SB 766 in effect since Oct 1, 2026

The CARS Act is law. Is your whole team trained?

Train every employee. Protect your dealership.

California's SB 766 took effect October 1. The first written message a customer gets about a vehicle has to show the total price, whether it is a text, an email or a note on a napkin. We monitor your interactions, mystery shop weekly and provide accountability scorecards.

The law

What changed on October 1

The California Combating Auto Retail Scams (CARS) Act, SB 766, rewrites how California dealerships communicate with customers. The biggest change is the first written communication: what it says, what it shows and how it is kept.

Read SB 766 on the California Legislature site

The requirements

Six rules, in the order that matters

First written communication · § 1784.41

The total price goes first, in writing

The first written communication about a specific vehicle has to show the total price. Any written format counts: a text, an email, a chat message, a note on paper, even a napkin. Ads that name a specific vehicle follow the same rule. Keep a copy for two years.

Payments · § 1784.41

Quote a payment, show the total cost

A written payment quote also has to state the total the customer will pay after every scheduled payment, plus any down payment or trade value assumed.

Misleading statements · § 1784.40

No misleading customers, even by phone

The ban covers any misrepresentation of material information. That includes telling a customer a vehicle is available at the total price when it is not.

Add-ons · § 1784.42

Charge only for real benefit

Dealers cannot charge for add-on products or services the customer will not actually benefit from.

Records · § 1784.44

Keep the records for two years

Hold on to the required communications, contracts and cancellation paperwork so you can produce them.

Used car right to cancel · § 1784.43

The 3-day right to cancel

Used vehicles priced at $50,000 or less, driven no more than 400 miles after the sale, carry three calendar days to cancel. The customer gets a separate notice titled “3-Day Right to Cancel Used Car Purchase or Lease.” It is the simplest rule on the list, and some customers will use it.

Who is exposed

Every role carries a different risk

One slip from one employee is still your store's slip. Each department touches a different part of the law.

Salesperson Edition

Sales

Any price written down on the floor, and every statement about inventory on the phone or in person.

Manager Edition

F&I

Written payment quotes, add-on products and the 3-day cancellation paperwork.

BDC Edition

BDC & Internet

The first text, email or chat reply a customer gets, which now has to carry the total price.

Manager Edition

Management

Ads, written procedures and two years of records.

The program

Train it. Test it. Certify it.

One program for your whole store. We train your people, monitor and shop your store every week, score the results and certify everyone who passes.

Training

Every employee trained

Everyone learns the rules for their own job, in the language of the sales floor, with ongoing lessons for each person, managers included.

Monitoring

Watched and shopped weekly

We monitor your interactions and mystery shop your store every week, the way a customer would.

Certification

Every salesperson certified

A course for each salesperson, with a certificate when they pass.

Scorecards

Accountability scorecards

See how each person handled the rules and who needs coaching.

For the sales floor

Salesperson Edition

$29per learner, per month
  • First written communication with the total price
  • Payment quotes that show the total cost
  • No misleading statements on the floor or by phone
  • The 3-day right to cancel on used cars
California CARS Act Certified by Virtual Automotiv
For internet and phone teams

BDC Edition

$29per learner, per month
  • The total price in every first text, email and chat reply
  • Honest availability answers by phone and in writing
  • Payment quotes in writing
  • Keeping first communications on file for two years
California CARS Act Certified by Virtual Automotiv
For managers and F&I

Manager Edition

$49per manager, per month
  • Ads that show the total price
  • Add-ons and charges that pass the benefit test
  • Records and written procedures
  • Coaching the team from mystery shop results and scorecards
California CARS Act Certified by Virtual Automotiv

Pricing is per person, per month. Every edition includes monitoring, the weekly mystery shop, accountability scorecards, the certification course and continual training. Book a call and we will size the program to your store.

Questions

Straight answers

Does this apply to my dealership?

The CARS Act is a California law that covers dealers selling and leasing vehicles to California consumers. Your attorney can confirm how it applies to your store.

What does certified mean?

Everyone who passes the course earns the title California CARS Act Certified by Virtual Automotiv. It shows your store trained them. It is not a state or government certification.

Is this the federal FTC rule?

No. This site is about California's SB 766, a state law. It is separate from the FTC's Combating Auto Retail Scams rule.

Is this legal advice?

No. This is general information and training. For legal questions, talk to your dealership's attorney.

Get compliant

Book a call about your store

Fifteen minutes over Google Meet. We will walk through the program, the three editions, the weekly mystery shop and the scorecards.

  • Pick any open time
    Choose a slot on the calendar and you get a Google Meet link.
  • See the program built for your store
    Salesperson, BDC and Manager editions, sized to your team.
  • Get your CARS Act questions answered
    Ask about the law, the training or the weekly shop.

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