Colorado Sales License Practice Test

Which of the following is not considered a deceptive trade practice?

1. Misrepresenting the age of the vehicle

2. Failing to disclose accidents

3. Disclosing to the purchaser in writing that a vehicle is a salvage

4. Omitting known defects in the vehicle

The correct answer is: Disclosing to the purchaser in writing that a vehicle is a salvage

Choosing to disclose to the purchaser in writing that a vehicle is a salvage demonstrates transparency and honesty in the transaction. This action is not considered deceptive because it involves fully informing the buyer about the vehicle's history, particularly concerning its past status as a salvage vehicle. By providing this information in writing, the seller is ensuring that the buyer is aware of critical details that may affect their purchasing decision. In contrast, the other actions listed—misrepresenting the age of the vehicle, failing to disclose accidents, and omitting known defects—are all forms of deception that could mislead a buyer. Such practices can result in potential harm to buyers, who may make uninformed choices based on incomplete or false information. In this context, disclosing the salvage status is a responsible practice that protects both the buyer and seller, reinforcing the notion that it does not fall under deceptive trade practices.