What must you do on an "As-Is" vehicle?

• A. Mark the vehicle as 'As-Is' and indicate no warranty on the purchase contract.
• B. Provide a 6-month warranty automatically.
• C. Schedule a warranty disclosure for later.
• D. Ignore it and proceed.

Answer: (A)

When a vehicle is sold “As-Is,” the buyer is agreeing to purchase it in its current condition with no promises from the dealer to repair or warranty it. The key is to make that limitation crystal clear. Marking the vehicle as “As-Is” and stating on the purchase contract that no warranty is offered is the proper way to communicate the terms and protect both parties. It sets the expectation that the buyer is taking responsibility for any future repairs.

Offering a six-month warranty automatically would contradict the “As-Is” designation, and scheduling a warranty disclosure for later wouldn’t meet the immediate, clear disclosure required. Ignoring the issue could mislead the buyer and expose the seller to liability. So the correct approach is to clearly mark the car as “As-Is” and include a no-warranty statement on the contract.