Attorney General Joseph A. Foster announces that his Consumer Protection Bureau has entered into an Assurance of Discontinuance with Joseph Curto d/b/a USA #1 Motors of Plaistow, NH to resolve allegations that USA #1 Motors violated the State's Consumer Protection Act by selling used cars without first performing mandated safety inspections and without providing purchasers with proper warranty disclaimer information.

Under the terms of the Assurance, USA #1 Motors must comply with the Consumer Protection Act by conducting safety inspections on all used cars prior to sale and by providing proper notice of defects to the purchaser if the car is determined to be unsafe. USA #1 Motors shall also comply with the warranty disclaimer requirements of the Uniform Commercial Code by providing purchasers with a written form that clearly states that the purchaser is either buying the car subject to a warranty or "as is." The "as is" form shall contain all required disclaimer language. USA #1 Motors shall use all forms and procedures dictated by the rules and regulations of the Department of Motor Vehicles.

Under New Hampshire law, NH RSA 358-F, used car dealers are required to determine if a car is safe for operation before selling the car to a customer. A dealer may still sell a car which is found to be unsafe to a customer, however the dealer must first provide a notice to the potential purchaser which states, "This motor vehicle will not pass a New Hampshire inspection and is unsafe for operation. The following defects must be corrected before an inspection sticker will be issued." The dealer must then list all inspection defects in writing and specify the date on which the inspection was conducted and the person who performed the inspection. Purchasers

New Hampshire law guarantees that consumers who purchase goods from merchants hold an implied warranty that those goods are of the ordinary quality and safety expected by society. In most cases, a merchant cannot exclude this warranty unless the consumer signs a written form that contains large, conspicuous written notice that the consumer is purchasing the goods "AS IS" or "WITH ALL FAULTS." The form must also state that the entire risk as to the quality and performance of the goods is with the buyer, and that the buyer shall pay the entire cost of necessary servicing or repairs if the goods prove defective after purchase.

Consumers with consumer-related complaints or concerns can call the Attorney General's Consumer Information Line at 1-888-468-4454 or file a complaint on-line at http://doj.nh.gov/consumer/complaints/index.htm.