16 Jul California’s New Anti-Theft Laws: How Telesis Can Help Vehicle Dealerships Comply

n the United States, catalytic converter theft has been a concern for vehicle owners for years, and California is the state with the most thefts as of 2023. These items are often stolen because they contain valuable metals like palladium, platinum and rhodium.

California’s state government has implemented three new laws in 2024 to help improve traceability and reduce the chances of theft. These laws have impacts on vehicle dealerships, making it essential for dealers to stay informed about the requirements and how to stay compliant with them.

This guide explores what the laws entail, what dealerships should do to avoid penalties and where dealers can access solutions to make compliance easier.

Understanding California’s 2024 Catalytic Converter Laws

On January 1, 2024, three new laws went into effect to combat catalytic converter theft in California:

• SB 55: This law requires all motor vehicle dealers or retailers to engrave the Vehicle Identification Number (VIN) on catalytic converters before selling a new or used vehicle. Still, the law allows purchasers to decline to have the VIN engraved on the converter.
• AB 1519: The law prohibits the removal and alteration of VIN markings from a catalytic converter and the possession of three or more catalytic converters that have had their VIN markings altered or removed.
• AB 641: This law adjusts the definition of an automobile dismantler to include individuals who possess nine or more catalytic converters. Those acting as automobile dismantlers who do not meet the legal requirements to be classified as one will receive a penalty. Still, some individuals and businesses may be exempt from the penalty if they have a reasonable purpose for having a catalytic converter. For example, they might own a repair shop.

How New California Catalytic Converter Laws Will Affect Dealerships

These laws aim to help improve the safety of Californians and their vehicles, though some businesses will need to update their operations to ensure they’re compliant. Specifically, each law will affect dealerships in various ways:

SB 55

While manufacturers are exempt from needing to mark the catalytic converters, dealerships will need to take action to comply with SB 55. As a dealership, you’ll have two options.

First, you may mark all catalytic converters in advance and include the cost in the vehicle’s advertised price as a hard-add accessory. Otherwise, you can include VIN marking in the sale. For example, you might ask the customer if they would like the dealership to add it. If so, you can add the price to the supplemental sticker. If the customer declines the VIN marking offer, you can provide them with a document to sign that outlines that you offered the marking and the client declined, which can serve as proof of compliance in case of theft.

AB 1519

Since AB 1519 prohibits particular individuals from altering or removing VIN markings, dealerships will be responsible for conducting thorough inspections of vehicles in their inventory. This process will help them establish whether a catalytic converter was marked or installed illegally. If they find that a converter’s VIN was altered or removed, dealers need to engrave the converter with a new VIN that matches the specific vehicle.

AB 641

Bill AB 641 may not majorly affect established dealerships, but dealers should note a few points. For instance, compliance may not be necessary for dealers with secured dealer plates that occasionally or incidentally dismantle vehicles. These dealers’ primary functions should be to sell new and used vehicles, and their dealer plates should be valid for the current year.

While complying with California’s new converter laws is essential to improving the safety of your customers’ converters, doing so is also important to avoid fines and other potential consequences. When dealers fail to comply, it may result in:

• DMV complaints and investigations
• General attorney complaints and investigations
• Demand letters
• Lawsuits
• Suspension of dealer license

One of the best ways dealerships can avoid compliance issues is by partnering with companies that supply marking solutions for catalytic converters. This way, they have the tools they need to keep their vehicles’ converters in check, even when VIN marking requirements may change. Additionally, dealers should regularly check that their dealer plates are valid and that they’re continuing to follow all the relevant laws and regulations.

Telesis’ Solution: The Complete Dot Peen Marker Package

VIN markings must be done using a permanent method, such as welding, etching or engraving. At Telesis Technologies, Inc., we offer permanent dot peen marker machines to help mark VINs on catalytic converters.

Our dot peen marker package includes a portable and precise BenchMark® dot peen marker, a BenchMark® dot peen controller and an optional rolling cart. The BenchMark® dot peen controller can either come with a durable membrane keyboard or an impact-proof touchscreen interface. With the rolling cart, you can easily move the tools around your dealership as needed.

Having a portable dot peen marker device comes with many benefits for car dealerships, such as:

• Greater precision and accuracy.
• Better ergonomics for ease of use.
• The ability to produce custom symbols, codes and logos if needed.

How Telesis Can Help California Dealerships Comply

California’s latest catalytic converter laws aim to enhance traceability within the automotive industry, and Telesis Technologies, Inc. exists to help businesses improve operational efficiency and compliance. We provide dot peen and laser marking equipment that allows dealerships and a range of other businesses to make their marking processes easier.

Our systems’ portability is particularly helpful for VIN markings and other remote operations. With a Telesis marking system, you can create clear, legible VIN markings that enhance recognition, enabling you to achieve compliance more quickly.

Whether you’re new to dot peen marking machines or need to add another to your toolkit to enhance VIN marking, we have different options available to help you stay on top of California’s latest regulations.

Shop Telesis’ VIN Marking Solutions Today

California’s recent laws concerning catalytic converters will require dealerships to have efficient and effective VIN marking solutions.

At Telesis Technologies, Inc., we offer a reliable permanent dot peen marker, controller and rolling cart package for increased compliance and efficiency when creating VIN markings for customers. With our all-in-one solution, engraving VINs becomes a simpler task that can happen anywhere on your lot. Plus, you can use our tools for other marking purposes, so they’re a versatile investment for any dealer.

Browse our marking solutions today to get the equipment you need for compliance. Whether you require further information or a demonstration of how our solutions work, you can also contact our knowledgeable experts about our VIN marking solutions to learn more.