person on whose behalf the action is brought.
`(2) VENUE; STATUTE OF LIMITATIONS-
`(A) VENUE- An action under this subsection may be brought in an appropriate United States district court or in a State court of competent jurisdiction.
`(B) STATUTE OF LIMITATIONS- An action may be brought under this section not later than 2 years after the date on which the claim accrues.
`33310. Civil actions by private persons
`(a) VIOLATION AND AMOUNT OF DAMAGES-
`(1) IN GENERAL- A person that violates this chapter or a regulation promulgated or order issued under this chapter, with intent to defraud, is liable for a civil penalty in an amount equal to the greater of--
`(A)(i) the amount of actual damages; multiplied by
`(ii) 3; or
`(B) $5,000.
`(2) MOTOR VEHICLES USED FOR PERSONAL, FAMILY, OR HOUSEHOLD USE- A person who owns, leases, or operates a motor vehicle for personal, family, or household use shall not be liable for--
`(A) failure to provide a disclosure or certificate under section 33302(a) or 33303(a) unless the person has actual knowledge of the requirement to provide the disclosure or certificate; and
`(B) any other violation under section 33302 or 33303 unless the person has actual knowledge of the facts at issue in the violation.
`(b) CIVIL ACTIONS-
`(1) VENUE- A person may bring a civil action to enforce a claim under this section--
`(A) in any court of competent jurisdiction in any State or the District of Columbia; or
`(B) in an appropriate district court of the United States, if the amount in controversy is greater than $50,000 (exclusive of interest and costs) computed on the basis of all claims to be determined in the action.
`(2) STATUTE OF LIMITATIONS- An action may be brought under this section not later than 2 years after the date on which the claim accrues.
`(3) ATTORNEY'S FEES- In an action brought under paragraph (1), the court shall award costs and a reasonable attorney's fees to a person if a judgment is entered for that person.
`Sec. 33311. Relationship to State law
`Except to the extent that State law is inconsistent with this chapter, nothing in this chapter may be construed to--
`(1) affect a State law on titling, disclosures, inspections, or any other matters relating to salvage, flood, damaged, or nonrepairable motor vehicles; or
`(2) exempt a person from complying with that law.
`Sec. 33312. State eligibility for funding
`(a) IN GENERAL- After the date of enactment of the Salvaged and Damaged Motor Vehicle Information Disclosure Act, a State that fails to comply with section 33302(b), 33302(f), or 33304(b) may not receive grant funds under section 30503(c).
`(b) LIST- The Secretary shall--
`(1) maintain a list of States that are in compliance with the requirements of the provisions listed in subsection (a); and
`(2) update the list not less frequently than annually, and in any case in which a State becomes a State described in paragraph (1).'.
(2) CLERICAL AMENDMENT- The table of chapters for title 49, United States Code, is amended by inserting after the item relating to chapter 331 the following:
33301'.
SEC. 4. AMENDMENTS TO CHAPTER 305 OF TITLE 49, UNITED STATES CODE.
(a) DEFINITIONS- Strike section 30501 of title 49, United States Code, and insert the following:
`Sec. 30501. Definitions
`In this chapter:
`(1) AUTOMOTIVE RECYCLER OR DISMANTLER- The term `automotive recycler or dismantler' means an individual or entity engaged in the business of acquiring or owning salvage or nonrepairable vehicles for--
`(A) resale in their entirety or as spare parts; or
`(B) rebuilding, restoration, or crushing.
`(2) FLOOD VEHICLE- The term `flood vehicle' has the meaning given that term in section 33301.
`(3) INSURANCE CARRIER- The term `insurance carrier' means an individual or entity engaged in the business of underwriting motor vehicle insurance.
`(4) INSURER- The term `insurer' has the meaning given that term in section 32101.
`(5) MAJOR DAMAGE- The term `major damage' has the meaning given that term in section 33301.
`(6) NONREPAIRABLE VEHICLE- The term `nonrepairable vehicle' has the meaning given that term in section 33301.
`(7) OPERATOR- The term `operator' means the individual or entity authorized or designated as the operator of the National Motor Vehicle Title Information System under section 30502(b), or the Attorney General, if there is no such authorized or designated individual or entity.
`(8) SALVAGE VEHICLE- The term `salvage vehicle' has the meaning given that term in section 33301.
`(9) SELF-INSURED LEASING OR RENTAL BUSINESS- The term `self-insured leasing or rental business' means a business that, during the preceding 12-month period, has leased or rented at least 25 vehicles that were not covered by insurance for claims of damage to those vehicles.
`(10) STATE- The term `State' means a State of the United States or the District of Columbia.
`(11) TITLE- With respect to a motor vehicle, the term `title' has the meaning given that term in section 33301.'.
(b) NATIONAL MOTOR VEHICLE INFORMATION SYSTEM- Section 30502 of title 49, United States Code, is amended--
(1) in subsection (d)--
(A) by striking `an automobile' each place that term appears and inserting `a motor vehicle';
(B) in paragraph (1), by striking `certificate of title' and inserting `title';
(C) by striking paragraph (3) and inserting the following:
`(3) whether a motor vehicle known to be titled in a particular State is or has been a salvage, flood, or nonrepairable vehicle, or has suffered major damage';
(D) in paragraph (4)--
(i) by striking `that automobile' each place that term occurs and inserting `that motor vehicle'; and
(ii) by striking `certificate of title' and inserting `title'; and
(E) by striking paragraph (5) and inserting the following;
`(5) whether a motor vehicle bearing a known vehicle identification number has been reported as a salvage, flood, or nonrepairable vehicle'; and
(2) in subsection (e)--
(A) in paragraph (1)--
(i) in subparagraph (A), by striking `any automobile' and inserting `any motor vehicle';
(ii) in subparagraph (B), by striking `a particular automobile, junk yard, or salvage yard' and inserting `a particular motor vehicle or automotive recycler or dismantler';
(iii) in subparagraph (C)--
(I) by striking `an automobile' and inserting `a motor vehicle';
(II) by striking `used automobiles' and inserting `used motor vehicles'; and
(III) by striking `that automobile' and inserting `that motor vehicle'; and
(iv) in subparagraph (D)--
(I) by striking `an automobile' and inserting `a motor vehicle'; and
(II) by striking `that automobile' and inserting `that motor vehicle'; and
(B) in paragraph (2), by striking the second sentence and inserting the following: `The operator may not collect the social security account number of an individual or permit any user of the System to obtain the address or social security account number of an individual, except that the operator shall permit an owner of a motor vehicle to obtain the name and address of a previous owner of that vehicle, if available, upon receipt of a written certification by the owner that the information is sought only for use in investigating facts about the prior history of the vehicle.'.
(c) STATE PARTICIPATION- Section 30503 of title 49, United States Code, is amended--
(1) in subsection (b)--
(A) in the matter preceding paragraph (1), by striking `an automobile' and inserting `the automobile'; and
(B) in paragraph (1)--
(i) by striking `automobile' each place that term appears and inserting `motor vehicle'; and
(ii) by striking `certificate of title' each place that term appears and inserting `title'; and
(2) in subsection (c), by striking `automobiles' and inserting `motor vehicles'.
(d) REPORTING REQUIREMENTS- Section 30504 of title 49, United States Code, is amended--
(1) by striking `the automobile' each place that term appears and inserting `the motor vehicle';
(2) in subsection (a)--
(A) by striking the subsection heading and all that follows through `at a time' and inserting the following:
`(a) AUTOMOTIVE RECYCLERS OR DISMANTLERS- Beginning at a time';
(B) in the first sentence, by striking `junk yard or salvage yard' and inserting `automotive recycler or dismantler'; and
(C) by striking the second sentence and inserting the following: `The report shall contain an inventory of all salvage, flood, or nonrepairable vehicles, and all vehicles that have suffered major damage, obtained by the automotive recycler or dismantler during the preceding month.';
(D) by striking paragraph (2);
(E) by striking `(A)' and inserting `(1)';
(F) by striking `(B)' and inserting `(2)';
(G) by striking `(C)' and inserting `(3)'; and
(H) by striking `(D)' and inserting `(4)'; and
(3) by striking subsection (b) and inserting the following:
`(b) INSURANCE CARRIERS AND SELF-INSURED LEASING OR RENTAL BUSINESSES-
`(1) IN GENERAL- Beginning on a date established by the Attorney General, but not earlier than the third month before the establishment or designation of the System, an individual or entity engaged in business as an insurance carrier or self-insured leasing or rental business shall file--
`(A) an initial report with the operator; and
`(B) a monthly report thereafter.
`(2) FILING- A report under paragraph (1) may be filed directly or through a designated agent.
`(3) REPORTS FILED BY INSURANCE CARRIERS- A report filed under paragraph (1) by an insurance carrier shall contain an inventory of all motor vehicles with respect to which the insurance carrier, during the preceding month--
`(A) has settled claims; and
`(B) has determined to--
`(i) have suffered major damage or flood damage; or
`(ii) have become a salvage or nonrepairable vehicle.
`(4) REPORTS FILED BY SELF-INSURED LEASING OR RENTAL BUSINESSES- A report filed under paragraph (1) by a self-insured leasing or rental business shall contain an inventory of all motor vehicles leased or rented by the business with respect to which the business, during the preceding month, has determined to have--
`(A) suffered major damage or flood damage; or
`(B) become a salvage or nonrepairable vehicle.
`(5) INVENTORIES- An inventory in a report filed under this subsection by an insurance carrier or self-insured leasing or rental business under this subsection shall contain--
`(A) the vehicle identification number of each such motor vehicle;
`(B) the date and description of the damage to the vehicle;
`(C)(i) the name of the individual or entity who owned the vehicle; and
`(ii) if the vehicle was leased or rented--
`(I) the date on which the vehicle was damaged; and
`(II) the name of the individual or entity who leased or rented the vehicle; and
`(D) the name of the owner of the vehicle at the time of the filing of the report.'.
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