The Car and Truck Fleet and Leasing Management Magazine

New Utah Law Loosens Restrictions for Buying Salvage Vehicles

April 07, 2009

SALT LAKE CITY, UTAH --- A new Utah law relaxing state control over who is permitted to buy salvage vehicles at auction has stirred controversy. 

The new law permits salvage vehicle sales to out-of-state or out-of-country buyers authorized to do business in their respective jurisdictions, in-state buyers who are registered to do business in Utah or have a Utah sales and use tax license, and public buyers with a purchase limit of five vehicles per year. 

Backers of the legislation included Insurance Auto Auctions, a North American automotive salvage auction company. Opponents of the legislation included the Automotive Service Assn. 

"There is a risk of vehicles being placed on the road that should not be, without significant inspection and repair," said Bob Redding, ASA's Washington, D.C., representative. "Generally, our state inspection laws are not sufficient to protect the motoring public from these types of transactions. Those in less-developed countries will have even fewer consumer protections." 

IAA has a much different point of view on the change in law.

"We are pleased with our revision efforts and the passing of Utah Senate Bill 193," said Tom O'Brien, CEO of IAA. "The continued success of the salvage industry depends on its ability to grow and the continued support of a robust selling, bidding and buying environment."

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  1. 1. Bluegil [ April 10, 2009 @ 05:11AM ]

    This runs simular to the issue of Trucks coming from Mexico and expanding their travel radius beyond 20 miles. Their calling into question the safety of vehicles on the road.

    Here too is the issue of monitoring effectiveness of vehicle safety. When vehicle ownership is beyond the reach of enforement agencies what happens next?

    What does get me here - Utah contractors are "Limited" to 5 vehicles and outside sources are not subjected to same rules of ownerships? The potential of abuse is pretty high.


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