City Halts Weekend Used-Car Sales at Fullerton College

An ongoing weekend car swap at Fullerton College was ordered closed this week because it allegedly competed with car dealerships in an “inappropriate” manner.

The Fullerton City Council voted 3-2 Tuesday to deny permission for CarFaire Inc. to continue operating a used-car swap meet on vacant parking lots on the community college campus.

“The use of public land for this type of enterprise is inappropriate,” City Councilman Don Bankhead said.

CarFaire makes a profit by renting space at the swap meet, said Bankhead, who voted with the majority to close the swap meet. The swap meet competes unfairly with used-car dealers in Fullerton, which must buy or rent commercial space to sell cars, he said.

CarFaire began operating without a permit on Oct. 21 at Fullerton College on Chapman Avenue, said Karen Atkinson, the city’s senior code-enforcement officer.

Under city law, the college should have obtained permission to hold the car sales on the campus and the company should have sought a business registration certificate and paid the $27 fee, she said.

When the city learned of the car swap meet last month, it sent a letter to the college and CarFaire notifying them of the requirements, she said. In the meantime, the car sales were held each weekend on the campus.

CarFaire charges owners $25 to leave an auto on the lot for the weekend. In turn, the company provides advertising to bring in people, information on average selling prices of cars and forms to complete the sale, said William G. Hutchings, a CarFaire partner.

Fullerton College signed a contract with CarFaire to allow it the use of the parking lots for $500 a weekend, said Ron Krimper, vice president for institutional advancement. The college did not believe it needed city approval, he said.

“It’s not at all clear that the city can regulate what we do on our land because we are a state agency,” Krimper said. But the college plans to close the weekend swap meet as ordered.

“Our goal is to maintain good relations with the city,” he said.

The college’s fund-raising arm had hoped CarFaire would bring more money to the school and perform a community service by giving residents a convenient place to buy and sell cars, he said.

CarFaire has not decided what action it might take to enforce its contract with the college, Hutchings said. The contract calls for the company having weekend use of the parking lots until June.

Besides Fullerton College, CarFaire has been holding auto swap meets at Irvine Valley College, Hutchings said. The company has had no problems with Irvine officials, he added.

Krimper said Wednesday that the college may ask the city to review its decision.

Councilman Chris Norby and Mayor Molly McClanahan said they believed CarFaire was not a threat to car dealers, and both voted to allow CarFaire to continue at the college.

“It’s a close call, but I’d let them go ahead and do it,” Norby said.