EAGLE CHEVROLET v. McDuffee

HOWARD M. AISON, J. Plaintiff, an automobile dealership, commenced a commercial claim action against defendant alleging that defendant traded in a vehicle without advising plaintiff that the vehicle had been salvaged. A trial was held on August 8, 2002, September 19, 2002, and November 21, 2002. Exhibits were received into evidence and both sides submitted written summations. "rebuilt salvage" vehicle. It is common knowledge that automobile dealers also have access to vehicle history reports by use of Carfax or other similar providers. The plaintiff's argument that Vehicle and Traffic Law § 429 imposed upon the defendant a duty to disclose is rejected. That section requires that any person, as well as insurance companies and vehicle dismantlers, shall notify DMV after acquiring a vehicle which has been sold as junk or salvage or which is to be dismantled for use other than as a motor vehicle. The section discards the notification requirement if the records of DMV already reflect the status of the vehicle (Vehicle and Traffic Law § 429 [c]). As set forth above, when defendant purchased the Silverado from Mr. Souza the certificate of title issued to defendant indicated that the vehicle was a "rebuilt salvage" vehicle. Vehicle and Traffic Law § 429 also imposes a civil penalty upon a person who, with the intent to defraud a subsequent purchaser as to the applicable status of a motor vehicle, either makes any false statement in title applications or fails to submit documentation to DMV that the vehicle is a junk or salvage vehicle (Vehicle and Traffic Law § 429 [d]). The defendant did not do the former and he was not subject to any statutory requirement to do the latter. Judgment for defendant and plaintiff's commercial claim against defendant is dismissed, with prejudice.