Federal law requires that a seller complete a written disclosure of the odometer reading when selling a motor vehicle. This is required on all motor vehicles up to and including 12,000 lbs. unladen weight, or vehicles less than 10 years old. The law also requires all states to have the odometer disclosure statement printed on their vehicle titles and to record that reading on the title issued to new owners. A state is prohibited from licensing a vehicle unless the odometer disclosure statement is completed and the buyer submits the seller's title with the application for a new title.

The penalty for false statements on the odometer disclosure is a $2,000.00 fine and/or 3 years imprisonment. Federal regulations also require that the buyer sign the odometer disclosure statement acknowledging the odometer reading.

When there is not a space provided on the title for the odometer reading, an odometer disclosure can be completed and submitted with the other supporting documents.