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PRINTER'S NO. 760
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
658
Session of
2015
INTRODUCED BY HARHAI, HEFFLEY, MULLERY, COHEN, MILLARD,
READSHAW, KINSEY, THOMAS, MATZIE, KORTZ, BROWNLEE, GOODMAN,
SNYDER, MURT AND MOUL, FEBRUARY 27, 2015
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 27, 2015
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.
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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
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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,
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value or safety of the recreational vehicle which may occur
within a period of one year following the actual delivery of the
recreational 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 recreational vehicle.--
(1) A purchaser shall deliver a nonconforming
recreational 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 recreational 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 recreational
vehicle when the purchaser is unable to return the
recreational vehicle due to the nonconformity.
(3) Upon receipt of notice of nonconformity, the
manufacturer shall, at its option, service or repair the
recreational vehicle at the location of nonconformity or pick
up the recreational vehicle for service and repair or arrange
for transporting the recreational vehicle to its authorized
service and repair facility.
(4) All costs of transporting the recreational vehicle
when the purchaser is unable to effect return, due to
nonconformity, shall be at the manufacturer's expense.
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Section 5. Manufacturer's duty for refund or replacement.
(a) Replacement or return and refund.--
(1) 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 recreational
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 recreational vehicle not exceeding 10¢ per mile driven
or 10% of the purchase price or lease price of the
recreational vehicle, whichever is less.
(2) Refunds shall be made to the purchaser and
lienholder, if any, as their interests may appear.
(3) 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 the
election.
(c) Conditions precluding refund.--A consumer shall not be
entitled to a replacement or refund if the nonconformity does
not substantially impair the use, value or safety of the
recreational 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:
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(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 recreational 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
recreational 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 new recreational 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
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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
recreational 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 RECREATIONAL 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
recreational vehicle.
(4) The dealer, lessor or transferor obtains a signed
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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 recreational
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 recreational 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 recreational 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 recreational vehicle with a
comparable recreational vehicle of equal value or accept
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return of the recreational 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 recreational vehicle not exceeding 10¢
per mile driven or 10% of the purchase price of the
recreational vehicle, whichever is less.
(c) Returned recreational 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 new recreational vehicle likely to cause death or
serious bodily injury if the new recreational vehicle was
driven, the new recreational 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 stated in this act is void as contrary to
public policy. Where applicable, the rights stated 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.
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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.
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