The majority of state legislatures have adjourned their 2024 regular sessions. Below you’ll find a quick roundup of a few select legislative highlights from the around the country that affect the automotive industry.
Florida – Senate Bill 902
Effective: October 1, 2024
This bill created revisions to existing requirements as well as new regulations which affect Florida dealers. Here are the key takeaways:
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Creation of the “Florida Vehicle Value Protection Agreements Act”. This act provides official definitions of a variety of terms, including vehicle value protection agreement (VVPA). Among other things, the act details what the VVPA is and requirements for offering the agreement.
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This bill amends the definition of “guaranteed asset protection product” (GAP product), as well as provides details related information such as when a GAP product applies and how it may affect a customer’s liability.
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Authorizes a retail lessee to contract with a retail lessor for an “excess wear and use waiver”. According to the bill, a lease agreement that includes this waiver must contain certain disclosures. The bill also highlights that an excess wear and use waiver is not insurance for the purposes of the Florida Insurance Code.
Colorado – Senate Bill 24-192
Effective: August, 7, 2024
This bill amends Colorado’s Motor Vehicle Lemon Law – requiring dealers to make a customer whole if the motor vehicle fails to perform. A few highlights of the update include:
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Expands the lemon law to cover motor vehicles affected by safety-based nonconformities;
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Expands the notification time to include the earlier of the motor vehicle's first 24,000 miles or 2 years after original delivery of the motor vehicle;
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Lowers the number of out-of-service business days from 30 to 24; and
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Lowers the number of required attempts to repair from 4 to 3 generally and to 2 for a safety-based nonconformity.
Maryland – Senate Bill 362
The Budget Reconciliation and Financing Act of 2024 contained a number of items affecting automobiles in the state - including an increase in the dealer processing charge from $500 to $800. The bill highlights this charge is made by the dealer for:
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The preparation of written documentation of the transaction;
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Obtaining the title and license plates for the vehicle;
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Obtaining a release of lein;
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Filing title documents with the Administration;
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Retaining documentation and records of the transaction;
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Complying with federal or State privacy laws; or
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Other administrative services concerning the sale of the vehicle.
Mississippi – House Bill 310 and House Bill 1589
Effective: July 1, 2024 (H.B. 310) and January 1, 2025 (H.B. 1589)
Mississippi passed a pair of bill this legislative session focused on vehicle paperwork.
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H.B. 310 amends an existing law regarding when the owner of a new vehicle must apply for a new title. As of July 1, Mississippi vehicle owners now have 30 days to apply – up from 7 days.
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H.B. 1589 provides another update to an existing State Code and requires lienholders to electronically transmit the lien of a motor vehicle to the Department of Revenue within 30 days after the date of satisfaction.