Which action does the federal odometer law prohibit?

The federal odometer law is designed to protect consumers from fraudulent practices regarding vehicle mileage. One of the key prohibitions under this law is the act of knowingly selling a vehicle while being aware that the odometer is disconnected. This practice can mislead potential buyers regarding the true mileage of the vehicle, which is critical information for assessing its value and condition.

When a seller knows that the odometer is not functioning or has been disconnected, they have a responsibility to disclose this information to the buyer. Failing to do so can lead to significant legal consequences and undermine trust in the vehicle sales process. The law aims to ensure transparency and maintain the integrity of vehicle market transactions, ultimately safeguarding consumers from potential fraud.

In contrast, resetting an odometer for legitimate sales, operating a vehicle without an odometer, and trading vehicles without disclosing odometer readings, while they may also be regulated, do not involve the same level of intentional deceit and consumer harm that knowingly selling a vehicle with a disconnected odometer entails. Thus, the prohibition against knowingly selling such a vehicle highlights the importance of honest practices in the automotive marketplace.