Dealing with lemon law means coming across numerous lemon law jargon on a daily basis. Unless you are a professional, it can prove challenging to comprehend each of these.
In today’s blog, we will talk about one such lemon law term – damage disclosure statement. So, sit back and keep reading this blog to know everything about the damage disclosure statement in NC.
What is it?
Damage disclosure statements are documents that provide information about the monetary damage sustained by a vehicle. These documents are required to be submitted in most states while selling the vehicle.
A typical damage disclosure statement in NC consists of:
Inspection date
Vehicle description, including details like VIN, vehicle make, model, and manufacture year.
Vehicle owner’s name
Details of the significant damages to the car, including details of repair and replacements.
Who needs to file a damage disclosure statement?
Anyone who resides in the state that requires submission of a damage disclosure statement is required to file for this document before they wish to sell the vehicle.
Whether the vehicle is sold by the actual owner of the vehicle or the dealership, the inclusion of this document is important. In fact, dealerships are required to keep copies of damage disclosure statements so the same can be shared with future buyers.
But again, there are a few exceptions as to when you should file for the document, such as:
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- Vehicles that are older than seven model years
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- Motorized bicycles or motorcycles
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- New vehicles that have less than 1000 true miles – but it should have no more than 50% damage of the vehicle’s market value.
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- Vehicles and trucks that weigh 16,000 or more pounds.
How do the damages get calculated?
Whether the vehicle has sustained damages through accident or some other issue, it is possible to quantify the vehicle by adding the retail value of the parts, material used, and labor during the repair.
But what happens when the vehicle is not repaired in a conventional way? For instance, the owner may have restored the vehicle on his own.
In such a case, the damage is calculated based on the general autobody repair flat rate and is multiplied by the number of hours involved in the repair.
Damage disclosure and odometer tampering – how are they different?
It is possible for people to mix both damage disclosure and odometer tampering information because some states require disclosing both the information in the same form. But, you must know that they are not the same thing.
Odometer generally discloses vehicle mileage, while damage disclosure statement talks about the damage a vehicle has sustained. The odometer statement is a crucial document in almost every state as it plays a key role in determining the vehicle’s actual resale value.
Over to you
Well, we are sure this blog was able to give you an in-depth insight into the damage disclosure statement in NC.
If you still have some doubts on the subject, you can connect with the experts at Allen Stewart for proper guidance.
Andrew Richardson is the author of this Article. To know more about Dealer won t fix Car under warranty please visit our website: allenstewart.com
