Purchasing an Automobile Cash or Credit - Part 1

Using Indorsements and Rebuttals While Lawfully Following the UCC and State Commercial Codes - And Holding People Accountable

This is the first in a series of articles that will dive into indorsements and proper application of said indorsements for purchases. The series of articles will include scenarios one is likely to experience in the process and means to address those scenarios and hurdles. For purposes of illustration, this will revolve around automobiles and dealerships.

Note: Most people, corporations, banks, bank personnel, car dealership agents, legal counsel, DA’s, Law Enforcement, and everyday people have no idea how the system was designed or how it functions in practical application.

The system was devised as a result of the federal reserve act of 1913, the gold and silver confiscation of the 1930’s, and the removal of the gold standard. Eventually the UCC code was developed to have a “standardized” method of commercial transactions due to the currency method of trade/commerce created with the federal reserve. The UCC code was first published in 1952. Most State codes either reference the UCC specifically or mirror the code almost verbatim with their own title.

With the U.S. monetary policy change, certain people in Congress pushed back to this legislation because of what it could mean if there was not a clear remedy for people to discharge debt as the actual creditors. Unfortunately, the centralized control of the education system and the federal funding at the university level, has rendered the knowledge almost absent from the minds of all.

Dealerships and Automobiles

Dealerships provide the ability to purchase an automobile for the public. They act as “seller’s agent” in the commercial buying relationship. However, they also act as an agent in a public-private partnership to enforce the State forced registration, plates, and insurance.

What dealerships do not realize, is that if they force this compliance on a knowing public and in turn discriminate upon a man or woman from purchasing said automobile with their credit or currency, they are violating a number of codes, acts, statutes and rights of that man or woman acting as “buyer”.

The forcing of registration and plates converts the automobile into a “vehicle”. Now the man is presumed to be a fictitious entity and is wrapped into the statutory control of the federal government and the State franchises of the federal government.

Trip to the Dealership

Let’s say you travel to a dealership which may have the specific automobile you wish to purchase. Let’s assume it has all the features and color and options you wish to have for your daily travel.

Upon test drive, you confirm this is the automobile for you. You start the process of purchasing the automobile with the sales agent. The agent asks for your driver’s license. You politely clarify that you do not qualify for a driver’s license, but you would be happy to supply your passport for verification of the right to travel.

The sales agent looks a little pleasantly befuddled, but proceeds with the use of the passport or passport card. Then the sales agent asks for your insurance information. You politely inform the sales agent you are not required to have insurance, however, you keep insurance anyway due to the local deer population and because you never know when an inadvertent accident could occur. Again, the sales agent looks puzzled.

Next, you let the sales agent know you are not going to be registering the automobile and you will not require State license plates. This now gets the sales agent very confused, but prompts some questions. You begin to explain the difference between commercial and non-commercial, what registration is and the difference between lawful travel and driving. At this stage, the sales agent believes the information is too much to digest, although interesting, and requests we speak with the customer representative that does the finance paperwork and registration validation.

The Confusion

Politely, you explain to the new agent of the dealership, the reality that you do not qualify for registration, licensing, or plates in the standard form. The financing agent has a general appreciation for the explanation and understands the basic premise, but does not think it will work with dealership “policy”. This exchange is pleasant and cordial, but the agent indicates they need to speak with management on how to proceed.

Now the disappearance into their private meetings ensue…

You wait patiently in the sales area. After a prolonged time, it is determined that it will take longer to come to a final resolution. So, you leave your down payment check which is indorsed “without recourse” so they do not sell the automobile to anyone else while they figure out how they can make the sale.

In this particular case, you are also letting them know you are paying outright with currency (cash) for the automobile.

We will address the credit purchasing process in a future article.

The Call

Later the same day you receive a call from an agent at the dealership. Summary: they cannot sell you the automobile because the dealership has a contract with the State. That contract requires them to register all “vehicles” with the DMV, no exclusions, or else they lose their license to sell in the State. The agent said they had spoken with their legal counsel for the Dealership and this is not an option.

During the communication, the agent for the dealership stated the legal counsel wanted the agent to ask the question; “Are you one of those “sovereign citizens"?”.

You politely chuckle and comment that the question does not make any sense. You ask the agent how that is possible as the words are diametrically opposed in meaning and if the agent knows what that term means. The agent avoids answering the question, but commented that, “Well, i was told to ask”.

The agent then proceeds to state they cannot accept any form of specially indorsed instruments. So, the down payment check with the properly indorsed “without recourse” needs to be returned or picked up.

The agent then proceeds to tell you that they are not infringing on any of your rights and you can always choose to shop somewhere else. After a little more cordial conversation, and you giving the indication that there might be a little discrimination in the assessment, you politely make sure not to add any controversy and the call is ended.

What are the Implications?

Dealership Legal Counsel Interferes in Lawful Transaction

What are the implications to the legal counsel of a Dealership if they interfere with this proper method of payment through the use of a properly executed negotiable instrument for an automobile (not a “vehicle” as it will not be registered commercially), and counsel their employer's agents not to proceed? Keeping in mind you were prevented from proceeding to the Sales Agreement which once properly indorsed, becomes a Bill of Sale. This will be covered in a future article.

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I. Potential Civil and Criminal Liabilities

1. Violation of Federal Law (Conspiracy, Fraud, and Deprivation of Rights)
If legal counsel knowingly interferes with a lawful financial transaction, they may be subject to criminal charges under federal statutes:

18 U.S.C. § 241 – Conspiracy Against Rights

• If two or more persons conspire to prevent or coerce a person from exercising a protected legal right, they can be fined and imprisoned up to 10 years.

• Implication: If a dealership's legal counsel directs agents to reject a valid payment method, they may be engaging in conspiracy.

18 U.S.C. § 242 – Deprivation of Rights Under Color of Law

• It is a crime for any person acting under authority (including corporate legal counsel) to deprive another person of rights secured by U.S. law.

• Implication: If the dealership’s legal counsel pressures employees to deny a lawful transaction, they may be personally liable for violating this statute.

18 U.S.C. § 1341 – Mail Fraud & 18 U.S.C. § 1343 – Wire Fraud

• Any attempt to use deceptive practices (such as misrepresenting payment obligations or denying a valid financial instrument) to extract more money may be classified as fraud.

• Implication: If legal counsel advises the dealership to refuse a properly executed negotiable instrument to coerce a different payment method, they could be charged with fraud.

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2. Violation of Uniform Commercial Code (UCC) & Unlawful Contractual Interference
If legal counsel misleads the dealership into rejecting a valid negotiable instrument, they may be in violation of the Uniform Commercial Code (UCC):

UCC § 3-104 – Definition of a Negotiable Instrument

• A Bill of Sale that is properly indorsed with a “Pay to the order of” clause constitutes a negotiable instrument.

• Implication: The dealership is legally obligated to accept it as tender unless proven fraudulent.

UCC § 3-306 – Claims to an Instrument

• A holder in due course of a negotiable instrument has an enforceable right to payment.

• Implication: Legal counsel advising rejection of a valid instrument may be interfering with financial rights.

UCC § 1-308 – Reservation of Rights

• No party may be forced to waive legal rights through coercion.

• Implication: If legal counsel pressures the dealership’s agents to force an alternative payment method, they may be liable for contract coercion.

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3. Violation of Attorney Ethics & Professional Liability
If legal counsel deliberately misleads the dealership into rejecting a lawful financial transaction, they may face professional discipline under State Bar regulations:

Model Rules of Professional Conduct (American Bar Association - ABA)

• Rule 1.2(d) – Assisting in Criminal Conduct

  • A lawyer may not counsel a client to engage in fraudulent or criminal acts.

  • Implication: If dealership counsel knowingly obstructs a lawful transaction, they may be engaging in fraud.

• Rule 3.3 – Candor Toward the Tribunal

  • A lawyer must not knowingly misrepresent material facts.

  • Implication: If dealership counsel intentionally misrepresents UCC law or payment obligations, they may be guilty of professional misconduct.

• Rule 4.1 – Truthfulness in Statements to Others

  • A lawyer cannot knowingly make false statements of law or fact.

  • Implication: If legal counsel claims that a properly indorsed negotiable instrument is not valid, they could be disbarred for dishonesty.

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II. Remedies Available Against the Dealership’s Legal Counsel

If legal counsel interferes with the transaction, the following actions may be taken:

1. Formal Bar Claim

• File a formal grievance with the State Bar Association for professional misconduct.

• Grounds: Deception, fraud, or coercion related to a financial transaction.

• Possible penalties: Disbarment, license suspension, or sanctions.

2. Federal & Civil Lawsuits for Fraud & Contract Interference

• File a civil lawsuit for:

  • Intentional interference with contractual relations

  • Breach of commercial law (UCC violations)

  • Deprivation of rights under color of law

3. Command for a Sworn Affidavit from Legal Counsel

• Command a notarized affidavit from legal counsel affirming:

  • The exact legal basis for rejecting a properly executed negotiable instrument.

  • Proof that the dealership is legally allowed to refuse such a payment method.

• Failure to provide an affidavit constitutes tacit acquiescence that their actions lack lawful basis.

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III. Final Conclusion

Legal counsel for a dealership is at risk of:

· Federal criminal liability under 18 U.S.C. §§ 241, 242, 1341 (fraud, conspiracy, deprivation of rights).

· Civil liability under UCC §§ 3-104, 3-306 (contract interference, unlawful rejection of payment).

· Professional discipline (disbarment, fines, lawsuits) under ABA Rules of Professional Conduct.

Notice of Violation

Here is an example of a notice of violation and command for sworn affidavit. This is simply an example and does not represent a specific case.

NOTICE OF VIOLATION & COMMAND FOR SWORN AFFIDAVIT

TO: [Dealership Legal Counsel Name]
ATTN: [Law Firm or Dealership Address]
FROM: [Your Name]
DATE: [Date]

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I. FORMAL NOTICE OF VIOLATION & INTERFERENCE WITH LAWFUL TRANSACTION

i, [Your Name], a living man/woman, hereby formally notify you of your unlawful interference with a lawful financial transaction concerning the purchase of an automobile from [Dealership Name]. Your actions, as legal counsel, advising against the acceptance of a properly executed negotiable instrument (check, Bill of Sale, or other promise to pay) constitute:

1. Unlawful Interference in a Private Contract

   • Under UCC § 3-104, a Bill of Sale, properly indorsed, constitutes a negotiable instrument.

   • Under UCC § 3-306, a holder in due course has the right to enforce payment.

   • If you, in your capacity as legal counsel, misrepresented the validity of this financial instrument, you have engaged in contractual interference and commercial fraud.

2. Potential Criminal Violations Under Federal Law

   • 18 U.S.C. § 241 – Conspiracy Against Rights: If you conspired to deny a lawful financial transaction, you may be liable for federal penalties.

   • 18 U.S.C. § 242 – Deprivation of Rights Under Color of Law: Any attempt to obstruct a lawful financial exchange under false pretense is a federal offense.

   • 18 U.S.C. § 1341 – Mail Fraud & 18 U.S.C. § 1343 – Wire Fraud: If dealership agents were advised to refuse a lawful payment method under fraudulent legal counsel, this constitutes financial deception.

3. Violation of Professional Conduct (American Bar Association – ABA Rules)

   • Rule 1.2(d) – Assisting in Criminal Conduct: Advising a dealership to reject a valid financial instrument with no legal basis constitutes misconduct.

   • Rule 4.1 – Truthfulness in Statements to Others: Any false representation of law regarding negotiable instruments may result in disciplinary action, including disbarment.

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II. COMMAND FOR SWORN AFFIDAVIT

Pursuant to commercial and federal law, you are hereby commanded to provide a sworn affidavit within ten (10) days addressing the following:

1. Cite the specific statutory authority that grants the dealership the right to reject a properly executed negotiable instrument.

2. Provide proof that your legal advice aligns with UCC §§ 3-104 and 3-306 regarding valid negotiable instruments.

3. Provide proof that your legal advice aligns with Maryland Code, Commercial Law § 3-104 – Negotiable Instruments where a bill of sale meeting UCC requirements is a negotiable instrument in Maryland.

4. Provide proof that your legal advice aligns with Maryland Code, Commercial Law § 12-603 – Unlawful Trade Practices as it is illegal for a business to condition a sale on an unrelated obligation (such as forced registration) and any attempt to coerce a buyer into an unfair contract is not a violation of Maryland law.

5. The dealership is obligated to accept a properly indorsed instrument.

6. Affirm under penalty of perjury that your actions did not constitute fraud, misrepresentation, or unlawful interference.

Failure to respond within 10 days will constitute tacit acquiescence that you have no lawful basis for your interference and may be held personally liable for any resulting damages.

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III. NOTICE OF INTENDED ACTIONS

If you fail to comply with the above commands, I reserve the right to:

• File a formal claim with the State Bar Association for professional misconduct.

• Pursue civil litigation for unlawful interference in a private contract.

• File a criminal claim for conspiracy against rights, financial fraud, and deprivation of rights under color of law.

By: ______________________________________
Without Recourse, All Rights Reserved, Without Prejudice
[Your Given and Family Name]

NOTICE TO PRINCIPAL IS NOTICE TO AGENT, NOTICE TO AGENT IS NOTICE TO PRINCIPAL

The Down Payment

What if the down payment to hold an automobile was provided to the dealership and indorsed "without recourse" with an autograph and the Dealership said it is their policy to refuse any special indorsement?

If you provided a down payment with a negotiable instrument that was properly indorsed “Without Recourse” and the dealership refuses to honor it, citing policy-based refusal of special indorsements, while also requiring forced registration, there are multiple legal violations at play. Here is a breakdown of likely contractual, commercial, and criminal liabilities the dealership may face.

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I. REFUSAL TO ACCEPT SPECIAL INDORSEMENT: UNLAWFUL BREACH OF CONTRACT

1. UCC Article 3 Governs Negotiable Instruments

   • A down payment check or money order that is properly indorsed without recourse is still a valid tender.

   • UCC § 3-104 – Definition of a Negotiable Instrument:

     • An unconditional promise or order to pay that meets commercial transaction requirements.

   • UCC § 3-204 – Indorsements:

     • A payee may legally restrict liability with a “Without Recourse” indorsement.

   • UCC § 3-206 – Restrictive Indorsements:

     • A restrictive indorsement cannot be arbitrarily refused if it does not alter the fundamental obligation of the instrument.

Implication: The dealership has no lawful basis to reject a negotiable instrument solely due to a special indorsement.

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II. FORCED REGISTRATION VIOLATES CONTRACT LAW & FEDERAL RIGHTS

1. Forcing Registration as a Condition of Sale is Coercion

   • UCC § 1-308 – Reservation of Rights:

     • A buyer cannot be forced into waiving rights as a condition of sale.

   • Murdock v. Pennsylvania, 319 U.S. 105 (1943):

     • No state may convert a right into a privilege and charge a fee for its exercise.

   • Coerced contracts are voidable under contract law.

     • Contracts signed under duress or coercion lack mutual consent and can be nullified.

Implication: The dealership is engaging in contractual coercion by conditioning the sale on forced registration.

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III. VIOLATION OF FEDERAL TRADE LAWS & DISCRIMINATORY PRACTICES

1. Federal Trade Commission Act (15 U.S.C. § 45) – Unfair Business Practices

   • Deceptive or coercive business practices are prohibited under federal consumer protection laws.

   • A dealership that refuses to sell unless the buyer forfeits their rights may be subject to federal penalties.

2. Sherman Antitrust Act (15 U.S.C. §§ 1-2) – Anti-Competitive Behavior

   • If a dealership colludes with the State or DMV to force registration, it may constitute anti-competitive behavior.

Implication: Forced registration could lead to an antitrust investigation if there is collusion with state agencies.

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IV. THE DEALERSHIP MAY BE ENGAGED IN FINANCIAL FRAUD

1. 18 U.S.C. § 1341 – Mail Fraud

   • If the dealership solicits a down payment, then refuses to honor it under false pretenses, it may be committing fraud.

2. 18 U.S.C. § 1343 – Wire Fraud

   • If the dealership communicated electronically (email, text, or phone) about accepting payment but later refused it, this may qualify as wire fraud.

Implication: If the dealership advertised one payment policy but enforced a different one, it may be committing financial fraud.

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V. REMEDIES AVAILABLE TO CHALLENGE THE DEALERSHIP

1. FORMAL NOTICE OF VIOLATION

• Command a written affidavit from the dealership explaining the lawful basis for rejecting a negotiable instrument with a special indorsement.

• Command written proof of any law, not policy, that requires forced registration.

2. FILE A FORMAL CLAIM WITH CONSUMER PROTECTION AGENCIES

• Federal Trade Commission (FTC) – For deceptive business practices.

• State Attorney General – For consumer rights violations and contract coercion.

• Better Business Bureau (BBB) – For unethical business practices.

3. FILE A BAR CLAIM IF DEALERSHIP'S LEGAL COUNSEL ADVISED AGAINST ACCEPTING PAYMENT

• If the dealership’s legal counsel was involved in denying a valid transaction, a bar claim may be filed for unethical legal practices.

4. LEGAL ACTION AGAINST THE DEALERSHIP FOR CONTRACTUAL FRAUD & UNLAWFUL CONVERSION

• Seek an injunction to prevent the dealership from forcing registration.

• File a lawsuit for damages incurred due to breach of contract.

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VI. FINAL CONCLUSION

The dealership and its legal counsel may be liable for:

· Contractual coercion (UCC §§ 1-308, 3-104, 3-204).

· Consumer fraud (15 U.S.C. § 45).

· Financial fraud (18 U.S.C. §§ 1341, 1343).

· Potential anti-competitive behavior (Sherman Act).

Dealership’s Private Contract with State

So, what if the dealership’s legal counsel confirmed that the dealership has a private contract with a State-of-State federal franchise corporation (the DMV) requiring forced registration as a condition of sale? Do you think this raises serious legal, constitutional, and antitrust concerns? You bet!

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I. LEGAL CHALLENGES TO THE FORCED REGISTRATION CONTRACT

1. Lack of Privity of Contract: You Are Not a Party to the Agreement!

Key Legal Principle:

• A contract cannot impose obligations on someone who is not a party to it.

• Restatement (Second) of Contracts § 302 – Only parties to a contract are bound by its terms.

• National Bank v. Grand Lodge, 98 U.S. 123 (1878) – A contract cannot bind a third party without their explicit consent.

Implication:

• The dealership and DMV agreement does not bind you unless you explicitly consent to it.

• If you were never provided with full disclosure of this contract before entering negotiations, any attempt to force you into its terms is invalid.

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2. Forced Registration Violates Your Right to Contract Under Federal Law

Key Legal Principle:

• The right to contract includes the right NOT to contract (U.S. Constitution, Article I, Section 10).

• Murdock v. Pennsylvania, 319 U.S. 105 (1943) – No state may convert a right into a privilege and charge a fee for its exercise.

• Cruden v. Neale, 2 N.C. 338 (1796) – No man is bound to obey unconstitutional laws.

Implication:

• The dealership’s contract with the State does not override your right to contract freely.

• A dealership cannot impose conditions that strip you of your rights.

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3. Antitrust & Unfair Trade Practices Violations

Key Legal Principle:

• The Sherman Antitrust Act (15 U.S.C. §§ 1-2) – Illegal for businesses to collude with the government to restrain trade.

• Federal Trade Commission Act (15 U.S.C. § 45) – Prohibits unfair or deceptive trade practices.

• United States v. Colgate & Co., 250 U.S. 300 (1919) – A business cannot impose unfair conditions that eliminate consumer choice.

Implication:

• If the dealership refuses to sell without forced registration, it is engaging in anti-competitive behavior.

• The dealership’s exclusive contract with the State DMV may be a monopolistic practice.

• This may warrant an antitrust investigation.

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4. Civil Rights Violations & Discriminatory Practices

Key Legal Principle:

• 42 U.S.C. § 1983 – Civil Rights Act:

  • Illegal for any private business to enforce government policies that deprive individuals of their rights.

• 18 U.S.C. § 242 – Deprivation of Rights Under Color of Law:

  • Forcing registration may constitute deprivation of rights if done under government pressure.

• Heart of Atlanta Motel v. United States, 379 U.S. 241 (1964) – Businesses cannot engage in discriminatory practices under the guise of private contracts.

Implication:

• The dealership’s contract with the State DMV amounts to a private entity enforcing public policy.

• This could be challenged as discrimination under federal law.

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II. LEGAL REMEDIES AGAINST THE DEALERSHIP & ITS LEGAL COUNSEL

1. Command Full Disclosure of the Dealership’s Private Contract with the DMV

• You have the right to command a copy of the dealership’s agreement with the State DMV to determine its legality.

• File a Freedom of Information Act (FOIA) requirement with the DMV for details of the contract.

2. Formal Claim to the FTC for Unfair Business Practices

• File a claim with the Federal Trade Commission (FTC) under 15 U.S.C. § 45 for engaging in deceptive practices.

3. Civil Lawsuit for Discriminatory Practices & Contract Coercion

• If the dealership refuses to sell to you unless you submit to the forced contract, you may sue for:

  • Breach of contract law

  • Violation of federal anti-discrimination laws

  • Unfair trade practices

4. Antitrust & Restraint of Trade Complaint

• File a claim with the U.S. Department of Justice Antitrust Division to investigate potential collusion between the dealership and the State DMV.

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III. FINAL CONCLUSION

The dealership’s contract with the State DMV does NOT have legal authority over you.

· You are not bound by it unless you consent.

· Forcing you to register an automobile is an unlawful conversion of rights into privileges.

· The dealership and its legal counsel may be liable under federal and state law for contractual fraud, restraint of trade, and deprivation of rights.

“Sovereign Citizen” Deflection and Rights

As we have covered in a previous article, the term “sovereign citizen” ONLY applies to a “citizen of the United States” and is otherwise a made up term devised to shut down your exercise of your rights.

So, what if the legal counsel had the Dealership agent call the man and ask if they were a "sovereign citizen" and then make the statement that they were not violating any of the man's rights to attempt to dissuade the man from any action? What if they stated the man could go purchase the automobile from another Dealership? However, what if the automobile meeting the specifications you preferred was only available within a reasonable distance at that time at said Dealership?

Legal Implications of the Dealership and Legal Counsel’s Actions

If the dealership’s legal counsel instructed an agent to call the man and:

· Ask if he was a “sovereign citizen” (a term with no legal standing and often used to delegitimize individuals challenging unlawful practices),

· State that they were not violating his rights (which is not a defense but rather an assertion without legal standing),

· Attempt to dissuade the man from taking legal action,

· Suggest he purchase the automobile elsewhere, knowing the desired automobile was only immediately available at their dealership, then these actions carry serious legal implications, including contractual violations, discrimination, and possible retaliation.

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I. KEY LEGAL VIOLATIONS BY THE DEALERSHIP & LEGAL COUNSEL

1. Discriminatory Business Practices & Violation of Federal Trade Laws

Federal Trade Commission Act (15 U.S.C. § 45) – Unfair Business Practices

• Businesses cannot impose arbitrary conditions that unfairly restrict consumer choice.

• If the dealership is denying the sale based on personal legal beliefs or status, this is a discriminatory act.

Civil Rights Act – 42 U.S.C. § 1983 (Deprivation of Rights in Business Transactions)

• A business cannot deny a sale based on arbitrary conditions that serve no legitimate business purpose.

• Using the term “sovereign citizen” to imply unfitness for transaction is discriminatory.

Implication:

• If they denied the sale solely because the man rejected forced registration, they violated commercial fairness laws.

• If they used “sovereign citizen” language to delegitimize and justify discrimination, this may be grounds for a federal civil rights complaint.

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2. Retaliation & Coercion – Attempting to Dissuade Legal Action

18 U.S.C. § 241 – Conspiracy Against Rights

• If two or more people (e.g., legal counsel & dealership employees) conspire to intimidate, threaten, or coerce a person from asserting their legal rights, it is a federal offense punishable by up to 10 years in prison.

18 U.S.C. § 1512 – Witness Tampering & Retaliation Against a Complainant

• Any attempt to intimidate, discourage, or coerce someone from asserting their legal rights is illegal.

• The dealership’s call to “dissuade the man from taking action” constitutes coercion.

Implication:

• If the dealership’s agent, under instruction from legal counsel, attempted to dissuade legal action, that could be considered retaliation under federal law.

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3. Unlawful Denial of Sale Due to Collusion with State DMV

Sherman Antitrust Act (15 U.S.C. § 1-2) – Illegal Collusion Between Private and Public Entities

• If the dealership is under a contract with the State DMV that requires forced registration, this is collusion between a private and public entity to restrict consumer rights.

• If the dealership has the only automobile available but refuses to sell unless the buyer submits to forced registration, this may be monopolistic conduct.

Implication:

• The dealership’s refusal to sell based on forced registration may be considered an illegal trade restraint and an antitrust violation.

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II. LEGAL REMEDIES TO CHALLENGE THE DEALERSHIP’S ACTIONS

1. Command a Formal Written Response from the Dealership & Legal Counsel

• Send a formal command for written clarification regarding:

  • Why the sale was denied.

  • What legal basis they have to enforce a State DMV contract upon a private buyer.

  • Whether they are engaging in discriminatory practices based on political or legal beliefs.

• If they refuse to provide documentation, that strengthens the legal case against them.

2. File a Claim with the Federal Trade Commission (FTC)

• The FTC investigates unfair business practices and can levy penalties against the dealership for using coercion, deception, or monopolistic behavior.

3. File a Claim with the Department of Justice Antitrust Division

• If the dealership refuses to sell due to an agreement with the DMV, it may be engaging in anti-competitive behavior.

4. File a Civil Rights Claim for Discriminatory Practices

• If the dealership discriminated against the buyer based on legal status or beliefs, a federal civil rights complaint under 42 U.S.C. § 1983 can be filed.

5. Sue for Financial & Contractual Damages

• If the dealership’s refusal to sell caused financial harm, a lawsuit for damages may be pursued under contract law and deceptive business practices statutes.

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III. FINAL CONCLUSION

The dealership and its legal counsel may be liable for:

· Unfair business practices (15 U.S.C. § 45)

· Contract coercion (UCC § 1-308)

· Conspiracy against rights (18 U.S.C. § 241)

· Retaliation for asserting legal rights (18 U.S.C. § 1512)

· Discriminatory trade practices (42 U.S.C. § 1983)

· Antitrust violations (15 U.S.C. §§ 1-2)

Multiple Commercial Code Violation Examples for a Few States

Analysis of Commercial Code Implications in Maryland, Pennsylvania, and West Virginia

Regarding Forced Registration, Negotiable Instruments, and Trade Violations

The dealership’s refusal to accept a properly executed negotiable instrument, forcing registration, and engaging in coercive trade practices can be examined under Maryland, Pennsylvania, and West Virginia’s commercial codes (which follow the Uniform Commercial Code - UCC). Below is an analysis of how their respective laws apply to these actions.

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I. UNIFORM COMMERCIAL CODE (UCC) APPLICATION ACROSS ALL THREE STATES

Key UCC Provisions That Apply in Maryland, Pennsylvania, and West Virginia

• UCC § 1-308 – Reservation of Rights

  • A party cannot be forced to waive legal rights as a condition of a contract.

  • Implication:

    • The dealership cannot force registration as a condition of sale.

• UCC § 3-104 – Definition of a Negotiable Instrument

  • A bill of sale with a special indorsement is a valid negotiable instrument.

  • Implication:

    • The dealership has no lawful right to reject it simply because of an indorsement.

• UCC § 3-204 – Indorsements

  • A payee may legally restrict their liability using a “Without Recourse” indorsement.

  • Implication:

    • The dealership cannot reject an instrument merely for including a lawful restriction.

• UCC § 3-306 – Claims to an Instrument

  • A holder of a negotiable instrument (dealership) must accept payment unless it is fraudulent.

  • Implication:

    • By refusing the instrument, the dealership is unlawfully rejecting payment.

• UCC § 1-103 – Common Law Principles Still Apply

  • Courts must uphold common law contract rights when interpreting commercial codes.

  • Implication:

    • If a contract is coercive or fraudulent, UCC law protects the buyer.

Conclusion:

• The dealership is violating the UCC in all three states by refusing a valid financial instrument and enforcing coercive contract terms.

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II. STATE-SPECIFIC COMMERCIAL CODE VIOLATIONS

1. MARYLAND (MD COMMERCIAL LAW CODE)

Maryland’s commercial code closely follows the UCC, but also includes consumer protection provisions.

Maryland Code, Commercial Law § 3-104 – Negotiable Instruments

• A bill of sale meeting UCC requirements is a negotiable instrument in Maryland.

• The dealership is obligated to accept a properly indorsed instrument.

Maryland Code, Commercial Law § 12-603 – Unlawful Trade Practices

• It is illegal for a business to condition a sale on an unrelated obligation (such as forced registration).

• Any attempt to coerce a buyer into an unfair contract is a violation of Maryland law.

Maryland Implication:

• Forced registration may be unlawful trade coercion under Maryland law.

• The dealership’s rejection of a valid negotiable instrument violates Maryland’s UCC.

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2. PENNSYLVANIA (PA COMMERCIAL CODE)

Pennsylvania follows UCC provisions but also prohibits deceptive business practices under its Unfair Trade Practices and Consumer Protection Law (73 P.S. §§ 201-1 to 201-9.3).

Pennsylvania Code, Title 13 (UCC) § 3104 – Negotiable Instruments

• A bill of sale with an unconditional payment clause qualifies as a negotiable instrument.

• The dealership cannot reject a properly executed instrument under Pennsylvania law.

Pennsylvania Consumer Protection Law, 73 P.S. § 201-3 – Unfair Methods of Competition

• Businesses cannot engage in deceptive or unfair trade practices.

• Forcing a customer to comply with state DMV contracts is an unfair business practice.

Pennsylvania Implication:

• The dealership’s refusal to sell based on forced registration is illegal under Pennsylvania trade law.

• Rejecting a valid negotiable instrument is a violation of PA UCC laws.

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3. WEST VIRGINIA (WV COMMERCIAL CODE)

West Virginia follows the UCC but explicitly prohibits fraudulent contract terms.

West Virginia Code § 46-3-104 – Negotiable Instruments

• A bill of sale with a special indorsement still qualifies as a negotiable instrument.

• The dealership must accept it unless proven fraudulent.

West Virginia Code § 46A-6-104 – Unfair or Deceptive Trade Practices

• It is illegal to condition a sale on additional, unrelated contractual obligations.

• Forced registration constitutes an unfair trade practice under West Virginia law.

West Virginia Implication:

• The dealership is violating West Virginia commercial law by coercing registration.

• The dealership’s refusal of a valid payment method violates state UCC provisions.

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III. FORMAL LEGAL ACTIONS & REMEDIES

1. File a Claim Under Each State’s Consumer Protection Laws

• Maryland: File a consumer protection claim with the Maryland Attorney General.

• Pennsylvania: File a claim with the Pennsylvania Office of Attorney General (OAG) Bureau of Consumer Protection.

• West Virginia: File a claim with the West Virginia Attorney General’s Consumer Protection Division.

2. Command Full Disclosure of Dealership’s Contract with the DMV

• Submit a legal command for disclosure of the dealership’s agreement with the DMV.

• If they refuse, this strengthens the case against them for deceptive practices.

3. File a Formal Claim with the Federal Trade Commission (FTC)

• The FTC investigates business practices that unfairly restrain trade.

4. Pursue a Civil Lawsuit for Fraud & Contractual Coercion

• A lawsuit can be filed in any of these states for:

  • Unfair trade practices

  • Contract coercion

  • Failure to accept a lawful negotiable instrument

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IV. FINAL CONCLUSION

The dealership is violating commercial and consumer laws in all three states.

· Forced registration is an illegal contract condition.

· Rejection of a valid negotiable instrument violates UCC provisions in MD, PA, and WV.

Legal claims and civil lawsuits may be pursued for coercion and deceptive trade practices.

Today’s Summary

We live in a world that has remedy for everything. All decisions are a choice, but the system has been set up to obscure those choices and reward the actual people, acting in a certain titled capacity, to break the same laws daily.

The key to navigating this elaborate scheme is understanding you have the right to do anything as long as it causes NO HARM to another of mankind.

Next article Part II will cover the reality of why most people are unaware of this scheme and there will be examples of additional filings to move your claim for the violations and crimes.