Terms and Policies will be updated July 1, 2019.
Vehicle Condition Arbitration Policy
Effective Date: August 10, 2020
Purpose of the Arbitration Policy
Transparent and Fair Resolution Process.
ACV Auctions strives to create an arbitration experience that is transparent and fair for both the buyer
and seller of vehicles through the ACV platform. In the event a concern arises with regard to the
vehicle condition, the buyer and seller agree to resolve such concern through ACV’s arbitration process,
and ACV agrees that it will strive to find a fair resolution to all legitimately brought concerns that
are covered by this policy. In the event of any conflict between this policy and Federal, State, and
Local laws, such laws shall supersede these policies where applicable.
ACV Auctions’ Role in Sale of Vehicles:
Notwithstanding ACV Auctions’ inspection of any vehicle, ACV Auctions makes no representations
or guarantees regarding any vehicle sold or offered for sale.
ACV Auctions is not a party to the sale. The sales contract, the bill of sale, and
notwithstanding ACV Auctions facilitation thereof, the title transfer is between the seller and
buyer only. ACV Auctions title policy may be viewed at
How and When to Use the Arbitration Process at ACV Auctions
If a buyer has received a vehicle that has an undisclosed issue that is covered for arbitration under
this policy, the buyer may notify ACV by contacting ACV’s arbitration team through the ACV Auctions
application. Buyers are only eligible to have the issue reviewed by ACV’s arbitration team if such buyer
has paid for the vehicle and submitted a request for arbitration prior to the expiration of the
arbitration window set forth below. For all eligible buyers, ACV will investigate the claim made by the
buyer and determine the appropriate resolution, if any.
Buyer will have 10 calendar days from the date of purchase (i.e. the date buyer’s bid is accepted by the
seller) (the “Standard Arbitration Window”) to raise any and all concerns to be reviewed through the
arbitration process. The date of purchase counts as day 1 for the purpose of calculating this timeframe.
However, if the buyer uses the transportation services available through ACV Auctions or its
subsidiaries, and purchases such transportation services at the time of purchase of the vehicle, buyer
will have the greater of 10 calendar days from the date of purchase or two calendar days after the date
the vehicle is delivered to buyer to raise concerns through the arbitration process. Such additional
grace period for using transportation services through ACV or its affiliates is not considered part of
the Standard Arbitration Window for purposes of this Agreement. If transportation services through ACV
or its subsidiaries is chosen subsequent to the time of purchase, the opportunity to arbitrate concerns
about vehicle condition will be limited to ten (10) calendar days from the date of purchase.
Extended Arbitration Windows.
Buyer may, at the time of purchase, choose to purchase an extended arbitration option for any given
vehicle which would give the buyer either an additional 10 or 20 calendar days from the end of the
Standard Arbitration Window, depending on the option purchased, during which to request arbitration with
regard to the applicable vehicle. Buyers purchasing an extended arbitration option are still obligated
to promptly remove the vehicle from the seller’s lot after purchase.
In order to fully investigate the arbitration claim, ACV Auctions may require the buyer to provide
evidence of the claim and assist in diagnosis of any undisclosed condition issues within a specified
timeframe, in order to determine the best resolution. This may include the buyer:
submitting photos or other evidence of the vehicle condition to ACV Auctions within two (2)
calendar days of the request,
taking the vehicle to a third party diagnosing facility designated or approved by ACV Auctions
and providing evidence of such facility’s receipt of the vehicle,
permitting an ACV Auctions vehicle inspector or third party inspector to inspect the vehicle on
the buyer’s lot, or the buyer taking the vehicle to a third party at ACV Auction’s option, or
other potential evidence as requested.
If the buyer is unable or unwilling to provide the requested evidence of the vehicle condition within
the timeframe requested, ACV Auctions will close the arbitration related to such vehicle and the buyer
will not be permitted to reopen the arbitration.
Buyer and seller agree that ACV Auctions makes the final binding decision upon both the buyer and seller
on all arbitration matters.
Possible Resolutions to Arbitration.
Resolutions to an arbitration may include payments or credits to the buyer to cover, at ACV Auctions’
determined wholesale rates, parts and labor to repair covered vehicle condition issues as set forth in
this policy, the cancellation of the sale, potential resolution without further action, or other
resolutions in the discretion of ACV Auctions. Generally, ACV Auctions is likely to determine that
payment for parts and labor expenses, at wholesale rates, associated with any arbitration claim is
appropriate instead of a transaction being cancelled. However, ACV Auctions may choose to cancel a sale
rather than determining that payment should be made for parts and labor expenses. In no event will a
buyer be entitled to a remedy through arbitration for more than the price such buyer paid for the
One Arbitration Only.
The buyer should inspect the vehicle upon delivery and determine all issues or concerns with the vehicle
and notify ACV Auctions of all vehicle condition issues at the same time. Once an arbitration for a
given vehicle has been completed and closed by ACV Auctions, no new concerns may be raised by the buyer
for arbitration related to that vehicle.
If Reparation is made to the Buyer.
If a price adjustment is made, or a credit or repair payment is made to the buyer, the vehicle becomes
“As-Is, No Arbitration” property of the Buyer, and is not subject to any further arbitration.
If a Sale is Cancelled.
In the event ACV Auctions, in its sole discretion, determines that cancellation of the sale is the
appropriate resolution after the vehicle has been delivered to the buyer, the vehicle will be
transported to another location by ACV, the seller, or another third party, at ACV Auctions’ discretion.
The buyer will be responsible, at its own cost, for the safety and security of the vehicle, and any
damage that occurs to, or theft of, the vehicle until it can be transported from the buyer’s lot. ACV
will not be responsible to pay the buyer any fees associated with buyer’s or its third party’s storage
or security of the vehicle until it is transported from buyer’s lot. Buyer and seller agree that, in the
event the transaction is cancelled as the result of a vehicle condition arbitration claim, either may be
required by ACV Auctions to transfer ownership to the next buyer either through ACV Auctions’ platform
or otherwise, and buyer and seller agree to cooperate with such transfer and promptly provide and
facilitate the processing of any title paperwork related thereto. In the event of a cancellation, buyer
will recoup the purchase price and buyer fee paid to ACV Auctions for the original purchase of the
vehicle once ACV receives the required negotiable title paperwork from the buyer.
What Can Be Arbitrated (Vehicle Condition).
In order for the buyer to request arbitration and to be eligible for any remedy based on the vehicle condition,
each of the following criteria must be met:
The defect or concerning condition was not disclosed in the condition report, in a CARFAX report, or
otherwise by the seller or ACV Auctions;
A single mechanical defect with a repair cost in excess of $500. The cost of the repair is determined by
ACV Auctions based on wholesale dealer cost, which means used, remanufactured, and/or aftermarket parts
as well as a wholesale labor rate of $85 for gas vehicles and $100 for non-gas vehicles. This minimum
does not apply for cosmetic damage that was not disclosed to the buyer; and,
The defect is not included in the list of items in this policy that are not eligible for arbitration.
What Cannot Be Arbitrated (Vehicle Condition).
The vehicle should not be brought for arbitration and will not be eligible for any remedy related to any of the
Kit vehicles, homemade vehicles, non-factory add on parts, and modified vehicles are sold “As-Is” and
cannot be arbitrated
The vehicle makes noises or demonstrates conditions that are inherent or typical to a particular model
or manufacturer, unless deemed “excessive” by the diagnosing dealership on non-warranty items. OEM
dealer warranty guidelines will be used to determine whether the condition is excessive.
The issue with the vehicle is related to wearable items, regardless of repair cost. For purposes of this
policy wearable items would include, but are not limited to: tires, wipers, brake pads, shoes, rotors,
belts, lines & hoses, seals & gaskets, lubricants/fluids, spark plugs & wires, ignition coils, timing
belts, bulbs, filters, shocks & struts, suspension, exhaust and standard transmission clutches.
Head-gasket leaks unless they are causing an internal engine leak in which oil and/or coolant are
leaking into the combustion chamber, resulting in consumption of oil and/or coolant that is burned and
realized by smoke exiting the exhaust tailpipe, or intermix of oil and coolant. External head gasket
leaks resulting in visible seepage on the outside of the engine block and head are not eligible for
Vehicles may not be arbitrated solely on Electronic Vehicle History Data (EVHD). Examples of EDVH
include CARFAX, AutoCheck, NMVTIS, etc. ACV Auctions only verifies CARFAX reporting. However, ACV
Auctions may investigate EVHD based on information found in CARFAX for information that may impact
The odometer reading has increased by 300 miles or more over the miles indicated on the ACV platform at
the time of purchase. In the event of a live appraisal, a vehicle will not be eligible for arbitration
in the event the odometer reading has increased by 300 miles or more over the miles indicated on the
If a disclosure is made about any component or part of a vehicle, such component or part is not able to
Aftermarket parts or equipment including but not limited to installed plows, 5th wheel hitches or towing
packages, or any damage caused by the installation of such aftermarket parts or equipment.
Mileage cannot be arbitrated for vehicles that are 10 years or older and/or deemed exempt from odometer
and title disclosure laws. Note that a buyer may arbitrate mileage discrepancies for these vehicles
where the seller disclosure of mileage differs from the actual odometer reading.
Vehicle accessory electrical defects on vehicles four (4) model years old or greater.
Leaks of any kind on vehicles that are twenty five (25) years old or older.
Rear main seal oil leaks on vehicles ten (10) years old or older, or vehicles that with 100,000 miles or
Damage of any kind that occurred after the vehicle is picked up from the seller.
Seller must ensure that all vehicles listed for sale must have a public Vehicle Identification Number
(VIN) plate attached to the vehicle.
Disclosures are required for any matters that are required to be disclosed under local, state or federal
statutes or regulations. Disclosures must be made by the seller to ACV Auction’s vehicle condition
inspector to be included in the vehicle condition report
Even if the vehicle is covered by a manufacturer’s warranty, the seller is still responsible to disclose
any known defects.
In the event of a successful arbitration by the buyer, the seller is responsible for reimbursement of
the amounts determined by ACV Auctions to cover expenses for parts and labor associated with repair of
vehicles arbitrated for undisclosed conditions. In the event the transaction is cancelled based on the
arbitration, the seller will be responsible at its cost to transport the vehicle from the buyer’s lot.
For arbitrations occurring after the seller has been paid, seller is required to promptly return the
payment to ACV Auctions if the transaction is cancelled as a result of arbitration.
Seller is responsible to disclose and allow ACV Auctions to disclose the complete and accurate condition
of the vehicle and title. In the event seller (including any of its employees and agents) has not
disclosed the complete and accurate condition of the vehicle or title, inaccurately represented the
features or condition of the vehicle, or otherwise tampered or interfered with full disclosure of the
vehicle condition or title, there is damage or theft of the vehicle or the vehicle is tampered with
before or after the condition report is written, or the seller otherwise acted with gross negligence or
willful misconduct resulting in incomplete or inaccurate disclosure, and whether or not seller
participates in ACV Auctions’ GO GREEN program described below, seller will be responsible for all costs
associated therewith, including arbitration costs, relisting costs, and all costs, liabilities, and
losses sustained by ACV Auctions, the buyer, and any affected retail customer. Further, if the
transaction is cancelled for any of the foregoing reasons, the seller (i) shall promptly return the
proceeds from the original sale to ACV Auctions, (ii) shall be responsible, at the seller’s cost, to
remove the vehicle from the buyer’s lot or the applicable storage facility within ten (10) calendar days
after cancellation of the transaction, and (iii) will be responsible to refund transportation expenses
incurred by the buyer for the applicable vehicles.
Without limiting the foregoing, sellers must disclose the following information. Failure to disclose the
following may result in an arbitration related to these issues and reparations being made by the seller
to the buyer, possible cancellation of the transaction, and possible other liabilities to seller.
Title discrepancies including, but not limited to: not actual miles, salvage, theft recovery,
stolen vehicle, flood damage, gray market, replica, Lemon Law, manufacturer and/or dealership
buy backs and trade assist. No vehicles are allowed to be sold through the ACV Auctions platform
related to which there is any title washing that would cause a title discrepancy to be
undisclosed. The seller will be solely and fully liable for any damages associated with title
Permanent structural damage, any structural alterations, structural repairs or replacements
(certified or non- certified).
After-market accessories installed to or removed from the structure.
Towing packages installed (or removed) where new holes are drilled, manufacturer’s holes are
enlarged, or if the towing package is welded or brazed to the structure.
Multiple access holes (regardless of size) or singular access holes greater than 5/8". Access
holes between 1/4" and 5/8" are subject to disclosure based upon location and condition of
Corrosion of structural components that result in a perforation in the frame.
Structural tear damage (i.e. transport tie down) if more than 1" in length (measured from tear
Any defects or damage that are “visible” or “cosmetic” in nature.
Any vehicles having a reassigned VIN plate by the State in place of the original VIN plate.
The Seller must disclose accurate odometer reading, non-functioning or defective Odometer, and
Mechanical defects in excess of $500 per item.
Vehicle accessory electrical defects in excess of $500 per item on vehicles 4 model years old or
Vehicles not equipped with A/C.
Paintwork (bumpers and brush touches not included).
Voided factory warranties.
Salvage vehicle, (including current title or history REPORTED BY CARFAX ONLY), previous Taxi,
Livery and Emergency vehicles.
Flood Damage current or history (including documented by DMV or Insurance Company).
Missing Catalytic Converters.
Inaccurate model or trim badging, decals or identification.
Inoperable, missing, or defective airbags.
Buyer will inspect the vehicle immediately upon arrival at Buyer’s location. The Buyer must verify the
Seller’s representations and promptly notify ACV Auctions of any discrepancies within the time frame as
stated in this policy. Buyer will verify odometer reading upon arrival at Buyer’s location. The mileage
on the odometer must be the same as when the vehicle was purchased, as set forth in the bill of sale, if
the buyer wants to arbitrate related to an inoperable odometer.
Prior to making an offer to buy the vehicle through ACV Auctions, the buyer is responsible to review all
condition reports, pictures, and disclosures made available by the Seller and ACV Auctions.
Buyers are also responsible for observing and understanding the sale lights (Green, Green/Yellow, Red,
Red/Yellow and/or Blue), which are a non-binding, subjective indicator of the various sale conditions
for the vehicle.
If the buyer makes any changes to the vehicle pending completion of arbitration, or before receiving
title to the vehicle, the buyer shall be liable for any and all work done to the vehicle and any result
thereof. Buyer shall not sell the vehicle before it receives title to the vehicle. Neither seller nor
ACV Auctions shall be liable for any vehicle sale or repairs made by the Buyer before the title is
received by the Buyer. Additionally, buyer will not be eligible for any remedy through arbitration for a
vehicle that has been sold by buyer after purchase (either wholesale or retail, and whether valid or
voided) and before an arbitration claim is resolved.
The buyer is financially responsible and assumes all risk of damage and loss on the vehicle beginning at
the point of pick up (by the buyer or its agent) or delivery (by third party transporter).
The Buyer or Buyer’s agent (transporter or driver) must document any damage at the time of pick-up prior
to removing the vehicle from its location. ACV Auctions and the seller will not be responsible for any
damage not identified in writing as of the time of pick-up of the vehicle once the vehicle is removed
from the location.
The buyer will not have any repairs performed prior to ACV Auctions validating the claim. Cost for any
repairs performed prior to validation of the claim will not be covered by arbitration.
ACV vehicle condition inspectors drive the vehicle around the seller’s lot, but the vehicles are not
tested at road speeds. ACV provides an on-site visual inspection of the vehicles listed through ACV’s
platform, including exterior, interior, undercarriage and frame (without lifting the vehicle).
Additionally, a mechanical inspection includes checking the engine oil and coolant, starting and running
the engine, and driving the vehicle in the lot to test the functionality of the transmission by getting
the transmission into first gear and reverse.
Although ACV may disclose the same issue on different vehicles in different ways, if an issue is
disclosed in any manner, it will not be eligible for any reparations through arbitration.
As a professional used car buyer, you can expect that the cars you buy on ACV may have some of the
imperfections listed below and may need any or all of the following services performed to get them into
retail-ready condition. Although we may not disclose all of these items in the condition report, it
should be considered normal and reasonable for any wholesale auction purchase, and therefore, these
issues are not eligible for arbitration claims.
Interior and exterior cleaning and detailing to remove dirt, dust, grime, stains, smells, pet
hair, gum and food residue.
Wet-sanding and buffing to remove surface level scratches and blemishes on the exterior body and
Seepage that is not considered an active dripping leak.
Reconditioning or replacement of fogged or hazed headlights, fog lights, or tail lamps.
Non-functioning proximity sensors and lane detection sensors.
Repair of any and all aftermarket accessories.
Removal of decals, bumper stickers, vehicle wraps, and window tint, and any subsequent paint
damage that could occur from this process.
Power seat functions including lumbar, heated & ventilated, memory, power tilt/telescoping
steering wheel and steering wheel controls, power mirrors including defrost, and extending
Keys that are a combination key/fob, it may need a battery or dealer programming. Only one key
that starts and unlocks the vehicle manually may be provided. Any duplicates will need to be
made by the buyer.
Issues that can be remedied by utilizing existing manufacturer warranty need to be resolved
through that process.
Wear and tear on headlights, window glass, and paint including minor scratches, moisture behind
the headlight lens, and paint chips.
Light Indicator System for ACV Auctions.
ACV Auctions’ light indicators for vehicles sold through its platform are described below. This light indicator
system is used as a high-level indication of the basic condition of the car, but the buyer is responsible for
reviewing the condition reports, pictures, disclosures, and other information provided by the seller and ACV
Auctions to accurately determine the condition of the vehicle before making a purchase decision. Please note
that ACV Auctions’ light indicator system is different from those used by other companies, and buyers will not
be permitted to arbitrate a vehicle solely based on the light indicator used with any given vehicle. The light
indicators are not a guarantee of vehicle condition.
Green Light –
A green light indicates that the vehicle’s basic mechanical system and frame are all in proper
functioning condition unless otherwise disclosed. Please note that the use of a green light indicator
does not mean that the vehicle is without any defects or issues. If a defect or other issue is not
disclosed to the buyer, the buyer may request arbitration from ACV Auctions to seek reparations related
to such defect or issue pursuant to this policy.
Yellow Light –
A yellow light acts as a caution indicator, and indicates that the vehicle has one or more major
defects. The defect may be disclosed as part of the disclosures made to the buyer in the condition
report, pictures, or other disclosure available through ACV Auctions’ platform. When a yellow light is
present, it will be coupled with either a green light or a red light, and is intended to call the
buyer’s attention to one or more defects. Any parts or components associated with the yellow light are
not eligible for arbitration.
Red Light –
A red light indicates that the vehicle is being sold AS-IS and may not be arbitrated for any reason
unless it has undisclosed salvage title, or TMU (True Mileage Unknown). Title may be arbitrated on a
red-light vehicle only if it has non-transferable or branded title, or if it has undisclosed
Blue Light –
A blue light indicates that a vehicle is being sold with the title absent.
A transferable title does NOT accompany the vehicle, and the Seller has 30 calendar days
(or such number of days as otherwise specified in the Titles Policy) to provide a transferable title to
GO GREENTM Policy and Practices
ACV Auctions offers to certain sellers a GO GREEN program which, if the seller chooses to participate in
such program and ACV Auctions conducts the vehicle inspection, puts together the vehicle condition
report, and the vehicle is a green light vehicle, would revise the seller’s obligations and
responsibilities under ACV Auctions’ vehicle condition arbitration policy as follows. This is being
offered as an assurance service to our sellers to show ACV's commitment to stand behind ACV's inspection
report. Any seller that chooses to participate in the GO GREEN Program, must pay the associated fee for
every green light vehicle the seller sells on the ACV Auctions platform.
Notwithstanding anything to the contrary in the arbitration policy, the GO GREEN program provides the
seller with protection against defects in the vehicle that are not disclosed in ACV’s condition report
(“Undisclosed Vehicle Defects”) that are unknown to the seller and otherwise might result in either the
cancellation of the transaction or liability for costs for repair. Specifically, in return for payment
of the fee to participate in the GO GREEN program, ACV Auctions will release the seller from its
obligations under Sections 5(f) and (g) of this arbitration policy and (i) pay to the selling party the
full sale price paid by the original buyer even if the transaction is later cancelled, and (ii) cover
any costs due to the buyer pursuant to the arbitration policy.
If the seller participates in the GO GREEN program, and a transaction is later cancelled, the seller
will permit ACV Auctions to relist the vehicle under the seller’s name on ACV Auctions’ platform in
order to sell the vehicle to another buyer. ACV Auctions, having already paid seller for the vehicle
based on the original sale, will retain the proceeds from such subsequent sale. Under the GO GREEN
program, if the vehicle does not sell on ACV Auctions’ platform after a cancellation of an original
transaction, ACV Auctions may sell the car in the seller’s name to a wholesale dealer outside of the
platform, a recycling center, or other service to remarket or resell the vehicle.
While as part of the GO GREEN program ACV Auctions assumes the risk of gain or loss on the disposition
of a vehicle for which the original transaction was cancelled, ACV Auctions does not assume ownership of
the vehicle or any other risks from defects, such as personal injury or property damages resulting from
a defect in a vehicle. A GO GREEN participating seller agrees to cooperate fully and promptly as
directed by ACV Auctions, at seller’s expense, with transfer and, if applicable, the resale of the
vehicle, including without limitation providing any updated resale/reassignment documentation necessary
to resell the vehicle if the original transaction is cancelled.
Without limiting sellers’ other obligations under the arbitration policy, sellers who participate in the
GO GREEN program will remain fully responsible for the following:
Any issues with vehicle titles, including but not limited to accurate disclosure of odometer
Undisclosed Vehicle Defects that seller knew about (either through their inspection or
Seller’s fraudulent or deceptive acts or omissions including but not limited to:
Tampering with a vehicle (before or after ACV Auctions’ inspection)
Clearing diagnostic codes
Selling or attempting to sell a vehicle with missing or inoperative airbags
Disabling or unsetting monitors prior to ACV Auctions’ inspection
Resetting check engine lights or codes without successfully completing related repairs
Tampering with, influencing, or attempting to influence the revision of ACV Auctions’
condition reports or disclosures.
If an arbitration is based on any of the foregoing, then, notwithstanding the seller’s
participation in the GO GREEN program, the seller (i) shall remain liable for the costs of
parts and repair of the vehicle (ii) shall be liable for any harm caused thereby, and (iii)
will be disqualified from the GO GREEN program. ACV Auctions may also seek other remedies in
law and in equity.
Further, if a transaction is cancelled due to any of the issues set forth in this Section
9(e), notwithstanding the seller’s participation in the GO GREEN program (i) the seller
shall promptly return the proceeds from the original sale to ACV Auctions, (ii) ACV Auctions
will not permit the vehicle to be relisted on ACV Auctions’ platform unless and until the
issue has been properly resolved or disclosed, (iii) the seller shall be responsible, at the
seller’s cost, to remove the vehicle from the buyer’s lot or the applicable storage facility
within ten (10) calendar days after cancellation of the transaction, and (iv) seller will be
responsible to refund transportation expenses incurred by the buyer for the applicable
If arbitration claims related to seller’s vehicles are more frequent than other dealers, or if ACV
Auctions believes, in its sole discretion, that seller is taking advantage of the GO GREEN program in
any way, ACV Auctions may terminate seller’s participation in the program. ACV Auctions reserves the
right to refuse or terminate participation in the GO GREEN program for any seller.
Amendment of the Policy.
ACV may amend this Arbitration policy (including the GO GREEN Policy) at any time and any such amendments will
be effective as of the date the amended policy is posted on the ACV Auctions website unless otherwise specified