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SPONSOR: |
Varela |
DATE TYPED: |
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HB |
31/aHBIC |
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SHORT TITLE: |
Misrepresentation of Motor Vehicles |
SB |
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ANALYST: |
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APPROPRIATION
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
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FY03 |
FY04 |
FY03 |
FY04 |
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NFI |
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(Parenthesis
( ) Indicate Expenditure Decreases)
Relates to HB225
LFC Files
No
Responses Received From
Attorney
General
Taxation
and Revenue Department
SUMMARY
Synopsis
of HBIC Amendment
The House Business and Industry Committee
amendment includes ‘defining the willful misrepresentation in a motor vehicle
sale; requiring reasonable inspection and disclosure before making a used motor
vehicle sale’ into the heading of the bill.
The amendment also includes a new section that requires a seller of a
motor vehicle to conduct a reasonable inspection prior to offering it for
sale. Prior to the sales transaction,
the seller is required to disclose to the purchaser in writing, any material
mechanical defects discovered that render the vehicle unsound, unsafe or inoperable.
Synopsis
of Original Bill
House Bill 31 provides remedy for certain misrepresentations of the condition of a vehicle as a matter of sale and requires disclosure/affidavit of repair of damage. The legislation pertains more specifically to the alteration of the structure or chassis as a result of a wreck. An exemption provision to the disclosure is included in the language if the repair cost is less than six percent of the total sales price of the vehicle. In the event of a private-party sale, the affidavit requirement is at the discretion of the purchaser. This bill offers remedy of an award up to three times actual damages sustained and specific after-sale or repurchase provisions.
Significant
Issues
safety
and welfare of the public.
DW/prr/njw/ls