Odometer Disclosure Statement Requirements

Oklahoma

2014

 

Effective on most transfers of ownership of motor vehicles dated on or after April 29, 1989, specific odometer disclosure information is required. All Oklahoma certificates of title, with the exception of boat or motor and junked titles, issued on or after January 1, 1990, incorporate the odometer disclosure statements as part of the assignment. State law requires the title to be available at the time of ownership transfer – however, if the title is not available at the time of transfer, a separate Odometer Disclosure Statement Form (available from the OIADA) may be used to document the odometer reading. The odometer reading and other information should be transferred without change from the separate form to the title at the earliest opportunity. The odometer disclosure on the title should ultimately reflect the reading on the date of transfer of the vehicle.

Completing the Odometer Disclosure Statement

Corrections

Odometer Branding

Odometer Disclosure Exemptions

Completing the Odometer Disclosure Statement

1.      The following information should be entered on the Odometer Disclosure Statement :

a.       Odometer reading at time of transfer (no tenths of mile) as reflected on the vehicle’s odometer.

b.      The seller must certify to the best of his/her knowledge that the odometer reading:

1)      Reflects the actual mileage; or

2)      Is in excess of the mechanical limits of the odometer; or

3)      Does not reflect the actual mileage.

4)      The Odometer Disclosure Statement includes two checkboxes used in the reading certification. (See Odometer Branding below). If the odometer reading:

·         reflects the actual mileage of the vehicle, do not check either box.

·         reflects less than the actual mileage because of the mechanical limits of the odometer, check the “in excess of mechanical limits box.” (Example: The odometer is limited to 99,999 miles, but the vehicle has actually travelled 150,000 miles. Enter “50,000” as the reading on the odometer and check the “in excess of mechanical limits” box.

·         reflects mileage different than the actual mileage of the vehicle (without respect to the mechanical limits of the odometer), check the “not actual mileage” box.

c.       The seller’s printed/typed name (must be individual – no company name), signature and address.

d.      The buyer’s printed/typed name (must be individual – no company name), signature and address.

e.       Vehicle information including make, model year, body type, and VIN.

f.       See Odometer Branding below for more information

2.      Both the seller and the buyer should print/type and sign their names in designated spaces on the odometer disclosure statement. According to the Oklahoma Tax Commission (OTC), company names are not acceptable.

3.      On titles containing odometer disclosure statements, have the seller’s signature witnessed by a notary public. The buyer’s signature does not require notarization.

Corrections

1.      If a correction must be made to an odometer reading, contact the Corrections Section of the Motor Vehicle Division of the OTC at 1.800.522.8165, extension 13535 or (Direct) 405.521.3535.

Odometer Branding

1.      Federal law provides for three title odometer brands: Actual, Not Actual, and In Excess of Mechanical Limits. Oklahoma Statutes provide for an additional brand of “Odometer Discrepancy”.

a.       In Excess of Mechanical Limits

1)         The “In Excess” brand indicates that particular odometer has “rolled over” and the current reading is less than the actual mileage on the vehicle.

2)         The point at which the “In Excess” brand is to be utilized depends upon the capacity of that particular vehicle’s odometer. Some odometers go to a maximum 99,999 miles while others go up to 999,999.

3)         Always list the mileage figure actually displayed on the odometer, not the total number miles the vehicle has traveled.

b.      Odometer Discrepancy

1)         The “Odometer Discrepancy” brand is to be used if:

·         The mileage figure verified in the odometer disclosure statement is less than the mileage depicted on the assigned title, or

·         On a used vehicle less than 10 model years old that is coming in from out of state when the odometer reading on the inspection is less than the odometer reading on the face of the surrendered out-of-state title.

2)         When utilized, the “Odometer Discrepancy” brand will be in addition to the other odometer brands. (Actual / Not Actual / Exceeds Mechanical Limits). For example:

·         If the buyer and seller indicate that the mileage listed on the odometer disclosure statement is the actual mileage of the vehicle, but…

·         the mileage listed on the disclosure statement is less than that depicted on the face of the assigned title, then…

·         the Oklahoma title issued will include the brand of “Actual” since that is the odometer declaration made by the buyer and seller, and…

·         will also be encoded with the additional brand of “Odometer Discrepancy.” The resulting title will have both odometer brands: “Actual” and “Odometer Discrepancy” listed.

2.      Motor license agents will examine each assignment on a title and will designate brands in the following situations:

a.       If the mileage figure decreases from one assignment to the next and a separate odometer statement form is not provided to correct the discrepancy, the transfer title being issued must be branded “Odometer Discrepancy”.

b.      If a title brand box (“in excess of mechanical limits” or “not actual mileage”) has been marked in one assignment but not the next, and a separate odometer statement is not provided to correct the discrepancy, the transfer title being issued must be branded according to the box that was checked.

c.       If the “Not Actual” brand box is marked in one assignment and the “In Excess of Mechanical Limits” box is checked in another assignment, and a separate odometer statement is not provided to correct the discrepancy, the transfer title being issued must be branded “Not Actual”. The “Not Actual” brand takes precedence over the “In Excess” brand.

Odometer Disclosure Exemptions

1.      Vehicles that are exempt from odometer disclosure include:

a.       Vehicles which are not self-propelled, such as travel trailers. Odometer disclosure applies only to motor vehicles.

b.      All-terrain vehicles (ATVs), off-road motorcycles (ORMs), utility vehicles (UVs) and low and medium speed electrical vehicles.

c.       Transfer of new motor vehicles from dealer to dealer on the MSO.

d.      Motor vehicles that are ten (10) years old or older. To make this determination, subtract ten (10) from the calendar year of assignment.

Example: 2014 – 10 = 2004.      2004 models on which ownership is assigned in 2014 (or thereafter) are exempt from odometer disclosure requirements.

e.       Motor with a gross vehicle weight rating over 16,000 lbs. Any truck over two tons is exempt.

2.      In addition, Odometer Disclosure Statements are NOT required in the following situations:

a.       A title is issued to change an existing owner’s name only, such as marriage. Disclosure statements are required, however, if adding or dropping a name from a title at the same time.

b.      Ownership of a vehicle is changed because of an involuntary divestiture (without owner involvement).

·         Involuntary divestitures include, but are not limited to, court order, mechanic’s/storage lien, repossession and probation of an estate.

·         In such situations, a current odometer reading will be required, unless the vehicle is otherwise exempt (i.e. over 10 years old) by Federal law.

c.       Vehicles purchased outside the United States.

d.      Transfers between a revocable trust and a trustee of the trust.

 

OIADA Note: This article relies on Oklahoma Tax Commission guidance. It is provided for informational purposes only. It is not intended as legal advice. For its application to your situation, contact legal counsel.

 

© 2014 Oklahoma Independent Auto Dealers Association – www.e-oiada.com – compiled by ADR of Oklahoma Staff 06/23/2014.