PRIOR PRINTER'S NOS. 683, 2138                PRINTER'S NO. 3166

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 619 Session of 1993


        INTRODUCED BY KUKOVICH, PETRONE, BATTISTO, DeWEESE, TIGUE,
           McCALL, BELFANTI, GIGLIOTTI, YANDRISEVITS, PISTELLA, GAMBLE,
           ARGALL, BARLEY, MELIO, VAN HORNE, TRUE, DALEY, JOSEPHS,
           TRELLO, STABACK, WOZNIAK, MIHALICH, PLATTS, FREEMAN,
           D. W. SNYDER, NYCE, CORRIGAN, BUNT AND HARLEY, MARCH 22, 1993

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           FEBRUARY 2, 1994

                                     AN ACT

     1  Amending the act of December 22, 1983 (P.L.306, No.84), entitled
     2     "An act providing for the State Board of Vehicle
     3     Manufacturers, Dealers and Salespersons; and providing
     4     penalties," providing for warranty and presale information.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  The definition of "vehicle" in section 2 of the
     8  act of December 22, 1983 (P.L.306, No.84), known as the Board of
     9  Vehicles Act, is amended to read:
    10  Section 2.  Definitions.
    11     The following words and phrases when used in this act shall
    12  have the meanings given to them in this section unless the
    13  context clearly indicates otherwise:
    14     * * *
    15     "Vehicle."  Every device which is or may be moved or drawn
    16  upon a highway, except devices designed primarily for use in
    17  construction or agriculture or road maintenance, devices moved

     1  by human or animal power, those used exclusively upon rails or
     2  tracks or motorized pedalcycles. The term includes manufactured
     3  homes.
     4     * * *
     5     Section 2.  The act is amended by adding a section to read:
     6  Section 8.1.  Warranty and presale information.
     7     (a)  Manufacturer's warranty.--At the time that an agreement
     8  of sale is executed for the purchase of a new manufactured home,
     9  the dealer shall show the prospective purchaser the
    10  manufacturer's warranty for the home to be purchased and explain
    11  its contents. The purchaser shall sign a form indicating they
    12  have reviewed the warranty.
    13     (b)  Extended warranty.--
    14         (1)  The purchaser prior to signing a sales contract
    15     shall be offered an extended warranty of not less than ten     <--
    16     FIVE years covering at a minimum major structural defects      <--
    17     which shall include actual physical damage to the following
    18     specified load-bearing segments of the home, caused by a
    19     failure of such segments which affects their load-bearing
    20     functions to the degree that the home becomes unsafe or
    21     unlivable:
    22             (i)  Roof framing members and systems (rafters and
    23         trusses).
    24             (ii)  Floor systems (joists).
    25             (iii)  Bearing walls and partitions.
    26             (iv)  Columns.
    27             (v)  Lintels.
    28             (vi)  Girders.
    29             (vii)  Load-bearing beams.
    30             (viii)  Foundation systems.
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     1         (2)  If the purchaser declines the extended warranty, he
     2     shall sign a statement to that effect which shall be retained
     3     by the dealer FOR FIVE YEARS.                                  <--
     4     (c)  Estimate of expenses.--At least 48 hours before an
     5  agreement of sale is executed for the purchase of a new
     6  manufactured home, the dealer shall provide the prospective
     7  purchaser with a written estimate of the reasonably foreseeable
     8  expenses associated with the sale that the prospective purchaser
     9  may be expected to pay, including:
    10         (1)  Actual retail sale price of home.
    11         (2)  All finance charges, including principal amount to
    12     be borrowed, rate of interest, length of loan and total
    13     principal and interest to be paid back during entire term of
    14     loan, when the dealer is assisting in arranging financing of
    15     the home for the prospective purchaser.
    16         (3)  Annual cost of insurance premiums for any insurance
    17     policies prospective purchasers are told they should carry on
    18     the home when the dealer is assisting in arranging insurance
    19     coverage on the home for the prospective purchaser.
    20         (4)  Annual cost of extended warranty coverage should
    21     prospective purchaser choose to purchase same.
    22     (d)  Approval by community.--When a prospective purchaser is
    23  going to place the home in a manufactured housing community in
    24  Pennsylvania, the prospective purchaser shall have first been
    25  approved as a resident of the community where the home is to be
    26  located and in addition shall have in his possession a lease for
    27  that community signed by the owners of the community and a copy
    28  of the community's current rules and regulations, fees and
    29  charges, as well as any proposed changes to same, prior to an
    30  agreement of sale being executed for the new home.
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     1     (e)  Contract null and void.--Any violation of the provisions
     2  of this section by a dealer shall render null and void any
     3  contract for the purchase of a new manufactured home previously
     4  entered into by the affected party.
     5     Section 3.  This act shall take effect in 60 days.

















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