Motor Dealers Act 1974 Regulation providing for the identification of certain prescribed parts of motor vehicles and other matters relating to the regulation of the motor vehicle trade (1990-529) [GG No 93 of 27.7.1990] (NSW)

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MOTOR DEALERS ACT 1974 - REGULATION

(Providing for the identification of certain prescribed parts

of motor vehicles and other matters relating to the

regulation of the motor vehicle trade)

NEW SOUTH WALES

[Published in Gazette No. 93 of 27 July 1990]

HIS Excellency the Governor, with the advice of the Executive Council, and in pursuance of the Motor Dealers Act 1974, has been pleased to make the Regulation set forth hereunder.

G. B. PEACOCKE

Minister for Business and Consumer Affairs.

Commencement

1. (1) Clauses 2 and 3 commence on the day on which Schedule 1

(17) to the Motor Dealers (Amendment) Act 1990 commences.

(2) Clause 4 commences on 1 August 1990.

Amendments

2. The Motor Dealers Regulation 1986 is amended

(a) by inserting after the definition of "the Act" in clause 4 (1) the following definition:

"vehicle identification number" or "VIN" means the number allocated to a vehicle in accordance with the International Standards Organisation’s vehicle identification system required under the Australian Design Rule (as defined in Regulation 2 of the Motor Traffic Regulations 1935).

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(b)

by omitting clause 4 (3) and by inserting instead the following subclause:

(3) The particulars of a motor vehicle required to be inserted
in the part of a form that refers to the date of manufacture are:

(a)

if the vehicle has a built date - the month and year of the date; or

(b)

if the vehicle does not have a built date - the month and year of the vehicle’s plate date.

(c) by inserting after clause 4 (4) the following subclauses:

(5) A person who is making an entry in an auto-dismantler’s and motor vehicle parts reconstructor’s register of parts may use the following abbreviations to describe a prescribed part:

"E" for engine;
"CH" for chassis;

"MBS" for major body section;

"T/G" for transmission or gearbox;
"GR" for right front mudguard;

"GL" for left front mudguard;

"DR" for right front door;

"DL" for left front door;
"BON" for bonnet;
"APR" for front apron panel;

"BUF" for front bumper bar;

"BUR" for rear bumper bar.

(6) The particulars of a motor vehicle required to be inserted in the part of a form that refers to the vehicle identification number or VIN or to the chassis number are:

(a)

if the vehicle has a vehicle identification number - that number; or

(b)

if the vehicle does not have such a number - the vehicle’s chassis number.

(d) by inserting before clause 5 (a) the following paragraph:

(a1) paragraph (c) of the definition of "auto-dismantler" in section 4 (1) of the Act, the following parts of a motor vehicle are prescribed:

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(i)        engines;

(ii)       chassis and major body sections;

(iii)      gearboxes and transmissions;

(iv)      right and left front mudguards;

(v)       right and left front doors;

(vi)      bonnets;

(vii)     front apron panels;

(viii)     front and rear bumper bars;

(e) by omitting from clause 5 (c) the words "and accessories";
(f) by omitting clause 5 (c) (iv);
(g) by inserting at the end of clause 5 the following subclause:

(2) For the purposes of section 28 (3) (f) of the Act, the amount prescribed is, during each year beginning on 1 January, the amount that was, at the end of the immediately preceding year, the motor vehicle depreciation limit under section 57AF of the Income Tax Assessment Act 1936 of the Commonwealth.

(h)

by omitting clause 7 (1) (b) and by inserting instead the following paragraph

(b)

where the licence is an auto-dismantler’s licence - the words "LICENSED AUTO-DISMANTLER";

(i) by inserting after clause 7 (4) the following subclause:

(5) The holder of an auto-dismantler’s licence is to be taken to have complied with subclause (1) during the period of 12 months after the commencement of Schedule 1 (2) (a) and (d) to the Motor Dealers (Amendment) Act 1990 if, instead of the notice required by paragraph (b) of that subclause, there is exhibited a notice that includes the words "LICENSED VEHICLE WRECKER".

(j) by omitting clause 9 (3) and by inserting instead the following subclause:

(3) For the purposes of section 21C (c) of the Act, a part of a motor vehicle is of a prescribed kind if:

(a)

in relation to the business of an auto-dismantler - it is a part prescribed by clause 5 (a1); or

(b)

in relation to the business of a motor vehicle parts reconstructor - it is a part prescribed by clause 5 (c).

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(k)

by inserting after clause 9 the following clause: Car market operators register

9A For the purposes of section 21 (8) of the Act:

(a)

a car market operator’s licence is a prescribed licence; and

(b)

a prescribed transaction is the offering or displaying for sale of a motor vehicle at the place of business of the car market operator in respect of which the licence is granted; and

(c)

the prescribed particulars of such a transaction are those referred to in clause 11 (1).

(l)

by omitting from clause 10 (2) the words "A book" and by inserting instead the words "Except as provided by subclause (3), a book";

(m) by inserting after clause 10 (2) the following subclause:

(3) A book in which a car market operator’s register is kept complies with this clause only if:

(a)

it is in the form of a book of notices in duplicate where each notice is on paper not less than A4 in size; and

(b)

the particulars required by clause 9A (c) are entered in the book before the vehicle is offered or displayed for sale at the place of business of the car market operator; and

(c)

the original of each of the notices is given to the person offering or displaying the vehicle for sale at that place of business and is at all times displayed on the vehicle while the vehicle is offered or displayed for sale at that place; and

(d)

the duplicate copies of the notices are retained in a register book which is permanently bound and each book and each notice in the books is consecutively numbered.

(n)

by omitting the Table to clause 10 and by inserting instead the following Table:

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TABLE

Form
No.

1         Section 21A - register of sales on consignment.

2         Section 21 (1), (3) and (5) - dealer’s and wholesaler’s register.

2A Section 21 (1) and (4) - auto-dismantler’s register of
dismantled vehicles and their parts.
2B Section 21 (1), (4) and (6) - auto-dismantler’s and
motor vehicle parts reconstructor’s register of parts.

18

Section 21 (1) and (8) - car market operator’s register, where the vendor’s title to a motor vehicle is guaranteed.

19

Section 21 (1) and (8) - car market operator’s register, where the vendor’s title to a motor vehicle is not guaranteed.

(o)

by omitting from clause 11 (2) the matter "2C" and by inserting instead the matter "2B";

(p)

by omitting clause 11 (3) and by inserting instead the foIIowing subclauses:

(3) For the purposes of section 21 (4) of the Act:

(a) the prescribed parts are:
(i) engines; and
(ii) chassis and major body sections; and
(iii) gearboxes and transmissions; and
(iv) right and left front mudguards; and
(v) right and left front doors; and
(vi) bonnets; and
(vii) front apron panels; and

(viii) front and rear bumper bars; and

(b)

the prescribed particulars of the acquisition and disposal of a prescribed part to be entered in the register to be kept by the holder of an auto-dismantler’s licence are those referred to in clause 11 (1).

(4) If a dealer disposes of a motor vehicle by auction to a
person other than a trade owner, then, for the purposes of

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section 21 (3) (b) of the Act, the prescribed particulars of the

disposal include:

(a)

the purchaser’s driving licence number and, if the licence is not a New South Wales licence, the name of the State or Territory where the licence was issued; or

(b)

some other form of identification of the purchaser acceptable to the Commissioner.

(q) by inserting after clause 11 the following clauses:

Identification of parts by auto-dismantlers

11A (1) For the purposes of section 26A (4) and (5) of the

Act:

(a) the prescribed parts of a motor vehicle are those specified in clause 11 (3) (a); and
(b) the prescribed manner in which an auto-dismantler is required to mark a prescribed part of a motor vehicle is by painting on, or applying a marking pen or some marking substance to, the part the entry number made in the auto-dismantler’s register relating to the part so that the number will continue to be legible while the part remains in the possession of the auto-dismantler.

(2) When an auto-dismantler disposes of a prescribed part to a person, the auto-dismantler must issue to the person a receipt which contains the following information:

(a) the date of disposal;
(b) a description of the part;

(c) the register entry number marked on the part;

(d)

in the case of an engine, or a chassis or major body section - the person’s name and address.

(3) For the purposes of subclause (2), an auto-dismantler

must:

(a)

keep a receipt book that contains receipt forms (in duplicate), with the forms consecutively numbered by mechanical or electronic means; and

(b)

retain the book at the place where the auto-dismantler carries on business for a period of not less than 6 years after the last receipt in the book was issued.

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(4) A person completing a receipt under this clause may use the appropriate abbreviations listed in clause 4 (5) to describe the part to which the receipt relates.

(5) If, on the date on which this clause commences, an auto-dismantler is in possession of parts which would have been subject to section 26A (4) or (5) of the Act had the auto-dismantler dismantled or demolished the motor vehicle from which the parts were taken, or acquired the parts, on or after that date, the auto-dismantler must, within 2 months after that date, record and mark particulars of the parts as follows:

(a) in a case where the auto-dismantler is able to identify the vehicle from which the parts were taken - mark those parts with the number entered in relation to the vehicle in the auto-dismantler’s register;
(b) in any other case:
(i) enter in the auto-dismantler’s register the particulars referred to in clause 11 (3) (b) that relate to the parts; and
(ii) mark each of the parts with the appropriate entry number recorded in the register in the manner prescribed by subclause (1) (b).

(6) Subclause (5) (b) is to be taken to have been complied with if the holder of the auto-dismantler’s licence concerned has:

(a)

instead of recording the date of acquisition of the prescribed part concerned, recorded the date on which the entry was made in the- register; and

(b)

instead of specifying the method of acquisition, recorded that the parts were existing stock (for which the abbreviation "ES" may be used).

Identification of engines by motor vehicle parts reconstructors
11B. (1) When a motor vehicle parts reconstructor disposes
of a motor vehicle engine to a person, the motor vehicle parts

reconstructor must issue to the person a receipt which contains

the following information:

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(a) the date of disposal;
(b) a description of the engine;
(c) the number marked on the engine;
(d) the person’s name and address.

(2) For the purposes of subclause (1), a motor vehicle parts

reconstructor must:

(a)

keep a receipt book that contains receipt forms (in duplicate), with the forms consecutively numbered by mechanical or electronic means; and

(b)

retain the book at the place where the motor vehicle parts reconstructor carries on business for a period of not less than 6 years after the last receipt in the book was issued.

(r) by omitting clause 13 and by inserting instead the following clause:

Entries in a register may be transferred from one part of the register to another

13. (1) A person who holds a licence, or an agent or employee of that person, may transfer from one part of a register kept by the person to another part of the register an entry relating to prescribed particulars of the acquisition of a motor vehicle or of a prescribed part by making a clear note, adjacent to the original entry, indicating the part of the register to which the particulars have been transferred and the number of the new entry.

(2) Subclause (1) has effect despite clause 12.

(s) by omitting clause 15 and by inserting instead the following clause:

Identification number to be stamped on or affixed to certain parts

15. If:

(a)

a motor vehicle parts reconstructor, in or for the purposes of carrying on the business of a motor vehicle parts reconstructor, buys or receives a part of a motor vehicle that is prescribed by clause 5 (c); and

(b)

the part does not have an identification number stamped on, or otherwise affixed to, it,

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the motor vehicle parts reconstructor must stamp on, or otherwise affix to, the part such figures, or figures accompanied by letters or symbols, as will serve to identify it.

(t) by omitting from the Table to clause 16 the matter relating to Forms 4, 6, 8, 9 and 14 and by inserting instead in the appropriate numerical order the following matter:

4       Section 24 (2) - offer or display for sale of a second-hand motor vehicle (not being a motor cycle or an exempted motor vehicle) with the statutory warranty but without a defect notice.

6       Sections 24 (2) and 29 (1) - offer or display for sale of a second-hand motor vehicle (not being a motor cycle or an exempted motor vehicle) with the statutory warranty and with a defect notice.

8       Section 24 (2) - offer or display for sale of a second-hand motor vehicle to which the statutory warranty does not apply.

9       Sections 23B (2) (a) and 28 (7) - sale of a motor vehicle at an auction without the statutory warranty.

14     Section 28 (5) - offer or display for sale of a second-hand motor vehicle (not being a motor cycle) without the statutory warranty.

(u) by inserting after clause 16 (2) the following subclause:

(3) In this clause, a reference to the statutory warranty is a
reference to the obligation imposed by section 27 of the Act.

(v)    by omitting from clause 17 (1) (h) the matter "13, 14, 18 and 19" and by inserting instead the matter "13 and 14,";

(w) by omitting from clause 17 (2) the matter "11A and 13" and by inserting instead the matter "11A, 13, 18 and 19";

(x)    by inserting in clause 17 (5) after the matter "Form 3" the matter ", 18 or 19",

(y) by inserting after clause 17 (5) the following subclause:

(5A) A notice in accordance with Form 18 or 19 for use in connection with the display of a motor vehicle at a car market may include a form of receipt to be issued by the car market operator in respect of any fee payable for the right to display the vehicle at the car market.

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(z)

by omitting clause 17 (6) (c) and by inserting instead the following paragraph

(c)

Form 9 - the words "AUCTION NOTICE" are to be printed in bold face capital letters not less than 25 mm high and not less than 20 mm wide and the remaining words of the notice are to be printed in bold face capital letters not less than 20 mm high and not less than 15 mm wide;

(aa) by inserting after clause 18 (2) the following subclause:

(3) For the purposes of section 23B (2) (a) of the Act:

(a) the prescribed form of notice is Form 9; and

(b)

the prescribed manner for displaying such a notice at a place where a motor vehicle is offered or displayed for sale by auction is by prominently exhibiting the notice:

(i)

in front of or immediately adjacent to the point from which the auctioneer will conduct the auction; and

(ii) at each entrance to that place; and

(iii)

at each entrance to the place at which the vehicle is parked,

so that the wording of the notice is clearly visible to the persons

who are attending the auction.

(ab)

by omitting from the definition of "auditor" in clause 21 the words "under the Public Accountants Registration Act 1945" and by inserting instead the words "as an auditor under the Companies (New South Wales) Code";

(ac) by omitting from clause 27 (1) the word "Motor";
(ad) by inserting after clause 37 the following clauses:
Disclosures required in certain advertisements

37A (1) A person who holds a licence must not cause or permit the publication of an advertisement (other than a radio or television advertisement) suggesting that a motor vehicle or a part of a motor vehicle is being offered or displayed for sale, unless there is included in the advertisement:

(a)

the person’s name or, where the business to which the licence relates is carried on under a business name, that business name; and

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(b) the number of the licence; and

a telephone number (if any) of the place of that business. (2) For the purposes of subclause (1), an advertisement relating to a licensed business includes but is not limited to an advertisement which suggests that:

(c)

(a) a motor vehicle is being offered or displayed for sale; or

(b)

a particular motor vehicle, or a particular type of motor vehicle, is sought for purchase; or

(c)

any part specified in clause 5 (a1) or (c) is offered for sale or is sought for purchase.

Details in certain advertisements
37B. A dealer must not cause or permit the publication of an advertisement that refers to:

(a) a specified motor vehicle or specified motor vehicles; or

(b)

any specified price at which a second-hand motor vehicle may be purchased,

unless the advertisement specifies the registration number or

numbers of the vehicle or vehicles.

(ae) by omitting from item 3 of the Table to clause 41 the matter
"275" and by inserting instead the matter "810";
(af) by omitting from item 6 of the Table to clause 41 the matter
"275" and by inserting instead the matter "310";
(ag) by omitting clause 42 and by inserting instead the following
clause:
Distribution of certain fees

42. (1) For the purposes of section 39 (3) of the Act, the prescribed proportions of the fee referred to in item 3 of the Table to clause 41 are $585 for distribution to the Motor Dealers Compensation Fund (comprising an initial contribution of $500 and an annual contribution of $85), with the remaining proportion of the fee being distributed to the Consolidated Fund.

(2) For the purposes of section 39 (3) of the Act, the prescribed proportions of the fee referred to in item 6 of the Table to clause 41 are $85 for distribution to the Motor Dealers Compensation Fund, with the remaining proportion of the fee being distributed to the Consolidated Fund.

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(ah)

by omitting Forms 1, 2, 2A, 2C, 2D, 4, 6, 8, 9, 11, 114 13, 18 and 19 and by inserting instead in numerical order the Forms set out in Schedule 1 to this Regulation;

(ai)

by omitting from Forms 7 and 7A the words "Built/Plate Date" wherever occurring and by inserting instead the words "Date of manufacture";

(aj)

by omitting from Form 14 the words "THE WARRANTY PROVISIONS OF THE MOTOR DEALERS ACT DO NOT APPLY TO OR IN RESPECT OF THIS VEHICLE." and by inserting instead the words "THERE IS NO WARRANTY UNDER THE MOTOR DEALERS ACT IN RESPECT OF THE SALE OF THIS VEHICLE.".

Transitional provision

3. A motor dealer or wholesaler who was, immediately before the commencement of this clause, keeping a part of a register in accordance with Form 1 or 2 of the Motor Dealers Regulation 1986 (as in force immediately before that commencement) may, after that commencement, continue to use and complete the part but need not sign any entry in the part made or completed after that commencement.

Further transitional provision

4. (1) The holder of a vehicle-wrecker’s licence may

(a) keep the register required by the Motor Dealers Act 1974 in accordance with Form 2A or 2B as set out in Schedule 1 to this Regulation before the commencement of Schedule 1 (2) (a) and (d) to the Motor Dealers (Amendment) Act 1990; and
(b) record and mark the parts specified in clause 11 (3) of the Motor Dealers Regulation 1986 as provided by clause 11A of that Regulation even though the last mentioned clause has not yet taken effect.

(2) A holder of a vehicle-wrecker’s licence who does the things referred to in subclause (1) is to be taken to have complied with the requirements of the Motor Dealers Act 1974 and the Motor Dealers Regulation 1986 (as in force before the commencement of clause 2 of this Regulation) with respect to the keeping of a vehicle-wrecker’s register and the entry of particulars in that register.

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SCHEDULE 1

(Cl. 2 (ag))

SUBSTITUTED FORMS

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FORM 9

MOTOR DEALERS ACT 1974

AUCTION NOTICE

IF A MOTOR VEHICLE WITH REGISTRATION PLATES IS SOLD TO A PRIVATE PURCHASER, WHETHER ON THE FALL OF THE HAMMER OR BY SUBSEQUENT NEGOTIATION WITH THE HIGHEST BIDDER, AN INSPECTION REPORT NOT MORE THAN 1 MONTH OLD WHICH IS ISSUED IN RESPECT OF THE VEHICLE AND STATES THAT THE VEHICLE IS ROADWORTHY WILL BE PROVIDED AT THE TIME OF DELIVERY OF THE VEHICLE TO THE PURCHASER.

A PRIVATE PURCHASER MEANS A PERSON OTHER THAN A FINANCIER OR THE HOLDER OF A LICENCE UNDER THE MOTOR DEALERS ACT 1974 OR UNDER SOME OTHER LEGISLATION IN FORCE IN AUSTRALIA THAT CORRESPONDS TO THAT ACT.

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EXPLANATORY NOTE

The objects of this Regulation are to amend the Motor Dealers Regulation 1986

so as:

(a) to prescribe for the purposes of the Motor Dealers Act 1974 certain
automobile parts which are to be marked by holders of auto-dismantlers’
licences; and
(b) to prescribe the manner in which such parts are to be marked and to provide

for the keeping of registers of the acquisition and disposal of such parts; and

(c) to make provision for car market operators to keep registers relating to motor vehicles offered or displayed at their markets; and
(d) to impose further requirements with respect to the keeping of registers under the Act; and
(e) to make further provision for the regulation of auctions of motor vehicles; and
(f) to make further provision for the regulation of advertising relating to the sale of motor vehicles by holders of licences under the Act; and
(g) to replace certain forms used for the purposes of the Act and to introduce certain new forms; and
(h) to provide for other matters of a consequential, ancillary or minor nature.