THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY HARHAI, BEYER, BRENNAN, BUXTON, CALTAGIRONE, CARROLL, COHEN, FRANKEL, GOODMAN, GRUCELA, HALUSKA, HESS, W. KELLER, KILLION, KOTIK, KULA, MAHONEY, MANDERINO, McGEEHAN, MELIO, MILLARD, MURT, MYERS, PALLONE, PAYNE, PETRARCA, READSHAW, SCAVELLO, SIPTROTH, SONNEY, STABACK, VULAKOVICH, WALKO AND CREIGHTON, FEBRUARY 26, 2009

REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 26, 2009  

AN ACT

Relating to the rights of purchasers and lessees of defective

recreational vehicles.

TABLE OF CONTENTS

Section 1.  Short title.

Section 2.  Definitions.

Section 3.  Disclosure.

Section 4.  Repair obligations.

Section 5.  Manufacturer's duty for refund or replacement.

Section 6.  Presumption of reasonable number of attempts.

Section 7.  Itemized statement required.

Section 8.  Civil cause of action.

Section 9.  Informal dispute settlement procedure.

Section 10.  Resale of returned recreational vehicle.

Section 11.  Application of unfair trade act.

Section 12.  Construction.

Section 13.  Nonwaiver of act.

Section 14.  Applicability.

Section 15.  Effective date.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Recreational

Vehicle Lemon Law.

Section 2.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Dealer."  A person in the business of buying, selling,

leasing or exchanging recreational vehicles.

"Department."  The Department of Transportation of the

Commonwealth.

"Manufacturer."  Any person engaged in the business of

constructing or assembling new and unused recreational vehicles

or engaged in the business of importing new and unused

recreational vehicles into the United States for the purpose of

selling or distributing new and unused recreational vehicles to

dealers in this Commonwealth.

"Manufacturer's express warranty" or "warranty."  The written

warranty of the manufacturer of a new recreational vehicle of

its condition and fitness for use, including any terms or

conditions precedent to the enforcement of obligations under the

warranty.

"New recreational vehicle."  Any new and unused recreational

vehicle driven upon public roads, streets or highways, which was

purchased or leased and is registered in this Commonwealth or

purchased or leased elsewhere and registered for the first time

in this Commonwealth and is used, leased or bought for use

exclusively for personal, family or household purposes,

including a vehicle used by a manufacturer or dealer as a

demonstrator or dealer recreational vehicle prior to its sale.

"Nonconformity."  A defect or condition which substantially

impairs the use, value or safety of a new recreational vehicle

and does not conform to the manufacturer's express warranty.

"Purchaser."  A person, or a successor or assign of the

person, who obtains possession or ownership of a new

recreational vehicle by lease, transfer or purchase or who

enters into an agreement or contract for the lease or purchase

of a new recreational vehicle which is used, leased or bought

for use exclusively for personal, family or household purposes.

"Recreational vehicle."  A motor home, pickup truck with

attached camper or bus when used exclusively for personal

pleasure by individuals.

Section 3.  Disclosure.

(a)  Duty of Attorney General.--The Attorney General shall

prepare and publish in the Pennsylvania Bulletin a statement

which explains a purchaser's rights under this act.

(b)  Duty of manufacturers.--A manufacturer shall provide to

each purchaser at the time of original purchase of a new

recreational vehicle a written statement containing a copy of

the Attorney General's statement and a listing of zone offices,

with addresses and telephone numbers, that the purchaser may

contact regarding the remedies provided for in this act.

Section 4.  Repair obligations.

(a)  Repairs required.--The manufacturer of a new

recreational vehicle sold or leased and registered in this

Commonwealth shall repair or correct, at no cost to the

purchaser, a nonconformity which substantially impairs the use,

value or safety of the recreational vehicle which may occur

within a period of one year following the actual delivery of the

vehicle to the purchaser, within the first 12,000 miles of use

or during the term of the warranty, whichever may first occur.

(b)  Delivery of vehicle.--

(1)  A purchaser shall deliver a nonconforming vehicle to

the manufacturer's authorized service and repair facility

within this Commonwealth unless, due to reasons of size and

weight or method of attachment or method of installation or

nature of the nonconformity, delivery cannot reasonably be

accomplished.

(2)  (i)  Should the purchaser be unable to effect return

of the nonconforming vehicle, the purchaser shall notify

the manufacturer or its authorized service and repair

facility.

(ii)  Written notice of nonconformity to the

manufacturer or its authorized service and repair

facility shall constitute return of the vehicle when the

purchaser is unable to return the vehicle due to the

nonconformity.

(3)  Upon receipt of notice of nonconformity, the

manufacturer shall, at its option, service or repair the

vehicle at the location of nonconformity or pick up the

vehicle for service and repair or arrange for transporting

the vehicle to its authorized service and repair facility.

(4)  All costs of transporting the vehicle when the

purchaser is unable to effect return, due to nonconformity,

shall be at the manufacturer's expense.

Section 5.  Manufacturer's duty for refund or replacement.

(a)  General rule.--If a manufacturer fails to repair or

correct a nonconformity after a reasonable number of attempts,

the manufacturer shall, at the option of the purchaser, replace

the recreational vehicle with a comparable recreational vehicle

of equal value or accept return of the vehicle from the

purchaser and refund to the purchaser the full purchase price or

lease price, including all collateral charges, less a reasonable

allowance for the purchaser's use of the vehicle not exceeding

10¢ per mile driven or 10% of the purchase price or lease price

of the vehicle, whichever is less. Refunds shall be made to the

purchaser and lienholder, if any, as their interests may appear.

A reasonable allowance for use shall be that amount directly

attributable to use by the purchaser prior to the first report

of the nonconformity to the manufacturer.

(b)  Time for making refund.--In the event the consumer

elects a refund, payment shall be made within 30 days of such

election.

(c)  Conditions precluding refund.--A consumer shall not be

entitled to a refund or replacement if the nonconformity does

not substantially impair the use, value or safety of the vehicle

or the nonconformity is the result of abuse, neglect or

modification or alteration of the recreational vehicle by the

purchaser.

Section 6.  Presumption of reasonable number of attempts.

It shall be presumed that a reasonable number of attempts

have been undertaken to repair or correct a nonconformity if:

(1)  the same nonconformity has been subject to repair

three times by the manufacturer, its agents or authorized

dealers and the nonconformity still exists; or

(2)  the recreational vehicle is out of service by reason

of any nonconformity for a cumulative total of 30 or more

calendar days.

Section 7.  Itemized statement required.

(a)  General rule.--A manufacturer or dealer shall provide to

the purchaser each time the purchaser's vehicle is returned from

being serviced or repaired a fully itemized statement indicating

all work performed on the recreational vehicle, including, but

not limited to, parts and labor.

(b)  Dealer duty to notify manufacturer.--A dealer shall

notify the manufacturer of the existence of a nonconformity

within seven days of the delivery by a purchaser of a vehicle

subject to a nonconformity when it is delivered to the same

dealer for the second time for repair of the same nonconformity.

The notification shall be by certified mail, return receipt

requested.

Section 8.  Civil cause of action.

The purchaser of a new recreational vehicle who suffers any

loss due to nonconformity of the vehicle as a result of the

manufacturer's failure to comply with this act may bring a civil

action in a court of common pleas and, in addition to other

relief, shall be entitled to recover reasonable attorney fees

and all court costs.

Section 9.  Informal dispute settlement procedure.

If the manufacturer has established an informal dispute

settlement procedure which complies with 16 CFR Pt. 703

(relating to informal dispute settlement procedures), section 8

shall not apply to any purchaser who has not first resorted to

such procedure as it relates to a remedy for defects or

conditions affecting the substantial use, value or safety of the

vehicle. The informal dispute settlement procedure shall not be

binding on the purchaser, and, in lieu of such settlement, the

purchaser may pursue a remedy under section 8.

Section 10.  Resale of returned recreational vehicle.

(a)  Prohibition.--If a recreational vehicle has been

repurchased under this act or a similar statute of another

state, it may not be resold, transferred or leased in this

Commonwealth unless:

(1)  The manufacturer provides the same express warranty

it provided to the original purchaser, except that the term

of the warranty need only last for 12,000 miles or 12 months

after the date of resale, transfer or lease, whichever is

earlier.

(2)  The manufacturer provides the purchaser, lessee or

transferee with a written statement on a separate piece of

paper, in ten-point all capital type, in substantially the

following form:

IMPORTANT: THIS VEHICLE WAS REPURCHASED BY THE

MANUFACTURER BECAUSE IT DID NOT CONFORM TO THE

MANUFACTURER'S EXPRESS WARRANTY, AND THE NONCONFORMITY

WAS NOT CURED WITHIN A REASONABLE TIME AS PROVIDED BY

PENNSYLVANIA LAW.

(3)  The dealer, lessor or transferor clearly and

conspicuously discloses the manufacturer's written

notification prior to the resale or lease of the repurchased

vehicle.

(4)  The dealer, lessor or transferor obtains a signed

receipt certifying in a conspicuous and understandable manner

that the written statement required under this subsection has

been provided. Access to the receipt shall be maintained for

four years. The Attorney General shall approve the form and

content of the disclosure statement supplied by the

manufacturer.

(5)  The manufacturer, dealer, lessor or transferor

applies for and receives the designation of a branded title

from the department.

(6)  The department updates its records and issues a

title with a designation indicating that the vehicle was

repurchased under this act. The department shall forward to

subsequent purchasers or lienholders, in accordance with 75

Pa.C.S. §§ 1107 (relating to delivery of certificate of

title) and 1132.1 (relating to perfection of a security

interest in a vehicle), a certificate of title which

indicates that the vehicle was branded under this act. The

department shall determine the exact form and content of the

title brand.

(b)  Applicability and penalty.--

(1)  This section applies to the resold, transferred or

leased vehicle for the full term of the warranty required

under this subsection.

(2)  Failure of the manufacturer, dealer, lessor or

transferor to notify its immediate purchaser of the

requirements of this section subjects the manufacturer,

dealer, lessor or transferor to pay to the Commonwealth a

civil penalty of $2,000 per violation and, at the option of

the purchaser, to replace the vehicle with a comparable

vehicle of equal value or accept return of the vehicle from

the purchaser and refund to the purchaser the full purchase

price, including all collateral charges, less a reasonable

allowance for the purchaser's use of the vehicle not

exceeding 10¢ per mile driven or 10% of the purchase price of

the vehicle, whichever is less.

(c)  Returned vehicles not to be resold.--Notwithstanding the

provisions of subsection (a), if a new recreational vehicle has

been returned under this act or a similar statute of another

state because of a nonconformity resulting in a complete failure

of the braking or steering system of the vehicle likely to cause

death or serious bodily injury if the vehicle was driven, the

vehicle may not be resold in this Commonwealth.

(d)  Agreement waiving, limiting or disclaiming rights.--An

agreement entered into by a purchaser that waives, limits or

disclaims the rights set forth in this act is void as contrary

to public policy. Where applicable, the rights set forth in this

act shall extend to a subsequent purchaser, lessee or transferee

of the recreational vehicle.

Section 11.  Application of unfair trade act.

A violation of this act is a violation of the act of December

17, 1968 (P.L.1224, No.387), known as the Unfair Trade Practices

and Consumer Protection Law.

Section 12.  Construction.

Nothing in this act shall be construed to limit the purchaser

from pursuing any other rights or remedies under any other law,

contract or warranty.

Section 13.  Nonwaiver of act.

The provisions of this act may not be waived.

Section 14.  Applicability.

This act shall apply to new recreational vehicles purchased

after the effective date of this section.

Section 15.  Effective date.

This act shall take effect in 60 days.