Gov. Bob Riley recently signed into law legislation designed to protect Alabama consumers from unwittingly buying flood-damaged vehicles.
“An estimated 575,000 vehicles were flooded during last year’s record hurricane season, and this law will help make sure Alabama doesn’t become their dumping ground,” Gov. Riley said. “I thank legislators, especially Senators Larry Means and Jim Preuitt and Representative Ron Johnson, for working to get this much-needed consumer protection law through to my desk.”
The new law requires sellers of flooded vehicles to disclose that information to buyers in writing. Any water-damaged vehicle that has been totaled by an insurance company and then rebuilt will have to carry the words “flood vehicle” on the title.
All states bordering Alabama have similar laws on their books, which has reportedly increased concerns that, without the new law, Alabama would become the regional dumping ground for flooded vehicles.
The legislation received unanimous support in the Legislature. The Automobile Dealers Association of Alabama worked with the Alabama Department of Revenue and legislators to develop the new law.
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