PRIOR PRINTER'S NO. 1710                     PRINTER'S NO. 1882

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1405 Session of 1983


        INTRODUCED BY LAUGHLIN, KUKOVICH, MANDERINO, F. E. TAYLOR,
           BURNS, GEORGE, STUBAN, WAMBACH, DOMBROWSKI, FEE, MISCEVICH,
           PRATT, ALDERETTE, FREEMAN, STEIGHNER, JAROLIN, McHALE,
           AFFLERBACH, WOZNIAK, VAN HORNE, DeLUCA AND DURHAM,
           SEPTEMBER 19, 1983

        AS REPORTED FROM COMMITTEE ON CONSUMER AFFAIRS, HOUSE OF
           REPRESENTATIVES, AS AMENDED, OCTOBER 4, 1983

                                     AN ACT

     1  Relating to the rights of purchasers of defective new motor
     2     vehicles.

     3     The General Assembly of the Commonwealth of Pennsylvania
     4  hereby enacts as follows:
     5  Section 1.  Short title.
     6     This act shall be known and may be cited as the Automobile
     7  Lemon Law.
     8  Section 2.  Definitions.
     9     The following words and phrases when used in this act shall
    10  have the meanings given to them in this section unless the
    11  context clearly indicates otherwise:
    12     "Dealer" or "motor vehicle dealer."  A person in the business
    13  of buying, selling or exchanging vehicles.
    14     "Manufacturer."  Any person engaged in the business of
    15  constructing or assembling new and unused motor vehicles or
    16  engaged in the business of importing new and unused motor

     1  vehicles into the United States for the purpose of selling or
     2  distributing new and unused motor vehicles to motor vehicle
     3  dealers in this Commonwealth.
     4     "Manufacturer's express warranty" or "warranty."  The written
     5  warranty of the manufacturer of a new automobile of its
     6  condition and fitness for use, including any terms or conditions
     7  precedent to the enforcement of obligations under the warranty.
     8     "New motor vehicle."  Any new and unused self-propelled,
     9  motorized conveyance driven upon public roads, streets or
    10  highways which is designed to transport not more than 15
    11  persons, which was purchased and is registered in the
    12  Commonwealth and is used or bought for use primarily for
    13  personal, family or household purposes, but INCLUDING A VEHICLE   <--
    14  USED BY A MANUFACTURER OR DEALER AS A DEMONSTRATOR OR DEALER CAR
    15  PRIOR TO ITS SALE. THE TERM does not include motorcycles, motor
    16  homes or off-road vehicles.
    17     "Nonconformity."  A defect or condition which substantially
    18  impairs the use, value or safety of a vehicle and does not
    19  conform to the manufacturer's express warranty.
    20     "Purchaser."  A person or his successors or assigns who has
    21  obtained ownership of a motor vehicle by transfer or purchase or
    22  who has entered into an agreement or contract for the purchase
    23  of a motor vehicle which is used or bought for use primarily for
    24  personal, family or household purposes.
    25  Section 3.  Disclosure.
    26     Manufacturers shall provide to each purchaser at the time of   <--
    27  original purchase of a new motor vehicle a written statement
    28  explaining a purchaser's rights under this law. The statement
    29  shall include a list of all authorized service and repair
    30  facilities within the Commonwealth.
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     1     THE ATTORNEY GENERAL SHALL PREPARE AND PUBLISH IN THE          <--
     2  PENNSYLVANIA BULLETIN A STATEMENT WHICH EXPLAINS A PURCHASER'S
     3  RIGHTS UNDER THIS LAW. MANUFACTURERS SHALL PROVIDE TO EACH
     4  PURCHASER AT THE TIME OF ORIGINAL PURCHASE OF A NEW MOTOR
     5  VEHICLE A WRITTEN STATEMENT CONTAINING A COPY OF THE ATTORNEY
     6  GENERAL'S STATEMENT AND A LISTING OF ZONE OFFICES, WITH
     7  ADDRESSES AND PHONE NUMBERS, WHICH CAN BE CONTACTED BY THE
     8  PURCHASER FOR THE PURPOSE OF SECURING THE REMEDIES PROVIDED FOR
     9  IN THIS ACT.
    10  Section 4.  Repair obligations.
    11     (a)  Repairs required.--The manufacturer of a new motor
    12  vehicle sold or AND registered in the Commonwealth shall repair   <--
    13  or correct, at no cost to the purchaser, a nonconformity which
    14  substantially impairs the use, value or safety of said motor
    15  vehicle which may occur within a period of one year following
    16  the actual delivery of the vehicle to the purchaser, within the
    17  first 12,000 miles of use, or during the term of the warranty,
    18  whichever may first occur.
    19     (b)  Delivery of vehicle.--It shall be the duty of the
    20  purchaser to deliver the nonconforming vehicle to the
    21  manufacturer's authorized service and repair facility within the
    22  Commonwealth, unless, due to reasons of size and weight or
    23  method of attachment or method of installation or nature of the
    24  nonconformity, such delivery cannot reasonably be accomplished.
    25  Should the purchaser be unable to effect return of the
    26  nonconforming vehicle, he shall notify the manufacturer or its
    27  nearest authorized service and repair facility. Written notice    <--
    28  of nonconformity to the manufacturer or its authorized service
    29  and repair facility shall constitute return of the vehicle when
    30  purchaser is unable to return the vehicle due to the
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     1  nonconformity. Upon receipt of such notice of nonconformity the
     2  manufacturer shall, at its option, service or repair the vehicle
     3  at the location of nonconformity, or pick up the vehicle for
     4  service and repair or arrange for transporting the vehicle to
     5  its authorized service and repair facility. All costs of
     6  transporting the vehicle when purchaser is unable to effect
     7  return, due to nonconformity, shall be at the manufacturer's
     8  expense.
     9  Section 5.  Manufacturer's duty for refund or replacement.
    10     If the manufacturer fails to repair or correct a
    11  nonconformity after A reasonable number of attempts, the          <--
    12  manufacturer shall, at the option of the purchaser, replace the
    13  motor vehicle with a new motor vehicle of equal value or accept
    14  return of the vehicle from the purchaser and refund to the
    15  purchaser the full purchase price, including all collateral
    16  charges, less a reasonable allowance for the purchaser's use of
    17  the vehicle. Refunds shall be made to the purchaser and
    18  lienholder, if any, as their interests may appear. A reasonable
    19  allowance for use shall be that amount directly attributable to
    20  use by the purchaser prior to his first report of the
    21  nonconformity to the manufacturer. In the event the consumer
    22  elects a refund, payment shall be made within 30 days of such
    23  election. A CONSUMER SHALL NOT BE ENTITLED TO A REFUND OR         <--
    24  REPLACEMENT IF THE NONCONFORMITY DOES NOT SUBSTANTIALLY IMPAIR
    25  THE USE, VALUE, OR SAFETY OF THE VEHICLE OR THE NONCONFORMITY IS
    26  THE RESULT OF ABUSE, NEGLECT OR MODIFICATION OR ALTERATION OF
    27  THE MOTOR VEHICLE BY THE PURCHASER.
    28  Section 6.  Presumption of a reasonable number of attempts.
    29     It shall be presumed that a reasonable number of attempts
    30  have been undertaken to repair or correct a nonconformity if:
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     1         (1)  the same nonconformity has been subject to repair
     2     three times by the manufacturer, its agents or authorized
     3     dealers and the nonconformity still exists; or
     4         (2)  the vehicle is out-of-service by reason of any
     5     nonconformity for a cumulative total of 30 or more calendar
     6     days.
     7  Section 7.  Itemized statement required.
     8     The manufacturer OR DEALER shall provide to the purchaser      <--
     9  each time the purchaser's vehicle is returned from being
    10  serviced or repaired a fully itemized statement indicating all
    11  work performed on said vehicle including, but not limited to,
    12  parts and labor. IT SHALL BE THE DUTY OF A DEALER TO NOTIFY THE   <--
    13  MANUFACTURER OF THE EXISTENCE OF A NONCONFORMITY WITHIN SEVEN
    14  DAYS OF THE DELIVERY BY A PURCHASER OF A VEHICLE SUBJECT TO A
    15  NONCONFORMITY. THE NOTIFICATION SHALL BE BY CERTIFIED MAIL,
    16  RETURN RECEIPT REQUESTED.
    17  Section 8.  Civil cause of action.
    18     Any purchaser of a motor vehicle who suffers any loss due to
    19  nonconformity of such vehicle as a result of the manufacturer's
    20  failure to comply with this act may bring a civil action in a
    21  court of common pleas and, in addition to other relief, shall be
    22  entitled to recover reasonable attorneys' fees and all court
    23  costs.
    24  Section 9.  Informal dispute settlement procedure.
    25     If the manufacturer has established an informal dispute
    26  settlement procedure which complies with the provisions of 16
    27  CFR Pt. 703, as from time to time amended, the provisions of
    28  section 8 (relating to civil cause of action) shall not apply to
    29  any purchaser who has not first resorted to such procedure as it
    30  relates to a remedy for defects or conditions affecting the
    19830H1405B1882                  - 5 -

     1  substantial use, value or safety of the vehicle. The informal
     2  dispute settlement procedure shall not be binding on the
     3  purchaser and, in lieu of such settlement, the purchaser may
     4  pursue a remedy under section 8.
     5  Section 10.  Application of unfair trade act.
     6     A violation of this act shall also be a violation of the act
     7  of December 17, 1968 (P.L.1224, No.387), known as the Unfair
     8  Trade Practices and Consumer Protection Law.
     9  Section 11.  Rights preserved.
    10     Nothing in this act shall limit the purchaser from pursuing
    11  any other rights or remedies under any other law, contract or
    12  warranty.
    13  Section 12.  Nonwaiver of act.
    14     The provisions of this act shall not be waived.
    15  Section 13.  Effective date.
    16     This act shall take effect in 60 days IMMEDIATELY AND SHALL    <--
    17  APPLY TO VEHICLES PURCHASED AFTER THE EFFECTIVE DATE OF THIS
    18  ACT.








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