N.M. Admin. Code § 12.2.4.24

Current through Register Vol. 35, No. 23, December 10, 2024

Section 12.2.4.24 - CONTRACT ADDITIONS WITHOUT CUSTOMER'S KNOWLEDGE

A. It is an unfair or deceptive trade practice for a dealer to negotiate the terms of a sale and then add the cost of such items as extended warranty, credit life, dealer preparation, undercoating, etc., to the contract without the customer's knowledge and consent.

B. It is an unfair or deceptive trade practice for a dealer to use "documentary fee" or other similar term for any charges other than those actually required by law for processing of documents.

C. It is an unfair or deceptive trade practice for a dealer to negotiate the terms of a sale and then add the cost of "comptroller inventory adjustment", "floor plan, handling, overhead and advertising", or any other charges, however denominated, that represent additional dealer profit, are part of the overhead expenses of running a dealership, are necessary incidents of the sale of a vehicle, do not represent payment for a bona fide product or service or are fictitious.

N.M. Admin. Code § 12.2.4.24

5-1-98; Recompiled 10/15/01