Titles and compliance

What is curbstoning?

Curbstoning is selling vehicles as an unlicensed dealer while posing as a private party, usually to dodge licensing, disclosure and tax obligations.

It undercuts licensed lots on price precisely because the curbstoner skips the bond, the premises, the disclosures and often the title transfer.

States enforce it per vehicle, and the federal Used Car Rule already treats anyone selling more than five used vehicles in twelve months as a dealer.

Source: 16 CFR 455.1 (dealer definition)

Related terms

General information for US dealers, not legal advice. Rules change and vary by state, so confirm specifics with your state agency or counsel.