Signal Arbitration Policy

Last updated: 05/25/2022

1. General.  For disputes that arise with regard to vehicle condition, the Buyer and Seller agree to resolve such disputes through the process in Signal’s Arbitration Policy (the “Arbitration Policy”). Capitalized terms used but not defined in this Arbitration Policy shall have the meanings set out in the General Terms of Service (the “Terms”) or the Marketplace Terms and Conditions (the “Marketplace Terms”), as applicable

2. Arbitration Process.

2.1 General. If a Buyer has received a vehicle that has an undisclosed issue that is covered for arbitration under this policy, the Buyer may notify Signal by email at Buyers are only eligible to have the issue reviewed by Signal 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, Signal will investigate the claim made by the Buyer, assess the claim, and determine the appropriate resolution, if any.

2.2 Timing. Buyer will have 2 business days from the date of receiving the vehicle (the “Standard Arbitration Window”) to raise any and all concerns to be reviewed through the arbitration process.

2.3 Investigation. Signal may require the Buyer to provide evidence of the claim and assist in the diagnosis of any undisclosed condition issues within a specified timeframe, in order to determine an appropriate resolution. If the Buyer is unable or unwilling to provide the requested evidence of the vehicle condition within the timeframe requested, Signal will close the arbitration related to such vehicle and the Buyer will not be permitted to reopen the arbitration.

2.4 Final and Binding Determination. Buyer and Seller agree that Signal shall have the authority to make the final binding decision upon both the Buyer and Seller on all arbitration matters.

2.5 Possible Resolutions to Arbitration. Resolutions to an arbitration may include payments or credits to the Buyer to cover, at Signal’s 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 Signal. In no event will a Buyer be entitled to a remedy through arbitration for more than the price such Buyer paid for the vehicle.

2.6 Arbitration Resolutions are Final.  Once an arbitration decision has been reached, such decision is final and no new concerns may be raised by the Buyer for arbitration related to that vehicle. 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.

2.7 Canceled Sales. In the event Signal, 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 Signal, the Seller, or another third party, at Signal’s 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. Signal 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 prior to it being transported from Buyer’s lot. Buyer and Seller agree that in the event the transaction is canceled as the result of a vehicle condition arbitration claim, either may be required by Signal to transfer ownership to the next Buyer either through Signal’s 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 Signal for the original purchase of the vehicle once Signal receives the required negotiable title paperwork from the Buyer.

3. Eligibility for Arbitration

3.1 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:

A. The defect or concerning condition was not disclosed in the Inspection Report, in a CARFAX report, or otherwise by the Seller or Signal; and

B. The defect is not included in the list of items in this policy that are not eligible for arbitration.

3.2 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 following: 

  • 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 the 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 the 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 arbitration. 
  • Vehicles may not be arbitrated solely on Electronic Vehicle History Data (EVHD). Examples of EDVH include CARFAX, AutoCheck, NMVTIS, etc. Signal only verifies CARFAX reporting. However, Signal may investigate EVHD based on information found in CARFAX for information that may impact arbitration. 
  • The odometer reading has increased by 300 miles or more over the miles indicated on the Marketplace platform or Inspection Report at the time of purchase.  
  • If a disclosure is made about any component or part of a vehicle, such component or part is not able to be arbitrated. 
  • 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 more.
  • Damage of any kind that occurred after the vehicle is picked up from the Seller. 
  • Secondary electronics (e.g. lane departure systems, radar cruise control, cross-traffic detection, parking sensors, cameras, etc.).

4. Seller’s Responsibilities.

  • Seller must be the rightful owner of the vehicle and may not sell any vehicle owned by a third party through Signal. 
  • 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.  
  • 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 Signal to cover expenses for parts and labor associated with the repair of vehicles arbitrated for undisclosed conditions. In the event the transaction is canceled based on the arbitration, the Seller will be responsible for the 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 Signal if the transaction is canceled as a result of arbitration. 
  • Seller is responsible to disclose and allow Signal 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, Seller will be responsible for all costs associated therewith, including arbitration costs, relisting costs, and all costs, liabilities, and losses sustained by Signal, the Buyer, and any affected retail customer. Further, if the transaction is canceled for any of the foregoing reasons, the Seller (i) shall promptly return the proceeds from the original sale to Signal, (ii) shall be responsible, at the Seller’s cost, to remove the vehicle from the Buyer’s lot or the applicable storage facility promptly after the cancellation of the transaction, and (iii) will be responsible to refund transportation expenses incurred by the Buyer for the applicable vehicles.

5. Buyer’s Responsibilities.

  • The Buyer is responsible for reviewing the Inspection Report and all other condition reports, pictures, and disclosures made available by the Seller and/or Signal. 
  • Buyer will inspect the vehicle immediately upon arrival at Buyer’s location. The Buyer must verify the Inspection Report and Seller’s representations and promptly notify Signal 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. 
  • 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 Signal 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. Signal 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 Signal validating the claim. Cost for any repairs performed prior to validation of the claim will not be covered by arbitration.

6. Amendment of the Policy. Signal may amend this Arbitration Policy at any time and any such amendments will be effective as of the date the amended policy is posted on the Signal website unless otherwise specified therein.