Dealer Continuing Education Course

Why Do I Need This Course?

Pursuant to California law dealers must complete a Continuing Education Program every 2 years. The course serves to remind dealers of their legal obligations to consumers when engaged in a vehicle sale.

How Often Does The Law Change?

In 2006, the California legislature passed Assembly Bill 68 (The Car Buyer’s Bill of Rights) which drastically changed several laws applicable to licensed dealers. Specifically, the California Vehicle Code, California Civil Code, and Revenue and Taxation Code were amended.

Since then, the legislature has proposed several rule changes. Our program is updated every month to account for any new laws.

Can I Take It Online?

Our course is an online program. You will receive an email with instructions on how to complete the program upon registering. You need a 70% minimum passing score on the final exam to obtain the course completion certificate.

Is The Certificate Sent Electronically?

Unfortunately DMV requires you attach the original course completion certificate with your license renewal notice. They should be mailed together to DMV. We will mail your certificate via USPS after you pass the final exam.

What Are My Shipping & Handling Options?

Option 1: USPS First Class Mail 1-3 Business Days — FREE SHIPPING

Option 2: USPS Overnight Delivery — $49

After you submit the registration form you will be redirected to a payment page where you can select your shipping option.

Wholesale-Only Dealer Continuing Education Exemption?

Wholesale-Only Dealers are not required to enroll in a Continuing Education Program every 2 years if they sell less than 50 vehicles in a 12 month period. That’s pretty cool! Make sure you attach DMV Form OL 257 with your renewal notice.

Continuing Education For Salespersons?

The California legislature is currently analyzing California Assembly Bill 2026. The bill requires salespersons employed by used vehicle dealers to attend a continuing education program every 2 years. Surprisingly, the law does not apply to salespersons employed by new vehicle dealers.

The dealer must reimburse the salesperson for the cost of the continuing educational program. Reimbursement shall include any registration or course fees, required materials, and compensation for the salesperson’s time required to take the course at a rate of pay not less than the employee’s regular base hourly rate.

UPDATE

On September 26, 2018 Governor Jerry Brown Vetoed Assembly Bill 2026 and returned it back to the legislature.

He stated the following:

I am returning Assembly Bill 2026 without my signature.

This bill requires a person licensed by the Department of Motor Vehicles as a salesperson for a used car dealer to complete an education program prior to being hired and every three years thereafter.

While it is obviously important that used car salespersons understand relevant laws and regulations, this bill is unnecessary. 

Car dealers are already required to be knowledgeable of applicable laws and to see to it that their sales staff follow the rules. Additionally, I am not a fan of mandating pre-packaged, four-hour continuing education courses which will never substitute for effective supervision.

Sincerely,

Edmund G. Brown Jr.

Is this good or bad news for Used Vehicle Dealers? Depends who you ask! Governor Jerry Brown may not have fully grasped what AB 2026 was aiming to accomplish. Moreover, the organization that sponsored AB 2026 could have done a better job specifically identifying what problem they were trying to alleviate.

What Is The E! True Hollywood Story Behind AB 2026?

Ok guys, let’s get down to the brass tax! The bill is attempting to reduce a dealer’s legal exposure to the California Consumer Legal Remedies Act. AB 2026 wants salespersons to know the rules and regulations of the used vehicle dealer industry. That seems like a reasonable requirement. Salespersons transact car sales with consumers and it would be helpful to know what they can and cannot do. But Governor Jerry Brown seems to think that “four-hour continuing education courses . . . will never substitute for effective supervision.” How many used vehicle dealerships do you think educate their salespersons on the laws and regulations applicable to a car sale? And assuming they do, how many used vehicle dealers actually know what they are talking about? I would guess that most conversations revolve around how to increase sales, but that’s just me.

The Consumer Legal Remedies Act (CLRA) is a dealership’s WORST NIGHTMARE! Why? Because it can put your dealership out of business with just 1 lawsuit! The CLRA is too complicated to cover here, but you should educate yourself on it rather quickly if you have not already. AB 2026’s true motivation was to reduce the amount of lawsuits that consumer protection lawyers file against dealerships because of “errors” committed by dealership representatives. The truth is salespersons and owners of most used vehicle dealerships are uneducated on the law and commit violations on a daily basis. This is why consumer protection lawyers file suits against dealerships regularly. It’s easy pickins folks! Who do you think comprehends the law more, lawyers or representatives of a dealership that spend most of their time and energy on increasing profits?

What’s so dangerous about the CLRA? Why would a lawyer file suit against a used vehicle dealer selling cheap cars? If I sold a car for $5,000 and I lose at trial don’t I just give the consumer the $5000 back? What’s in it for the lawyer? A recent case out of the California Court of Appeals in 2015 will give you an idea of how the CLRA works and what your exposure is. This is what AB 2026 sought to curb! The bill was promoting education, but the true motive was reducing litigation! And I bet Governor Brown had no clue!

Course Fee

Our online continuing education program is $59. It is updated regularly to reflect current law.

Course Registration Form

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