Guide to Failed Inspection Law

You can cancel a motor vehicle contract or sale and get a refund if your car fails to pass inspection within seven days from the date of sale and the cost of repairs exceeds 10 percent of the purchase price.

What is the Failed Inspection Law?

Under the Massachusetts Failed Inspection Law you may be eligible to cancel a sale and get a refund if a car you purchased fails inspection within seven days after the sale date. The car must meet the eligibility requirements below.    

Since inspection stickers cannot be transferred, you must remove any existing ones and get the car inspected again after purchasing. Bring the vehicle to a licensed inspection station instead of allowing the dealer that sold you the car to do the inspection for you.

Determining Your Eligibility

Vehicle Eligibility:

• Cars, motorcycles, vans, or trucks purchased in Massachusetts from a dealer or private seller for personal or family purposes, regardless of age or mileage. Leased cars are not eligible.
• Your car must be inspected within seven days from the sale date (not the registration date).
• The inspection must be completed by a licensed Massachusetts Inspection Station.
• Your car did not pass inspection.
• The estimate for fixing safety-related defects exceeds 10 percent of the purchase price.

Completing Next Steps

If you complete all of the following steps within 14 days from the date of sale, you are entitled to a full refund of the purchase price. Alternatively, you and the seller may agree in writing to have the seller pay for the necessary repairs.

1. Get a written statement of failure
   1. Get a written statement from the auto inspection station explaining why your car failed the safety or combined safety and emissions inspection test.
2. Get a cost estimate for repairs
   1. Get a written cost estimate for the necessary emissions or safety repairs from the same inspection station that failed your car. Repair costs must exceed 10 percent of the purchase price to be eligible for a refund.
3. Inform the seller
   1. Inform the seller that you want to void the contract by certified mail (return receipt requested), regular mail, and email
   2. Include a copy (not the originals) of the documents listed in steps one and two.
4. Return the car to the seller
   1. Bring the car to the seller with a witness, even if delivery requires towing services
   2. If the seller refuses to accept the car, prepare a statement indicating that you and a witness delivered the car to the seller on that date, but that the seller refused to accept the car. Be sure the statement is signed by both you and your witness in the presence of a notary public.

Settling Disputes

There are still actions you can take even if the seller does not refund your money.

Pursuing Legal Options:

• Try mediation: Mediation is an inexpensive and informal way to resolve your dispute without hiring an attorney and going to court. Contact the Attorney General's Office for mediation services.
• Sue in court: For claims under $7,000, small claims court may be the least costly alternative. To learn more, read “Is Small Claims Court Right for You?” Larger claims may be more suitable to District or Superior Court. You should seek legal advice for all claims. 

Receiving Compensation

Take the next steps immediately to receive compensation if the seller does not refund your money.

Title Compensation:

• Contact the Registry of Motor Vehicles Title Division: Explain that you are returning the vehicle to the seller under the Massachusetts Failed Inspection Law and request that a certificate of title be issued to you as soon as possible.
• When you receive the title, you should assign and transfer it back to the seller.
• If the seller refuses to accept the title, then send it by certified mail and retain a copy for your records.

Sales Tax and Registration Fee Rebates:

• Sales tax: Fill out an abatement form available from the Massachusetts Department of Revenue Taxpayer Service Division.
• Registration Fee: Return your license plates within 10 days from the date you registered your car to receive a refund less a charge of $5. If you return your plates after this 10-day period, you may be eligible for a a partial rebate.