DMV DMV - Representative Consumer Protection and Dispute Resolution 3

Question 1

A mandatory arbitration clause in a California vehicle purchase contract must, at minimum:

Accepted Answer

Be conspicuous and explain that it waives the buyer's right to a jury trial

Answer

Be approved by the DMV before use

Answer

Include a specific arbitration provider by name

Answer

Be signed separately from the main contract

Question 2

Which federal agency has primary authority to enforce the FTC Used Car Rule (Buyers Guide requirement) against dealers?

Accepted Answer

Federal Trade Commission (FTC)

Answer

National Highway Traffic Safety Administration (NHTSA)

Answer

Consumer Financial Protection Bureau (CFPB)

Answer

Department of Transportation (DOT)

Question 3

Under the Magnuson-Moss Warranty Act, a written warranty on a consumer product costing more than $15 must be designated as either:

Accepted Answer

Full or limited

Answer

Express or implied

Answer

Dealer or manufacturer

Answer

Standard or extended

Question 4

A dealer's failure to provide a federally required Buyers Guide before the sale of a used vehicle can result in a civil penalty of up to how much per violation?

Accepted Answer

$51,744

Answer

$500

Answer

$2,500

Answer

$5,000

Question 5

A California vehicle buyer who believes a dealer committed fraud may file a complaint with the DMV's Occupational Licensing Branch, and the DMV may respond by:

Accepted Answer

Suspending or revoking the dealer's license

Answer

Ordering the dealer to pay the buyer directly

Answer

Issuing a criminal arrest warrant

Answer

Transferring the complaint to the FTC

Question 6

Under the California Consumers Legal Remedies Act (CLRA), before filing a lawsuit for damages a consumer must first:

Accepted Answer

Send the defendant a 30-day written notice of the alleged violation

Answer

File a complaint with the DMV

Answer

Exhaust all arbitration options

Answer

Obtain a court order