HB-4344, As Passed House, February 10, 2016

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4344

 

 

 

 

 

 

 

 

 

 

 

 

      A bill to amend 1974 PA 300, entitled

 

"Motor vehicle service and repair act,"

 

by amending sections 2, 2a, 3, 7, 9, 10, 11, 12, 13, 14, 15, 16,

 

17, 18, 19, 20, 21, 22, 30, 32, 33, 34a, 36, and 39 (MCL 257.1302,

 

257.1302a, 257.1303, 257.1307, 257.1309, 257.1310, 257.1311,

 

257.1312, 257.1313, 257.1314, 257.1315, 257.1316, 257.1317,

 

257.1318, 257.1319, 257.1320, 257.1321, 257.1322, 257.1330,

 

257.1332, 257.1333, 257.1334a, 257.1336, and 257.1339), sections 2,

 

18, 22, and 30 as amended and section 2a as added by 1988 PA 254,

 

section 10 as amended by 2000 PA 366, and section 17 as amended by

 

2002 PA 464, and by adding sections 7a, 7b, 7c, 7d, 7e, 7f, 10a,

 

13a, 13b, and 32a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

 1        Sec. 2. As used in this act:


 1        (a) "Administrator" means the secretary of state or any person

 

 2  individual designated by him or her to act in his or her place.

 

 3        (b) "Advertise" means to advise, announce, apprise, command,

 

 4  give notice of, inform, make known, or publish any material that

 

 5  calls to the attention of the public the availability of parts and

 

 6  services.

 

 7        (c) "Approved educational institution" means a school,

 

 8  academy, or other similar establishment approved by the

 

 9  administrator under section 13a to provide training to mechanics or

 

10  mechanical trainees under this act.

 

11        (d) "Automobile or light truck" means a motor vehicle that has

 

12  a gross vehicle weight of less than 10,000 pounds.

 

13        (e) "Contract" means a written or oral agreement, or a similar

 

14  understanding or arrangement, in which a person agrees that another

 

15  person will perform work, labor, diagnosis, repair, reconditioning,

 

16  replacement, adjustment, or alteration, directly or indirectly, on

 

17  a motor vehicle.

 

18        (f) "Customer" means the owner or operator of a motor vehicle.

 

19        (g) (b) "Department" means the department of state.

 

20        (c) "Master mechanic" means a motor vehicle mechanic or

 

21  specialty mechanic who is certified by the department pursuant to

 

22  this act in all of the specific repair categories.

 

23        (d) "Motor vehicle" means a vehicle which is self-propelled, a

 

24  vehicle which is propelled by electric power, a motorcycle, or a

 

25  trailer as those terms are defined in the Michigan vehicle code,

 

26  Act No. 300 of the Public Acts of 1949, as amended, being sections

 

27  257.1 to 257.923 of the Michigan Compiled Laws. For the purposes of


 1  this act, a motor vehicle does not include the dwelling or sleeping

 

 2  portions of a motor home, trailer, or any recreational vehicle

 

 3  having similar facilities which are not directly connected with the

 

 4  drive mechanism of the vehicle or other areas of repair which would

 

 5  require certification of motor vehicle mechanics as specified in

 

 6  this act or rules promulgated pursuant to this act.

 

 7        (e) "Motor vehicle mechanic" means a technician, individual,

 

 8  or other person who, for compensation, repairs motor vehicles,

 

 9  including the reconditioning, replacement, adjustment, or

 

10  alteration of the operating condition, of any component or

 

11  subassembly of a motor vehicle.

 

12        (f) "Mechanic trainee" means a person who desires to become a

 

13  motor vehicle mechanic, a specialty mechanic, or a master mechanic

 

14  and receives a permit from the administrator pursuant to this act.

 

15        (g) "Motor vehicle repair facility" means a place of business

 

16  which engages in the business of performing or employing persons

 

17  who perform maintenance, diagnosis, vehicle body work, or repair

 

18  service on a motor vehicle for compensation, but excluding all of

 

19  the following:

 

20        (i) A person who engages only in the business of repairing the

 

21  motor vehicles of a single commercial or industrial establishment

 

22  or governmental agency.

 

23        (ii) A person repairing his or her own or a family member's

 

24  car.

 

25        (iii) A business that does not diagnose the operation of a

 

26  motor vehicle, does not remove parts from a motor vehicle to be

 

27  remachined, and does not install finished machined or remachined


 1  parts on a motor vehicle, not including a motor vehicle repair

 

 2  facility that engages in the business of performing or employing

 

 3  persons who perform vehicle body work.

 

 4        (h) "Specialty mechanic" means a motor vehicle mechanic who is

 

 5  certified by the department for a specific repair category or

 

 6  categories pursuant to this act.

 

 7        (h) "Distressed vehicle" means that term as defined in section

 

 8  12a of the Michigan vehicle code, 1949 PA 300, MCL 257.12a.

 

 9        (i) "Estimate" means a written statement that itemizes as

 

10  closely as possible the price for labor, by showing the labor price

 

11  per hour, the number of hours required to perform the work, and the

 

12  price of parts necessary for a specific repair.

 

13        (j) "Facility" or "motor vehicle repair facility" means a

 

14  place of business that is required to register under this act and

 

15  engages in the business of performing, or employing individuals who

 

16  perform, maintenance, diagnosis, vehicle body work, or repair

 

17  service on a motor vehicle for compensation. The term does not

 

18  include any of the following:

 

19        (i) A person that engages only in the business of repairing

 

20  the motor vehicles of a single commercial or industrial

 

21  establishment or governmental agency.

 

22        (ii) An individual who is repairing his or her own or a family

 

23  member's motor vehicle.

 

24        (iii) A business that does not diagnose the operation of a

 

25  motor vehicle, does not remove parts from a motor vehicle to be

 

26  remachined, and does not install finished machined or remachined

 

27  parts on a motor vehicle. This subparagraph does not apply to a


 1  motor vehicle repair facility that engages in the business of

 

 2  performing, or employing individuals who perform, vehicle body

 

 3  work.

 

 4        (k) "Heavy-duty truck" means a motor vehicle that has a gross

 

 5  vehicle weight of 10,000 pounds or more and includes both single-

 

 6  unit and combination tractor trailer or tractor semitrailer

 

 7  vehicles.

 

 8        (l) "Late model vehicle" means that term as defined in section

 

 9  24b of the Michigan vehicle code, 1949 PA 300, MCL 257.24b.

 

10        (m) "Lien" means a security interest in or other encumbrance

 

11  on a motor vehicle. The term includes a security interest created

 

12  by agreement, a judicial lien obtained by legal or equitable

 

13  process or proceedings, a common-law lien, or a statutory lien on a

 

14  vehicle.

 

15        Sec. 2a. As used in this act:

 

16        (a) "Distressed vehicle" means that term as defined in section

 

17  12a of the Michigan vehicle code, Act No. 300 of the Public Acts of

 

18  1949, being section 257.12a of the Michigan Compiled Laws.

 

19        (b) "Facility" means a motor vehicle repair facility.

 

20        (c) "Late model vehicle" means that term as defined in section

 

21  24b of Act No. 300 of the Public Acts of 1949, being section

 

22  257.24b of the Michigan Compiled Laws.

 

23        (a) (d) "Major component part" means 1 any of the following

 

24  parts of a motor vehicle:

 

25        (i) The engine.

 

26        (ii) The transmission.

 

27        (iii) The right or left front fender.


 1        (iv) The hood.

 

 2        (v) A door allowing that allows entrance to or egress from the

 

 3  passenger compartment of the vehicle.

 

 4        (vi) The front or rear bumper bar.

 

 5        (vii) The right or left rear quarter panel.

 

 6        (viii) The deck lid, tailgate, or hatchback.

 

 7        (ix) The trunk floor pan.

 

 8        (x) The cargo box of a pickup.

 

 9        (xi) The frame, or if the vehicle has a unitized body, the

 

10  supporting structure or structures that serve as the frame.parts

 

11  identified by the motor vehicle manufacturer as structural

 

12  components.

 

13        (xii) The cab of a truck.

 

14        (xiii) The body of a passenger vehicle.

 

15        (xiv) Airbags and seatbelts.

 

16        (b) "Master mechanic" means any of the following:

 

17        (i) A motor vehicle mechanic or specialty mechanic who is

 

18  certified by the department under this act in all of the specific

 

19  repair categories applicable to automobiles or light trucks

 

20  described in section 10(3).

 

21        (ii) A motor vehicle mechanic or specialty mechanic who is

 

22  certified by the department under this act in all of the specific

 

23  repair categories applicable to heavy-duty trucks described in

 

24  section 10(4).

 

25        (iii) A master motorcycle mechanic who is certified by the

 

26  department to engage in motorcycle repair and is described in

 

27  section 10a(5).


 1        (iv) A recreational trailer mechanic who is certified by the

 

 2  department to engage in the installation, service, and repair of

 

 3  recreational vehicle equipment and is described in section 10a(6).

 

 4        (c) "Material fact" means a fact that is used by a person as a

 

 5  premise on which a conclusion is based.

 

 6        (d) "Mechanic trainee" means an individual who desires to

 

 7  become a motor vehicle mechanic, a specialty mechanic, or a master

 

 8  mechanic and receives a permit from the administrator under this

 

 9  act.

 

10        (e) "Minor repair services" means lubrication; oil changes;

 

11  installing, changing, or otherwise servicing the antifreeze or

 

12  other coolant; body repairing, except for unitized body structural

 

13  repair; or the replacement, adjustment, repair, or servicing of any

 

14  of the following parts and assemblies:

 

15        (i) Air cleaner element.

 

16        (ii) Accessory drive belt.

 

17        (iii) Air pump hose.

 

18        (iv) Twelve-volt battery.

 

19        (v) Ground cable for 12-volt battery.

 

20        (vi) Hold-down strap for 12-volt battery.

 

21        (vii) Positive cable for 12-volt battery.

 

22        (viii) Battery-to-starter relay cable for 12-volt battery.

 

23        (ix) Crankcase vent air cleaner.

 

24        (x) Crankcase vent air cleaner hose.

 

25        (xi) Engine oil filter.

 

26        (xii) Exhaust pipe, muffler, catalytic converter, or tail pipe

 

27  and associated attaching parts.


 1        (xiii) Fuel filter.

 

 2        (xiv) Fuel line flex hose or line.

 

 3        (xv) Fuel tank, except for a tank that contains a fuel pump.

 

 4        (xvi) Fuse.

 

 5        (xvii) Heater hose.

 

 6        (xviii) Horn.

 

 7        (xix) Idler pulley, adjust only.

 

 8        (xx) Ignition coil output wire.

 

 9        (xxi) Lightbulb or headlamp.

 

10        (xxii) Motor or transmission mount.

 

11        (xxiii) Ornamental accessories.

 

12        (xxiv) Positive crankcase ventilation control valve.

 

13        (xxv) Radiator.

 

14        (xxvi) Radiator hose, upper or lower.

 

15        (xxvii) Radiator reserve tank.

 

16        (xxviii) Rear spring, leaf or coil, except a MacPherson strut-

 

17  type assembly.

 

18        (xxix) Shock absorber that is not built in combination with

 

19  other parts of the suspension.

 

20        (xxx) Analog speedometer.

 

21        (xxxi) Vapor canister hose.

 

22        (xxxii) Wheel, except alignment.

 

23        (xxxiii) Windshield washer hose.

 

24        (xxxiv) Windshield washer tank.

 

25        (xxxv) Wiper blade.

 

26        (f) "Motor vehicle" means a vehicle that is self-propelled, a

 

27  vehicle that is propelled by electric power, a motorcycle, or a


 1  trailer as those terms are defined in the Michigan vehicle code,

 

 2  1949 PA 300, MCL 257.1 to 257.923. The term does not include the

 

 3  dwelling or sleeping portions of a motor home, trailer, or any

 

 4  recreational vehicle that has similar facilities that are not

 

 5  directly connected with the drive mechanism of the vehicle or other

 

 6  areas of repair that would require certification of motor vehicle

 

 7  mechanics under this act or rules promulgated under this act.

 

 8        (g) "Motor vehicle mechanic" means a technician or other

 

 9  individual who, for compensation, repairs motor vehicles, including

 

10  the reconditioning, replacement, adjustment, or alteration of the

 

11  operating condition, of any component or subassembly of a motor

 

12  vehicle.

 

13        (h) "Person" means an individual, corporation, limited

 

14  liability company, partnership, association, or any other legal

 

15  entity. The term includes a motor vehicle repair facility.

 

16        (i) "Recreational trailer" means a travel trailer, camper

 

17  trailer, or other special purpose or utility trailer or semitrailer

 

18  designed or intended to be drawn on the highway by an automobile or

 

19  light truck that has a gross towing vehicle weight of less than

 

20  10,000 pounds.

 

21        (j) "Repair" means the reconditioning, adjustment, alteration,

 

22  maintenance, or diagnosis of the operating condition of a motor

 

23  vehicle, with or without the replacement of any component or

 

24  subassembly of a motor vehicle, for compensation or under the terms

 

25  of a warranty.

 

26        (k) "Repair category" means a category of motor vehicle repair

 

27  work, listed in section 10a, that certification under this act is


 1  required to perform.

 

 2        (l) "Representation" means a statement made by a facility to a

 

 3  customer in regard to some past, present, or future fact,

 

 4  circumstance, or set of facts pertinent to a contract.

 

 5        (m) (e) "Salvageable part" means a major component part of a

 

 6  late model vehicle or a vehicle manufactured in the current model

 

 7  year, if the part can be reused.

 

 8        (n) "Specialty mechanic" means a motor vehicle mechanic who is

 

 9  certified by the department for a specific repair category or

 

10  categories under this act.

 

11        (o) (f) "Vehicle body work" means the business or activity of

 

12  repairing physical damage to a motor vehicle by repairing, mending,

 

13  straightening, or replacing a major component part, except for the

 

14  engine or transmission.

 

15        (p) "Warranty" means a guarantee given by a motor vehicle

 

16  repair facility, in writing or by implication, of the

 

17  merchantability, of the integrity of the subject of a contract, or

 

18  of the responsibility of the person that makes the warranty for the

 

19  replacement or repair of defective parts or services, or both,

 

20  assuring performance, product, or conditions as promised or

 

21  declared by the person that makes the warranty.

 

22        Sec. 3. Unless the means of doing or engaging in a motor

 

23  vehicle repair business including the operating of a motor vehicle

 

24  repair facility is adopted for the purposes of evading this act,

 

25  and except as otherwise provided in this act, this act shall does

 

26  not apply to gasoline service stations exclusively engaged in the

 

27  business of selling motor fuel and lubricants. A person or facility


 1  providing minor services, including but not limited to: the

 

 2  changing or installing of light bulbs, tires, lamp globes,

 

 3  batteries, air filters, oil filters, windshield wiper blades, fan

 

 4  or power assist belts or lubrication or oil changes and other minor

 

 5  or ornamental accessories or However, a person, including a

 

 6  gasoline service station, that provides minor repair services or

 

 7  activities incidental to the business of selling motor fuel and

 

 8  lubricants is hereby declared a motor vehicle repair facility and

 

 9  is subject to this act, except that those employees performing only

 

10  minor repairs need not be certified an employee of the person may

 

11  perform minor repair services without a certification or permit

 

12  from the department under this act.

 

13        Sec. 7. A person subject to this act shall not engage or

 

14  attempt to engage in a method, act, or practice which is unfair or

 

15  deceptive.A motor vehicle repair facility that is subject to this

 

16  act, or a person that is an owner or operator of a motor vehicle

 

17  repair facility that is subject to this act, shall not, directly or

 

18  through an agent or employee, do any of the following:

 

19        (a) Enter into a contract with a customer that uses a waiver

 

20  to circumvent or evade this act.

 

21        (b) Enter into a contract that takes advantage of a customer's

 

22  inability to reasonably protect his or her interests because of his

 

23  or her illiteracy or inability to understand the language of an

 

24  agreement, if the facility knows or reasonably should know of the

 

25  customer's illiteracy or inability to understand.

 

26        (c) Enter into a contract with a customer that has gross

 

27  discrepancies between the oral representations of the facility and


 1  the written agreement covering the same transaction.

 

 2        (d) Make, either written or orally, an untrue or misleading

 

 3  statement of a material fact to a customer.

 

 4        (e) Fail to reveal a material fact to a customer that the

 

 5  customer could not reasonably know if that omission tends to

 

 6  mislead or deceive the customer.

 

 7        (f) Enter into a contract with a customer that attempts to

 

 8  abrogate, disclaim, or disallow the legal rights, obligations,

 

 9  or remedies of the customer.

 

10        (g) Allow a customer to sign an acknowledgment, certificate,

 

11  or other writing that affirms acceptance, delivery, compliance with

 

12  a requirement of law, or other performance, if the facility knows

 

13  or has reason to know that the statement is not true.

 

14        (h) Set up contractual provisions with a customer, including

 

15  the statement of repairs and waivers, that are not specific in

 

16  language, clearly described, or reasonably legible.

 

17        (i) Attempt to avoid or evade the law through a contract with

 

18  a customer or any provision of a contract with a customer.

 

19        (j) If a contract with a customer is rescinded, canceled, or

 

20  otherwise terminated under the terms of the contract or under this

 

21  act, fail to promptly return any deposit, down payment, or other

 

22  payment to the person that is entitled to receive it.

 

23        (k) Allow a customer to sign a document in blank relating to

 

24  the repair of a motor vehicle.

 

25        (l) Fail to give a customer a copy of a document evidencing

 

26  the engagement of a facility at the time the document is executed

 

27  by the customer.


 1        (m) When returning a repaired vehicle to a customer, fail to

 

 2  give a written statement of repairs to the customer that discloses

 

 3  all of the following:

 

 4        (i) The repairs needed, as determined by the facility.

 

 5        (ii) The repairs requested by the customer.

 

 6        (iii) The repairs authorized by the customer.

 

 7        (iv) The facility's estimate of repair costs.

 

 8        (v) The actual costs of repairs.

 

 9        (vi) The repairs or services performed, including a detailed

 

10  identification of all parts that were replaced and a specification

 

11  of which parts are new OEM, new, used, rebuilt, OEM surplus, or

 

12  reconditioned.

 

13        (vii) A certification that authorized repairs were completed

 

14  properly or a detailed explanation of an inability to complete

 

15  repairs properly. The owner of the facility, or an individual

 

16  designated by the owner to represent the facility, shall sign the

 

17  certification statement. The statement shall include the name of

 

18  the mechanic who performed the diagnosis and the repair.

 

19        Sec. 7a. A motor vehicle repair facility that is subject to

 

20  this act, or a person that is an owner or operator of a motor

 

21  vehicle repair facility that is subject to this act, shall not,

 

22  directly or through an agent or employee, do any of the following:

 

23        (a) Charge for repairs that are in fact not performed.

 

24        (b) Perform repairs that are in fact not necessary, unless the

 

25  customer insists that the facility perform the repair and

 

26  disregards the facility's advice that the repair is unnecessary.

 

27        (c) Represent, directly or indirectly, that repairs are


House Bill No. 4344 as amended June 17, 2015

                    as amended February 10, 2016

 

 1  necessary when in fact they are not.

 

 2        (d) Perform and charge for repairs that are not specifically

 

 3  authorized.

 

 4        (e) Fail to perform promised repairs within the period of time

 

 5  agreed, or within a reasonable time, unless circumstances beyond

 

 6  the control of the facility prevent the timely performance of the

 

 7  repairs and the facility did not have reason to know of those

 

 8  circumstances at the time the contract was made.

 

 9        (f) Represent, either directly or indirectly, that a

 

10  replacement part used in the repair of a vehicle is new or of a

 

11  particular manufacture when in fact it is used, rebuilt,

 

12  reconditioned, deteriorated, or of a different manufacture, or

 

13  otherwise fail to disclose in writing, before beginning a repair,

 

14  the use of used, rebuilt, or reconditioned parts.

 

15        [(g) Replace a major component part described in section 2a(a)(iii)

 

16  to (xiv) with a part that does not meet or exceed standards recognized as

 

17  OEM comparable quality as verified by a nationally recognized automotive

 

18  parts testing agency, unless no OEM or verified part is available or

 

19  unless otherwise directed by the owner of the motor vehicle in writing.

    This subdivision does not apply to the replacement of a major component

    part if that part is no longer covered under the original equipment

    manufacturer's warranty.

20        (H)] Subsequent to a diagnosis requested by a customer for

 

21  which a charge is made, fail to disclose a diagnosed or suspected

 

22  malfunction, the recommended remedy for the malfunction, and any

 

23  test, analysis, or other procedure employed to determine the

 

24  malfunction.

 

25        Sec. 7b. A motor vehicle repair facility that is subject to

 

26  this act, or a person that is an owner or operator of a motor

 

27  vehicle repair facility that is subject to this act, shall not,


 1  directly or through an agent or employee, do any of the following:

 

 2        (a) Disclaim or limit the implied warranty of merchantability

 

 3  or fitness for use, unless excluded or modified under section 2316

 

 4  of the uniform commercial code, 1962 PA 174, MCL 440.2316.

 

 5        (b) Fail to extend the period of a facility's own warranty for

 

 6  repairs and services, if the customer was deprived of the use or

 

 7  enjoyment of the subject of the warranty because of a failure on

 

 8  the part of the facility to comply completely with the terms of the

 

 9  warranty, for a period of time that is equal to or greater than the

 

10  period of the deprivation.

 

11        (c) Fail to honor a warranty on a new part by replacing it

 

12  with a used part or replacing it with a rebuilt or remanufactured

 

13  part that does not meet original equipment quality, standards, or

 

14  specifications.

 

15        (d) Fail to honor an express warranty.

 

16        (e) Fail to disclose in written language, that is clear as to

 

17  the nature or scope of the warranty, all material aspects and the

 

18  intent of a warranty, including, but not limited to, what is

 

19  warranted, the person that will honor the warranty, the duration of

 

20  the warranty, the obligations, if any, of the person to which the

 

21  warranty is extended, and any exceptions and exclusions from the

 

22  terms of the written warranty agreement.

 

23        Sec. 7c. A motor vehicle repair facility that is subject to

 

24  this act, or a person that is an owner or operator of a motor

 

25  vehicle repair facility that is subject to this act, shall not,

 

26  directly or through an agent or employee, advertise or represent,

 

27  either directly or indirectly, any of the following:


 1        (a) Reduced prices for products or services and not sell them

 

 2  at the advertised price during the period of the offering.

 

 3        (b) Products or services at a particular price during a

 

 4  particular period and fail to extend the offer beyond that period

 

 5  to any person that seeks but does not obtain the products or

 

 6  services during the advertised period because the facility has

 

 7  failed to prepare for the reasonably expected public demand.

 

 8        (c) That a customer will receive products or services "free"

 

 9  or "without charge", or using words of similar import, if there are

 

10  undisclosed conditions, terms, or limitations attached to the offer

 

11  of those products or services.

 

12        (d) Products or services while failing to reveal a material

 

13  fact that a customer could not reasonably know, if the omission of

 

14  that fact tends to mislead or deceive the customer.

 

15        (e) That a customer will receive a rebate, discount, or other

 

16  benefit as an inducement for entering into a contract, if the

 

17  benefit is contingent on the occurrence of an event after the

 

18  transaction is completed.

 

19        (f) That a facility has the ability to perform repair services

 

20  using personnel who are qualified in specific repair specialties,

 

21  including those specialties enumerated in section 10 of this act,

 

22  if in fact the facility does not employ mechanics who are legally

 

23  certified in those specialties.

 

24        (g) Products or services, if there is a material contingency,

 

25  condition, or limitation on the offer of those products or

 

26  services, unless the contingency, condition, or limitation is

 

27  stated contemporaneously with the offer in a manner clearly and


 1  easily understood by the customer.

 

 2        (h) Products or services in a language other than English,

 

 3  unless the advertisement or representation includes any required

 

 4  disclosures or limitations on the offer in the language principally

 

 5  used in the advertisement or representation.

 

 6        (i) That mechanics employed by a facility are "certified",

 

 7  "licensed", or otherwise qualified if that representation tends to

 

 8  give the impression that all mechanics employed by the facility are

 

 9  certified or licensed if in fact they are not.

 

10        (j) That a customer's failure to act quickly or within a

 

11  certain period of time to procure products or services will result

 

12  in the loss of opportunity to procure them at a particular price,

 

13  if in fact it is untrue.

 

14        (k) Credit availability, in a manner that creates a likelihood

 

15  of confusion or misunderstanding of the terms or conditions of

 

16  credit, or that credit availability or the terms of credit are

 

17  "easy", or using words of similar import to describe credit

 

18  availability or terms, if in fact that is untrue.

 

19        (l) That products or services are sold under the terms of

 

20  "satisfaction guaranteed or money back", or using words of similar

 

21  import, if in fact the customer's declaration of dissatisfaction is

 

22  not a sufficient basis for obtaining a refund of the purchase price

 

23  for those products or services.

 

24        (m) The necessity, desirability, or advantage to a prospective

 

25  customer of dealing with a facility by misrepresenting the

 

26  facility's alleged advantages of size.

 

27        (n) That a document that a customer signs is something other


 1  than what it is.

 

 2        (o) An aspect of a repair transaction in a manner that causes

 

 3  a likelihood of confusion, or of misunderstanding, with respect to

 

 4  the authority of a mechanic, salesperson, representative, or agent

 

 5  to negotiate the final terms of the transaction.

 

 6        (p) An aspect of a repair transaction in a manner that causes

 

 7  a likelihood of confusion, or of misunderstanding, of the legal

 

 8  rights, obligations, or remedies of a party to the transaction.

 

 9        (q) That service on an offered product is available under a

 

10  warranty if in fact it is not available or there are undisclosed

 

11  limitations or conditions on the availability of that service.

 

12        (r) A free or low-cost inspection or diagnosis that requires

 

13  the removal or dismantling, or both, of a part or assembly and

 

14  failing to disclose before the transaction a charge for replacement

 

15  or reassembly if the customer declines to authorize a recommended

 

16  repair.

 

17        (s) A product or service at a reduced rate and, if the

 

18  facility fails to provide it at the offered price during the period

 

19  of the offering to a customer seeking it, failing to offer and

 

20  provide the customer the opportunity to obtain the product or

 

21  service at the same reduced rate within a reasonable period of time

 

22  after the expiration of the original offer.

 

23        (t) Products or services, or the availability of products or

 

24  services, in a manner that involves the solicitation of waivers by

 

25  the facility.

 

26        (u) Products or services that fail to meet the reasonably

 

27  expected public demand for the duration of the advertised offering,


 1  unless the advertisement has clearly expressed a specific

 

 2  limitation on the quantity of the advertised products or services.

 

 3        (v) The words "certification", "licensing", or "registration",

 

 4  or the use of words of similar import, of a motor vehicle repair

 

 5  facility or mechanic, by an organization, association, governmental

 

 6  entity, or other program or authority other than the administrator,

 

 7  without clearly and conspicuously disclosing the source of the

 

 8  certification, licensing, or registration, and without adding the

 

 9  disclaimer "not the Michigan department of state".

 

10        (w) The desirability or advantages of certification or

 

11  licensing by a federal, state, or local governmental agency, or

 

12  that a motor vehicle repair facility or mechanic is approved or

 

13  sanctioned by the administrator.

 

14        Sec. 7d. A motor vehicle repair facility that is subject to

 

15  this act, or a person that is an owner or operator of a motor

 

16  vehicle repair facility that is subject to this act, shall not,

 

17  directly or through an agent or employee, do any of the following:

 

18        (a) Assert, claim, or impose a mechanic's or similar type lien

 

19  if the facility has violated this act or rules promulgated under

 

20  this act with respect to the transaction on which the lien is

 

21  based.

 

22        (b) Seek the repossession of a motor vehicle if the facility

 

23  has violated this act or rules promulgated under this act with

 

24  respect to the transaction on which the repossession is based.

 

25        (c) Seek to assert or enforce a lien by refusing to return a

 

26  vehicle if the facility has violated this act or rules promulgated

 

27  under this act with respect to the transaction on which the refusal


 1  is based.

 

 2        (d) Fail to return a customer's vehicle if there is a dispute

 

 3  and the customer has paid the amount of the written estimate and

 

 4  any amount in excess of that amount that was agreed to either

 

 5  orally or in writing by the customer.

 

 6        Sec. 7e. A motor vehicle repair facility that is subject to

 

 7  this act, or a person that is an owner or operator of a motor

 

 8  vehicle repair facility that is subject to this act, shall not,

 

 9  directly or through an agent or employee, do any of the following:

 

10        (a) Unless legally waived by the customer, fail to give the

 

11  customer a written estimate before beginning work on a motor

 

12  vehicle.

 

13        (b) Charge for work done or parts supplied in excess of the

 

14  estimated price without the knowing consent, orally or in writing,

 

15  of the customer.

 

16        (c) Fail to give a customer an estimate for the cost, if any,

 

17  of reassembly, disassembly, or diagnosis.

 

18        (d) Fail to inform a customer, at a time before the customer

 

19  executes a document or engages the facility for the work, by the

 

20  use of a notice required under section 33, of his or her right to

 

21  receive or inspect replaced parts for which he or she will be

 

22  charged in the repair of his or her motor vehicle.

 

23        (e) Fail to retain a customer waiver with the records retained

 

24  by the facility concerning the transaction.

 

25        (f) Charge a customer storage charges if there is a dispute

 

26  concerning repair charges. If a delay in repairs is caused by a

 

27  lack of parts, a facility may charge for storage after informing


 1  the customer of the approximate length of the anticipated delay and

 

 2  of the daily storage charge rate and obtaining the customer's

 

 3  consent to the delay and the storage charges.

 

 4        (g) Fail to comply with the truth in lending act, 15 USC 1601

 

 5  to 1667f, and the retail installment sales act, 1966 PA 224, MCL

 

 6  445.851 to 445.873, if the customer finances repairs through the

 

 7  facility.

 

 8        (h) Fail in practice to comply with advertised or stated

 

 9  payment policies.

 

10        (i) Conspire with another to fix prices.

 

11        (j) Conspire with another to allocate the market between them.

 

12        (k) Fail to notify a customer of an exchange agreement and

 

13  charges for exchange parts if the customer wishes to have those

 

14  parts returned.

 

15        (l) Fail to disclose, on the customer's request, the method

 

16  used by a facility to compute labor charges.

 

17        Sec. 7f. A motor vehicle repair facility that is subject to

 

18  this act, or a person that is an owner or operator of a motor

 

19  vehicle repair facility that is subject to this act, shall not,

 

20  directly or through an agent or employee, do any of the following:

 

21        (a) Improperly utilize waivers in a manner that suggests or

 

22  implies, directly or indirectly, orally or by action, that signing

 

23  a waiver will improve or expedite service or repairs or will reduce

 

24  the price.

 

25        (b) Exaggerate the seriousness of a malfunction to induce a

 

26  customer to agree to a repair.

 

27        (c) Suggest or imply, directly or indirectly, orally or by


 1  action, that service will be improved or expedited or that the

 

 2  price will be reduced if the customer agrees that the facility is

 

 3  not required to return for inspection any parts that the facility

 

 4  replaced.

 

 5        (d) Misrepresent that because of some defect in the customer's

 

 6  motor vehicle, the health, safety, and lives of the customer or his

 

 7  or her family are in danger if parts or repair services are not

 

 8  purchased, if in fact the defect does not exist or the installation

 

 9  of the parts or the performance of the services would not remove

 

10  the danger.

 

11        Sec. 9. The administrator shall do all of the following:

 

12        (a) Certify master and specialty mechanics and issue permits

 

13  to mechanic trainees who are subject to this act.

 

14        (b) Register motor vehicle repair facilities that are subject

 

15  to this act.

 

16        (c) Keep a complete register of motor vehicle repair

 

17  facilities, which shall be open to and make that register available

 

18  for public inspection at the office of the secretary of state.

 

19        (d) Keep an accurate listing by name and by certificate number

 

20  of each specialty and master mechanic who is certified by the

 

21  administrator at the office of the secretary of state.

 

22        (e) Engage in a public information program to inform the

 

23  public of their rights and remedies under this act.

 

24        (f) Inform registered motor vehicle repair facilities at least

 

25  annually of the rules promulgated pursuant to under this act, of

 

26  representative disciplinary hearings, orders, or judgments issued

 

27  or obtained by the administrator, and suspensions or revocations of


 1  registrations or licenses. A motor vehicle repair facility shall

 

 2  inform the mechanics in its employ of these actions.

 

 3        (g) Establish procedures for receiving complaints relating to

 

 4  alleged violations of this act or rules promulgated pursuant to

 

 5  under this act.

 

 6        (h) Establish and collect fees for certification examinations

 

 7  administered by the administrator.

 

 8        (i) Promulgate any rules pursuant to Act No. 306 of the Public

 

 9  Acts of 1969, as amended, being sections 24.201 to 24.315 of the

 

10  Michigan Compiled Laws.that are necessary to implement this act

 

11  under the administrative procedures act of 1969, 1969 PA 306, MCL

 

12  24.201 to 24.328.

 

13        The rules shall include but not be limited to:

 

14        (i) Definitions of unfair and deceptive practices.

 

15        (ii) Definitions of minor repair services.

 

16        (iii) Criteria for determining the competency of specialty and

 

17  master mechanics, as a prerequisite to continued certification

 

18  under this act.

 

19        (iv) Definition of repair categories for the certification of

 

20  specialty and master mechanics.

 

21        (v) Other rules as are necessary to implement this act.

 

22        (j) Issue declaratory rulings to implement this act. All of

 

23  the following apply to a declaratory ruling under this subdivision:

 

24        (i) The administrator may issue a declaratory ruling

 

25  concerning the applicability of this act or rules promulgated under

 

26  this act to an actual statement of facts if the administrator

 

27  receives a request for a declaratory ruling from an interested


 1  person and the interested person submits a clear and concise

 

 2  statement of facts to the administrator. The interested person may

 

 3  submit to the administrator a brief or other reference to legal

 

 4  authorities on which the interested person relies concerning the

 

 5  applicability of this act or rules promulgated under this act to

 

 6  the statement of facts.

 

 7        (ii) If he or she decides to issue a declaratory ruling, the

 

 8  administrator shall provide the interested person that requested

 

 9  the ruling a statement that he or she will issue a declaratory

 

10  ruling and the date by which the administrator will issue the

 

11  ruling.

 

12        (iii) A declaratory ruling shall include the actual statement

 

13  of facts provided by the interested person that requested the

 

14  ruling, the legal authority on which the administrator relies for

 

15  his or her ruling, if any, and the ruling of the administrator.

 

16        (iv) After it is issued, a declaratory ruling is binding on

 

17  the administrator and he or she may not retroactively change the

 

18  ruling. However, this subdivision does not prohibit the

 

19  administrator from prospectively changing a declaratory ruling.

 

20        Sec. 10. (1) A person Subject to section 10a(3) and (4), an

 

21  individual may become certified as a specialty mechanic in 1 or

 

22  more repair categories if that person has passed an examination,

 

23  individual takes 1 or more examinations, developed or approved by

 

24  the administrator, or developed by a private entity and adopted by

 

25  the administrator, that the administrator determines is an adequate

 

26  test of a person's ability to perform certain types of motor

 

27  vehicle repair. The repair categories for which certification is


 1  required include the following and others that may be specified by

 

 2  rule:and received scores, as determined by the administrator, that

 

 3  indicate competency to perform motor vehicle repairs in the repair

 

 4  category or categories.

 

 5        (a) Engine repair.

 

 6        (b) Automatic transmission.

 

 7        (c) Manual transmission and rear axle.

 

 8        (d) Front end.

 

 9        (e) Brakes.

 

10        (f) Electrical systems.

 

11        (g) Heating and air conditioning.

 

12        (h) Engine tune-up.

 

13        (i) Pre-1973 motor vehicle, subject to subsection (3).

 

14        (2) A person An individual may apply for a specialty

 

15  mechanic's certificate in any or all repair categories but shall be

 

16  is only required to pay only 1 certification fee if the person

 

17  makes the applications individual applies for more than 1 category

 

18  at 1 time.

 

19        (3) Within 90 days after the effective date of the amendatory

 

20  act that added this subsection, the administrator shall develop or

 

21  adopt an examination for specialty mechanic certification in the

 

22  repair category described in subsection (1)(i) for an individual

 

23  engaged, for compensation, in the repair of a motor vehicle

 

24  manufactured before 1973 or the reconditioning, replacement,

 

25  adjustment, or alteration of the operating condition of any

 

26  component or subassembly of a motor vehicle manufactured before

 

27  1973.


 1        (3) (4) A person An individual may apply for and receive a

 

 2  certificate as a master mechanic's certificate mechanic for

 

 3  automobiles or light trucks if that person individual is qualified

 

 4  as a specialty mechanic in all repair categories of motor vehicle

 

 5  repair described in section 10a(1), except that certification in

 

 6  the specialty repair category described in subsection (1)(i)

 

 7  section 10a(1)(k) is not necessary for a master mechanic's

 

 8  certificate described in this subsection.

 

 9        (4) An individual may apply for and receive a certificate as a

 

10  master mechanic for heavy-duty trucks if that individual is

 

11  qualified as a specialty mechanic in all repair categories

 

12  described in section 10a(2), except that certification in the

 

13  repair category described in section 10a(2)(h) is not necessary for

 

14  a master mechanic's certificate described in this subsection.

 

15        Sec. 10a. (1) The administrator may issue a certification to

 

16  perform repair work as a specialty or master mechanic for

 

17  automobiles and light trucks in 1 or more of the following repair

 

18  categories:

 

19        (a) Engine repair.

 

20        (b) Automatic transmission.

 

21        (c) Manual transmission, front and rear drive axle.

 

22        (d) Front end, suspension, and steering systems.

 

23        (e) Brakes and braking systems.

 

24        (f) Electrical systems.

 

25        (g) Heating and air-conditioning.

 

26        (h) Engine tune-up and performance.

 

27        (i) Collision-related mechanical repair.


 1        (j) Unitized body structural repair.

 

 2        (k) Pre-1973 automobile or light truck repair. As used in this

 

 3  subdivision, "pre-1973 automobile or light truck repair" means the

 

 4  repair of an automobile or light truck manufactured before 1973 or

 

 5  the reconditioning, replacement, adjustment, or alteration of the

 

 6  operating condition of any component or subassembly of an

 

 7  automobile or light truck manufactured before 1973.

 

 8        (2) The administrator may issue a certification to perform

 

 9  repair work as a specialty or master mechanic for heavy-duty trucks

 

10  in 1 or more of the following repair categories:

 

11        (a) Engine repair, gasoline.

 

12        (b) Engine repair, diesel.

 

13        (c) Drivetrains.

 

14        (d) Brakes and braking systems.

 

15        (e) Suspension and steering systems.

 

16        (f) Electrical systems.

 

17        (g) Collision-related mechanical repair.

 

18        (h) Pre-1973 heavy-duty truck repair. As used in this

 

19  subdivision, "pre-1973 heavy-duty truck repair" means the repair of

 

20  a heavy-duty truck manufactured before 1973 or the reconditioning,

 

21  replacement, adjustment, or alteration of the operating condition

 

22  of any component or subassembly of a heavy-duty truck manufactured

 

23  before 1973.

 

24        (3) An individual who is applying for certification as a

 

25  specialty automobile or light truck mechanic is eligible for that

 

26  certification if he or she passes an examination in the repair

 

27  category that relates to that specialty. An individual who is


 1  applying for certification as a master automobile or light truck

 

 2  mechanic is eligible for that certification if he or she passes the

 

 3  examinations in all repair categories listed in subsection (1)(a)

 

 4  to (h).

 

 5        (4) An individual who is applying for certification as a

 

 6  specialty heavy-duty truck mechanic is eligible for that

 

 7  certification if he or she passes an examination in the repair

 

 8  category that relates to that specialty. An individual who is

 

 9  applying for certification as a master heavy-duty truck mechanic is

 

10  eligible for that certification if he or she passes the

 

11  examinations in all repair categories listed in subsection (2)(a)

 

12  to (f).

 

13        (5) An individual who is applying for certification as a

 

14  master motorcycle mechanic is eligible for that certification if he

 

15  or she passes an examination pertaining to all mechanical aspects

 

16  of motorcycle repair.

 

17        (6) An individual who is applying for certification as a

 

18  recreational trailer mechanic is eligible for that certification if

 

19  he or she passes an examination pertaining to all mechanical

 

20  aspects of the installation, service, and repair of recreational

 

21  trailer equipment. As used in this subsection, "recreational

 

22  trailer equipment" includes recreational trailer brakes,

 

23  suspension, wheels, or axles; adaptations and alterations made to

 

24  towing vehicles; and other items of equipment on a recreational

 

25  trailer required under sections 683 to 711 of the Michigan vehicle

 

26  code, 1949 PA 300, MCL 257.683 to 257.711.

 

27        Sec. 11. (1) Before a person offers to engage in or engages An


 1  individual shall not engage or offer to engage in employment as a

 

 2  specialty or master mechanic , that person shall apply for and

 

 3  receive if he or she has not applied for and received a certificate

 

 4  for that employment from the department. Application An applicant

 

 5  for a specialty or master mechanic's certificate shall be made

 

 6  submit to the administrator, on a form provided by the department,

 

 7  and shall include:all of the following information and the results

 

 8  of the required examinations:

 

 9        (a) The name and home address of the applicant.

 

10        (b) The repair category or categories for which the applicant

 

11  is applying. and the results of the required examinations.

 

12        (c) The number of years the applicant has worked as a motor

 

13  vehicle mechanic for compensation and the education or training he

 

14  has had to prepare him for work as a motor vehicle mechanic,

 

15  specialty mechanic, or master mechanic.

 

16        (d) The states or jurisdictions in which the applicant is

 

17  licensed or certified to work as a motor vehicle mechanic,

 

18  specialty mechanic, or master mechanic.

 

19        (e) A copy of an irrevocable appointment of the secretary of

 

20  state as the applicant's agent for service of process.

 

21        (f) Other relevant information as required by the

 

22  administrator. shall require.

 

23        (2) The term of a master mechanic's certificate is 1 year. An

 

24  individual may renew a master mechanic's certificate by providing

 

25  all of the information described in subsection (1)(a) to (f), on a

 

26  form provided by the administrator, and paying the renewal fee

 

27  described in section 30.


 1        (3) The term of a specialty certificate is 1 year. The

 

 2  administrator may only renew a specialty certificate if the

 

 3  individual who is applying for renewal provides all of the

 

 4  information described in subsection (1)(a) to (f), on a form

 

 5  provided by the administrator, pays the renewal fee described in

 

 6  section 30, and, if applicable, meets 1 of the following:

 

 7        (a) If he or she is seeking to renew a certification as a

 

 8  mechanic in the area of automobile and light truck engine tune-up

 

 9  and performance, in the 1998 calendar year or in any fifth calendar

 

10  year after 1998, does 1 of the following:

 

11        (i) Takes and passes a test given or approved by the

 

12  administrator.

 

13        (ii) Presents proof that he or she has successfully completed

 

14  an acceptable course of training in automobile and light truck

 

15  engine tune-up and performance provided by an approved educational

 

16  institution, motor vehicle manufacturer, or distributor.

 

17        (iii) Presents a valid, current certification in automobile

 

18  and light truck engine tune-up and performance, or a comparable

 

19  category, from the National Institute for Automotive Service

 

20  Excellence or another mechanic certification organization approved

 

21  by the administrator.

 

22        (b) If he or she is seeking to renew a certification as a

 

23  mechanic in the area of automobile and light truck electrical

 

24  systems, in the 1999 calendar year or in any fifth calendar year

 

25  after 1999, does 1 of the following:

 

26        (i) Takes and passes a test given or approved by the

 

27  administrator.


 1        (ii) Presents proof that he or she has successfully completed

 

 2  an acceptable course of training in automobile and light truck

 

 3  engine electrical systems provided by an approved educational

 

 4  institution, motor vehicle manufacturer, or distributor.

 

 5        (iii) Presents a valid, current certification in automobile

 

 6  and light truck engine electrical systems, or a comparable

 

 7  category, from the National Institute for Automotive Service

 

 8  Excellence or another mechanic certification organization approved

 

 9  by the administrator.

 

10        (c) If he or she is seeking to renew a certification as a

 

11  mechanic in the area of automobile and light truck brakes and

 

12  braking systems, in the 2000 calendar year or in any fifth calendar

 

13  year after 2000, does 1 of the following:

 

14        (i) Takes and passes a test given or approved by the

 

15  administrator.

 

16        (ii) Presents proof that he or she has successfully completed

 

17  an acceptable course of training in automobile and light truck

 

18  engine brakes and braking systems provided by an approved

 

19  educational institution, motor vehicle manufacturer, or

 

20  distributor.

 

21        (iii) Presents a valid, current certification in automobile

 

22  and light truck brakes and braking systems, or a comparable

 

23  category, from the National Institute for Automotive Service

 

24  Excellence or another mechanic certification organization approved

 

25  by the administrator.

 

26        Sec. 12. An applicant shall be required to have passed an

 

27  examination which is designed to test the competency to correctly


 1  diagnose and repair motor vehicles in the specific category for

 

 2  which the applicant is applying. The examination shall be written

 

 3  or oral or practical.All of the following apply to a certification

 

 4  examination under this act:

 

 5        (a) An examination shall be written, except that the

 

 6  administrator may allow an individual to take an oral or practical

 

 7  examination if the administrator determines that the individual

 

 8  meets 1 of the following:

 

 9        (i) He or she has special language problems that preclude the

 

10  possibility of passing a standard English language examination.

 

11        (ii) He or she was unsuccessful on the written examination.

 

12        (b) The administrator shall review examinations that are being

 

13  given by private or public agencies, including the department of

 

14  education. If the administrator approves an agency for the purposes

 

15  of administering examinations, the prospective an applicant may

 

16  take the an examination administered by that agency, and the

 

17  testing agency shall forward the results to the administrator for

 

18  review and verification, or the prospective applicant may take such

 

19  the examination as may be developed and given by the administrator,

 

20  if any.

 

21        (c) An examination shall be given at places and times

 

22  determined by the administrator.

 

23        (d) The results of an examination are not final until approved

 

24  by the administrator. The administrator shall forward the results

 

25  of an examination to the applicant or to the applicant's authorized

 

26  representative.

 

27        Sec. 13. (1) If a person an individual is unable to obtain a


 1  certificate as a specialty or master mechanic as provided in under

 

 2  this act, and that person individual desires to become a specialty

 

 3  or master mechanic, he or she may make application apply for a

 

 4  mechanic trainee permit on the a form prescribed or approved by the

 

 5  administrator. The administrator shall issue or approve a mechanic

 

 6  trainee permit to an applicant who qualifies under the rules

 

 7  promulgated for that purpose. A person

 

 8        (2) If an individual is unable to renew a specialty

 

 9  certification as a mechanic in the area of automobile and light

 

10  truck engine tune-up and performance, automobile and light truck

 

11  electrical systems, or automobile and light truck brakes and

 

12  braking systems because he or she does not meet the requirements of

 

13  section 11(3)(a), (b), or (c), he or she may apply for a mechanic

 

14  trainee permit, on a form prescribed or approved by the

 

15  administrator, if he or she meets all legal requirements for the

 

16  permit and was not issued a mechanic trainee permit by the

 

17  administrator in the 3-year period before the administrator

 

18  receives his or her application for the mechanic trainee permit

 

19  under this subsection.

 

20        (3) All of the following apply to a mechanic trainee described

 

21  in this section:

 

22        (a) An individual who qualifies as a mechanic trainee may

 

23  retain that status for a period of not more than 2 years.

 

24        (b) A mechanic trainee who is employed by a motor vehicle

 

25  repair facility shall be is required to work under the direct

 

26  supervision of a specialty or master mechanic during the full time

 

27  of his or her employment.


 1        (c) The administrator shall by rule establish and operate a

 

 2  mechanic trainee training program designed to provide the training

 

 3  necessary to become certified under this act. Instead of

 

 4  establishing and operating the program, the administrator may

 

 5  appoint schools, academies, or other similar establishments select

 

 6  1 or more approved educational institutions to engage in mechanic

 

 7  trainee training. if those establishments, schools, or academies

 

 8  meet the criteria established by the administrator, after

 

 9  consultation with the department of education and the United States

 

10  department of labor, bureau of apprenticeship and training. The

 

11  establishments may be designated by the administrator to engage in

 

12  a continuing education and training program for specialty and

 

13  master mechanics.

 

14        Sec. 13a. (1) The administrator shall evaluate and may approve

 

15  a school, academy, or other similar establishment that intends to

 

16  provide training to mechanics or mechanic trainees under this act.

 

17        (2) All of the following apply to the approval of a school,

 

18  academy, or similar establishment by the administrator under

 

19  subsection (1):

 

20        (a) An establishment seeking approval shall submit an

 

21  application for approval to the administrator. The administrator

 

22  shall determine the form and content of the application. The

 

23  application shall include supporting materials required by the

 

24  administrator.

 

25        (b) The administrator shall review an application and

 

26  supporting materials submitted under subdivision (a) and shall

 

27  approve, deny approval of, or withdraw approval from the training


 1  program offered to mechanics and mechanic trainees by the

 

 2  establishment.

 

 3        (c) In evaluating an establishment for approval, the

 

 4  administrator shall consider all of the following factors:

 

 5        (i) Accreditation or lack of accreditation by a recognized

 

 6  accreditation agency.

 

 7        (ii) Quantity and quality of classroom training provided.

 

 8        (iii) Course objectives.

 

 9        (iv) Number, quality, and age of tools, equipment, and

 

10  materials made available to students.

 

11        (v) Percentage of class time spent in hands-on training.

 

12        (vi) Qualifications of instructors and other staff.

 

13        (vii) Quality, quantity, and accessibility of records

 

14  maintained by the establishment.

 

15        (viii) Class size and location.

 

16        (ix) Quality of testing administered.

 

17        (x) Other related factors the administrator considers

 

18  relevant.

 

19        (3) The administrator may contract with approved educational

 

20  institutions to provide training or testing required under this

 

21  act.

 

22        Sec. 13b. (1) A certified specialty or master mechanic shall

 

23  display, in a conspicuous location in the place of business where

 

24  he or she is employed or engaged to perform repairs, a current and

 

25  valid certificate issued by the administrator.

 

26        (2) If a certified mechanic works on, inspects and approves,

 

27  or supervises a repair, he or she shall affix his or her name and


 1  certification number, as assigned by the administrator, to the

 

 2  written statement of repairs given the customer under section 34.

 

 3        (3) A certified specialty or master mechanic or mechanic

 

 4  trainee shall not depart from, or disregard in any material

 

 5  respect, accepted motor vehicle repair industry standards.

 

 6  Compliance with published vehicle manufacturer, parts manufacturer,

 

 7  equipment manufacturer, or recognized aftermarket repair manual

 

 8  specifications creates a presumption that the mechanic or mechanic

 

 9  trainee has followed accepted motor vehicle repair industry

 

10  standards.

 

11        (4) If the administrator, after notice and a hearing,

 

12  determines that a specialty or master mechanic or mechanic trainee

 

13  has violated subsection (3), the administrator may, under section

 

14  21, require that the specialty or master mechanic or mechanic

 

15  trainee do both of the following:

 

16        (a) Successfully complete a designated training course or

 

17  program as a prerequisite to continued certification.

 

18        (b) Only perform specific motor vehicle repairs or repair

 

19  procedures identified by the administrator until the training

 

20  course or program described in subdivision (a) is completed.

 

21        Sec. 14. A The owner of a motor vehicle repair facility shall

 

22  be registered by the owner register the facility by providing all

 

23  of the following information to the administrator, on a

 

24  registration form provided by the administrator, which shall

 

25  disclose the following information:accompanied by a registration

 

26  fee in an amount determined under section 30:

 

27        (a) The name, address, and form of ownership of the facility,


 1  and for if the owner is a corporation, the date and place of

 

 2  incorporation.

 

 3        (b) The name and address of each of its the owner's resident

 

 4  agents, officers, directors, and partners in the this state, as

 

 5  applicable.

 

 6        (c) The principal occupation or business for the past 5 years

 

 7  of every officer, director, and partner, and each owner of 10% or

 

 8  more of the facility, and any person occupying a similar status or

 

 9  performing similar functions.all of the following, as applicable:

 

10        (i) Each person that owns 10% or more of the facility.

 

11        (ii) For each owner described in subparagraph (i), every

 

12  officer and director if the owner is a corporation; every partner

 

13  if the owner is a partnership; and any other person that occupies a

 

14  similar status or performs similar functions.

 

15        (d) A description of the repair facility to be registered as

 

16  specified by rule.that includes all of the following:

 

17        (i) The type of service business the facility operates.

 

18        (ii) The type of repairs the facility performs.

 

19        (iii) The type of vehicles the facility services.

 

20        (iv) The number of mechanics the facility employs who perform

 

21  repairs.

 

22        (v) The range of gross revenue received by the facility from

 

23  performing repairs, including revenue from parts and goods sold in

 

24  conjunction with repairs, for the most recent federal income tax

 

25  year.

 

26        (vi) Measured in square feet, the size of that part of the

 

27  facility utilized for performing repairs.


 1        (e) An irrevocable appointment of the secretary of state as

 

 2  the agent for the facility for service of process.

 

 3        (f) A copy of the documents, instruments, forms, contracts, or

 

 4  other papers known to be each instrument, form, contract, or other

 

 5  document used by the applicant in dealing with the public in the

 

 6  repair of motor vehicles, as specified by rule.including, but not

 

 7  limited to, all of the following:

 

 8        (i) Any document on which the facility routinely requires the

 

 9  customer's signature.

 

10        (ii) Any document used by the facility in connection with

 

11  providing estimates, diagnoses, or repairs.

 

12        (iii) Any invoices, warranties, or waivers.

 

13        (iv) Any other document used by the facility to comply with

 

14  this act or rules promulgated under this act.

 

15        (g) Other Any other relevant information as required by the

 

16  administrator. shall require.

 

17        Sec. 15. (1) A motor vehicle repair facility registration

 

18  under this act takes effect on the date it is approved by the

 

19  administrator and expires 1 year after that date. The owner of a

 

20  motor vehicle repair facility shall renew its registration annually

 

21  and shall submit an application for renewal of the registration,

 

22  accompanied by a registration fee in an amount determined under

 

23  section 30, with the administrator at least 30 days before the

 

24  expiration of its then-current registration.

 

25        (2) A motor vehicle repair facility may continue to operate

 

26  after the expiration date of its then-current registration, pending

 

27  approval of the renewal application by the administrator, if the


 1  renewal application and renewal fee are received by the

 

 2  administrator on or before the expiration date. If a renewal

 

 3  application and renewal fee are filed after the expiration date,

 

 4  the facility may operate from the day on which the application and

 

 5  appropriate fee are received by the administrator, pending approval

 

 6  of the renewal application. The administrator shall charge a fee of

 

 7  1-1/2 times the normal registration fee if the renewal application

 

 8  is received by the administrator after the expiration date.

 

 9        (3) A business maintaining person that owns more than 1 motor

 

10  vehicle repair facility shall file a single registration form for

 

11  all of those facilities annually, which that along with the other

 

12  information required by under this act, clearly indicates the

 

13  location of and the individual in charge of each facility, . Fees

 

14  shall be paid separately for each location.and shall pay a separate

 

15  registration fee for each of those facilities.

 

16        Sec. 16. (1) If there is a change in ownership of a motor

 

17  vehicle repair facility, a new registration and payment of a new

 

18  registration fee is required and the facility shall not operate

 

19  until its registration application is approved by the administrator

 

20  and the fee is paid. If a name or address of the motor vehicle

 

21  repair facility changes, not involving a change of ownership, and

 

22  there is not a change of ownership, the facility shall notify the

 

23  administrator in writing of the change . Appropriate and shall make

 

24  the appropriate changes should be made on the next renewal

 

25  registration when due.

 

26        (2) If the owner of a motor vehicle repair facility is a

 

27  corporation, and 10% or more of the stock of the corporation is


 1  sold or transferred, the owner shall notify the administrator of

 

 2  that change within 30 days of the sale or transfer.

 

 3        (3) As used in this section, "change of ownership" means a

 

 4  sale of all or part of a facility to a new owner. The term includes

 

 5  a sale or transfer of a partnership interest in the owner of a

 

 6  facility if the owner is a partnership. The term does not include

 

 7  the sale or transfer of stock in the owner of a facility if the

 

 8  owner is a corporation.

 

 9        Sec. 17. (1) The owner of a facility that is registered

 

10  facility or a facility or is required to be registered register

 

11  under this act shall be ensure that the facility is open to

 

12  inspection by the administrator and other law enforcement officials

 

13  during reasonable business hours. During reasonable business hours,

 

14  the administrator and other law enforcement officials may make

 

15  periodic unannounced inspections of the premises, parts records,

 

16  and parts inventories of facilities.a facility.

 

17        (2) A person who hinders, obstructs, or otherwise prevents an

 

18  inspection is in violation of this act.shall not hinder, obstruct,

 

19  or otherwise prevent an inspection under this section or section 18

 

20  or 18a.

 

21        (3) As used in this section, "reasonable business hours"

 

22  includes any posted or advertised business hours of a facility.

 

23        Sec. 18. (1) A The owner of a motor vehicle repair facility

 

24  shall maintain reasonable business records as are required by rules

 

25  promulgated to carry out this act. The records shall be for the

 

26  facility and ensure that those records are open for reasonable

 

27  inspection by the administrator or other law enforcement officials.


 1  and shall be maintained by the facility for not less than 5

 

 2  years.As used in this subsection, "reasonable business records"

 

 3  includes those documents and records described in subsection (2)(a)

 

 4  to (c).

 

 5        (2) The owner of a motor vehicle repair facility shall retain

 

 6  the records of the facility for the following time periods:

 

 7        (a) The owner shall retain copies of each instrument, form,

 

 8  contract, or other document used in connection with a repair

 

 9  transaction, including, but not limited to, all of the following

 

10  for at least 1 year after completion of the repair transaction:

 

11        (i) Any document on which the facility required the customer's

 

12  signature.

 

13        (ii) Any document used by the facility in connection with

 

14  providing an estimate, diagnosis, or repair.

 

15        (iii) Any invoice, warranty, or waiver.

 

16        (iv) Any other document used by the facility to record or

 

17  convey the terms of the transaction.

 

18        (v) Any other document required under this act or rules

 

19  promulgated under this act in connection with a repair transaction.

 

20        (b) If a facility is advised by the administrator that he or

 

21  she has received a complaint about a repair transaction performed

 

22  by the facility, and the facility is under investigation by the

 

23  administrator, the owner shall retain records relating to the

 

24  transaction or otherwise relevant to the complaint until the date

 

25  the administrator advises the facility in writing that the

 

26  complaint is closed, or for 1 year after the completion of the

 

27  repair transaction, whichever is later.


 1        (c) If a repair transaction involves the assumption by the

 

 2  facility of an obligation extending beyond 1 year, the owner shall

 

 3  retain records or documents relating to that obligation for at

 

 4  least the term of the obligation.

 

 5        (d) For any other document or record than those described in

 

 6  subdivision (a), (b), or (c), the owner shall retain that document

 

 7  or record for at least 3 years.

 

 8        (3) (2) A facility that engages in vehicle body work shall

 

 9  maintain records in a form prescribed by the administrator. The

 

10  records shall contain the date of purchase or acquisition of each

 

11  distressed vehicle, a description of the vehicle, and the name and

 

12  address of the person from whom which the vehicle was acquired. If

 

13  the vehicle is sold, the record shall contain the date of sale and

 

14  the name and address of the purchaser. The record shall indicate

 

15  whether a certificate of title or salvage certificate of title was

 

16  obtained by the facility for the vehicle. In the case of If the

 

17  vehicle is a late model vehicle, the facility shall maintain a

 

18  record of the purchase or sale of each major component part

 

19  purchased or acquired shall be maintained by the facility for the

 

20  vehicle. The record shall contain the date of purchase or

 

21  acquisition of the part, a description of the part, the

 

22  identification number assigned to the part, and the name and

 

23  address of the person to or from whom which the part was purchased,

 

24  acquired, or sold. The

 

25        (4) A facility shall maintain or attach the record of the a

 

26  sale, purchase, or acquisition of a major component part shall be

 

27  maintained in or attached to a police book as described in section


 1  251 of the Michigan vehicle code, Act No. 300 of the Public Acts of

 

 2  1949, being section 257.251 of the Michigan Compiled Laws. The

 

 3  facility's 1949 PA 300, MCL 257.251. A facility shall make its

 

 4  police book and the its records of vehicle part sales, purchases,

 

 5  or acquisitions shall immediately be made immediately available for

 

 6  inspection by the administrator and other law enforcement officials

 

 7  after if a request for inspection is made.

 

 8        (5) (3) Nothing in this section shall This section does not

 

 9  authorize a facility to engage in the business of dealing in

 

10  vehicles or salvageable parts without a dealer's license under the

 

11  Michigan vehicle code, 1949 PA 300, MCL 257.1 to 257.923.

 

12        Sec. 19. In the event of loss, destruction, or mutilation of a

 

13  registration, certificate, or trainee permit, the person to whom

 

14  which it was issued may obtain a duplicate copy upon replacement by

 

15  furnishing satisfactory proof of the loss, destruction, or

 

16  mutilation and paying the fee as determined by rule.required under

 

17  section 30. An application for a replacement registration,

 

18  certificate, or trainee permit shall include all of the following

 

19  information:

 

20        (a) The name and address of the applicant.

 

21        (b) An explanation of the loss, destruction, or mutilation of

 

22  the original registration, certificate, or permit.

 

23        Sec. 20. (1) Registrations and certificates including mechanic

 

24  trainee permits shall be renewed as determined by rule.A

 

25  certification as a specialty or master mechanic under this act

 

26  takes effect on the date it is approved by the administrator and

 

27  expires 1 year after that date. A specialty or master mechanic may


 1  annually renew his or her certification by submitting an

 

 2  application for renewal, accompanied by the certification fee

 

 3  described in section 30, with the administrator on or before the

 

 4  expiration date of his or her then-current certification.

 

 5        (2) A mechanic may continue to function as a certified

 

 6  mechanic after the expiration date of his or her then-current

 

 7  certification, pending approval of the renewal application by the

 

 8  administrator, if the renewal application and renewal fee are

 

 9  received by the administrator on or before the expiration date. If

 

10  a renewal application and renewal fee are filed after the

 

11  expiration date, the mechanic may temporarily engage in repairs

 

12  without a certificate from the day on which the application and

 

13  appropriate fee are received by the administrator, pending approval

 

14  of the renewal application. The administrator shall charge a fee of

 

15  1-1/2 times the normal renewal fee if the renewal application is

 

16  received by the administrator after the expiration date.

 

17        Sec. 21. (1) If the administrator determines after notice and

 

18  a hearing that a person has violated this act or a rule promulgated

 

19  pursuant to it, or engaged in an unfair or deceptive method, act,

 

20  or practice, under this act, directly or through an agent or

 

21  employee, he or she may issue an order requiring the person to

 

22  cease and desist from the unlawful act or practice violation or to

 

23  take such an affirmative action as that in the judgment of the

 

24  administrator will would carry out the purposes of this act.

 

25        (2) If the department administrator makes a finding of fact in

 

26  writing that the public interest will be irreparably harmed by

 

27  delay in issuing an order, it he or she may issue a temporary cease


 1  and desist order. Prior to Before issuing the temporary cease and

 

 2  desist order, the administrator when possible by telephone or

 

 3  otherwise shall give notice of the proposal to issue a temporary

 

 4  cease and desist order to the facility. A temporary cease and

 

 5  desist order shall include in its terms a provision that upon on

 

 6  request the administrator shall hold a hearing shall be held within

 

 7  30 days to determine whether or not the order shall become

 

 8  permanent.

 

 9        Sec. 22. (1) The administrator may deny, suspend, or revoke a

 

10  registration, certificate, or mechanic trainee permit after notice

 

11  and opportunity for a hearing take any administrative action

 

12  described in subsection (2) if the administrator determines that

 

13  the a facility, mechanic, or trainee, did or a stockholder,

 

14  officer, director, or partner of a facility that is a corporation

 

15  or partnership, does 1 or more of the following:

 

16        (a) Engaged in a method, act, or practice that is unfair or

 

17  deceptive or made Makes an untrue statement of a material fact.

 

18        (b) Violated Violates this act or a rule promulgated under

 

19  this act.

 

20        (c) Violated Violates a condition of probation.

 

21        (d) Made Makes unnecessary repairs or repairs not authorized

 

22  by the customer.

 

23        (e) Refused Refuses to honor warranties made by a facility.

 

24        (f) Caused or allowed Causes or allows a customer to sign a

 

25  document in blank relating to the repair of a motor vehicle.

 

26        (g) Was Is enjoined by a court of competent jurisdiction from

 

27  engaging in the trade or business of repairing motor vehicles or


 1  from a violation of this act or a rule promulgated under this act.

 

 2        (h) If the applicant is a corporation or partnership, a

 

 3  stockholder, officer, director, or partner of the applicant was

 

 4  guilty of an act or omission that would be a cause for refusing,

 

 5  revoking, or suspending a license issued to the officer, director,

 

 6  or partner as an individual.

 

 7        (h) (i) Failed Fails to comply with the terms of a final cease

 

 8  and desist order.

 

 9        (i) (j) Was Is convicted of a violation of this act.

 

10        (j) (k) Used Uses the waiver of liability provision in an

 

11  attempt to evade this act.

 

12        (k) (l) Was Is convicted of a violation of Act No. 119 of the

 

13  Public Acts of 1986, being sections 257.1351 to 257.1355 of the

 

14  Michigan Compiled Laws.1986 PA 119, MCL 257.1351 to 257.1355.

 

15        (l) (m) Was Is convicted under section 413, 415, 535, 535a, or

 

16  536a of the Michigan penal code, Act No. 328 of the Public Acts of

 

17  1931, being sections 750.413, 750.415, 750.535, 750.535a, and

 

18  750.536a of the Michigan Compiled Laws, 1931 PA 328, MCL 750.413,

 

19  750.415, 750.535, 750.535a, and 750.536a, or has been convicted in

 

20  another state of a violation of a law substantially corresponding

 

21  to 1 of those sections 413, 415, 535, 535a, 536, and 536a of the

 

22  Michigan penal code. , Act No. 328 of the Public Acts of 1931.

 

23        (2) After notice and opportunity for a hearing, the

 

24  administrator may do 1 or more of the following if he or she

 

25  determines that a facility, mechanic, or trainee, or a stockholder,

 

26  officer, director, or partner of a facility that is a corporation

 

27  or partnership, violates subsection (1):


 1        (a) Place a limitation on a registration, certificate, or

 

 2  mechanic trainee permit.

 

 3        (b) Suspend a registration, certificate, or mechanic trainee

 

 4  permit.

 

 5        (c) Deny a registration, certificate, or mechanic trainee

 

 6  permit or renewal of a registration, certificate, or mechanic

 

 7  trainee permit.

 

 8        (d) Revoke a registration, certificate, or mechanic trainee

 

 9  permit.

 

10        (e) Censure the person that holds a registration, certificate,

 

11  or mechanic trainee permit.

 

12        (3) As an alternative or in addition to administrative action

 

13  under subsection (2) for a violation or alleged violation of

 

14  subsection (1), the director may, by written agreement with a

 

15  person that holds a registration, certificate, or mechanic trainee

 

16  permit, place a registration, certificate, or mechanic trainee

 

17  permit on probation and include conditions of probation in the

 

18  agreement.

 

19        (4) The remedies and sanctions under this act are independent

 

20  and cumulative. The use of a remedy or sanction under this act,

 

21  including, but not limited to, administrative action by the

 

22  director under subsection (2) or an agreement for probation under

 

23  subsection (3), does not bar other lawful remedies and sanctions

 

24  against a person and does not limit a person's criminal or civil

 

25  liability under law.

 

26        Sec. 30. (1) The registration fee for the registration of a

 

27  facility shall be is determined by a sliding fee scale that is


 1  based upon on the gross annual revenue of the facility, as follows:

 

 

 2                                                            GROSS ANNUAL REVENUE       FEE

 3                                                       under $5,000.00................................                $  25.00

 4                                                       $5,001.00 to $15,000.00........................                          50.00

 5                                                       $15,001.00 to $25,000.00.......................                           75.00

 6                                                       $25,001.00 to $40,000.00.......................                          100.00

 7                                                       $40,001.00 to $60,000.00.......................                          125.00

 8                                                       $60,001.00 to $80,000.00.......................                          150.00

 9                                                       $80,001.00 to $100,000.00......................                          175.00

10                                                       $100,001.00 to 120,000.00......................                           200.00

11                                                       $120,001.00 to 140,000.00......................                           225.00

12                                                       $140,001.00 to $160,000.00.....................                           250.00

13                                                       $160,001.00 to $180,000.00.....................                           275.00

14                                                       $180,001.00 to $200,000.00.....................                           300.00

15                                                       $200,001.00 to $220,000.00.....................                           325.00

16                                                       $220,001.00 to $240,000.00.....................                           350.00

17                                                       $240,001.00 to $260,000.00.....................                           375.00

18                                                       $260,001.00 to $280,000.00.....................                           400.00

19                                                       $280,001.00 to $300,000.00.....................                           425.00

20                                                       $300,001.00 to $320,000.00.....................                           450.00

21                                                       $320,001.00 to $340,000.00.....................                           475.00

22                                                       over $340,000.00...............................                 500.00

 

 

23        (2) The certificate fee for the certification of specialty and

 

24  master mechanics and the permit fee of mechanic trainees shall be

 

25  set by rule.

 

26        (3) The fee for the renewal of the registration of a facility,

 


 1  certification of a specialty or master mechanic, including a permit

 

 2  of a mechanic trainee shall be set by rule. The effective length of

 

 3  original and renewal registrations, certificates, and permits shall

 

 4  be set by rule and shall not be less than 1 year in duration. The

 

 5  renewal fee for a registration, certificate, or permit that has

 

 6  expired shall be 1-1/2 times the fee for the renewal of a

 

 7  registration, certificate, or permit that has not expired.

 

 8        (2) The examination, application, certificate, and renewal

 

 9  fees for the certification of mechanics are as follows:

 

10        (a) Each certification examination administered by the

 

11  administrator, $6.00.

 

12        (b) Application for original certificate, $25.00. However, any

 

13  of the following may apply for an original specialty or master

 

14  mechanic certificate without paying a fee under this subdivision:

 

15        (i) An individual who is currently certified by the

 

16  administrator in at least 1 repair category may apply for

 

17  certification in 1 or more additional repair categories without

 

18  paying a fee under this subdivision.

 

19        (ii) A mechanic trainee who presents proof that he or she has

 

20  successfully completed 30 or more hours of continuing mechanic

 

21  education courses given by an approved educational institution

 

22  during the 5-year period immediately preceding the date the trainee

 

23  submits the application for certification.

 

24        (iii) An individual who served in the armed forces; was

 

25  separated from that service; and provides to the administrator a

 

26  form DD214, a form DD215, or any other form that is satisfactory to

 

27  the administrator that demonstrates that the individual was


 1  separated from that service, with an honorable character of service

 

 2  or under honorable conditions (general) character of service.

 

 3        (c) Application for renewal certificate, $20.00.

 

 4        (d) Replacement certificate, $5.00.

 

 5        (3) The permit fees for a mechanic trainee are as follows:

 

 6        (a) Application for a mechanic trainee permit, $20.00.

 

 7  However, either of the following may apply for a mechanic trainee

 

 8  permit without paying a fee under this subdivision:

 

 9        (i) An individual who is currently certified by the

 

10  administrator in at least 1 repair category.

 

11        (ii) A student who is currently enrolled in a vocational

 

12  education or special education program that includes employment by

 

13  a motor vehicle repair facility; that is approved by the department

 

14  of education; and for which the student receives credit toward the

 

15  award of a high school or special education diploma.

 

16        (b) Replacement of trainee permit, $5.00.

 

17        (4) As used in this section:

 

18        (a) "Armed forces" means that term as defined in section 2 of

 

19  the veteran right to employment services act, 1994 PA 39, MCL

 

20  35.1092.

 

21        (b) "Gross annual revenue" means a facility's gross revenue

 

22  from performing repairs, including parts and goods sold in

 

23  conjunction with repairs, in its most recently completed federal

 

24  income tax year, or, if the facility has not been in business for a

 

25  complete federal income tax year, the facility's reasonably

 

26  anticipated gross revenue for its first full federal income tax

 

27  year of operation.


 1        Sec. 32. (1) A Before beginning repair work, a motor vehicle

 

 2  repair facility shall give to the customer a written estimate ,

 

 3  itemizing that itemizes as closely as possible the price for labor

 

 4  and parts necessary for a specific job prior to the commencement of

 

 5  the work. A facility shall not charge for work done or parts

 

 6  supplied in excess of the estimated price, or in excess of the

 

 7  limit stated by the customer in the waiver provided for described

 

 8  in subsection (3), without the knowing written or oral consent of

 

 9  the customer, which shall be obtained at some time after it is

 

10  determined the facility determines that the estimated price or

 

11  stated limit is insufficient and before any work that is not

 

12  estimated or is in excess of the limit is done or the parts that

 

13  are not estimated or are in excess of the limit are supplied. If a

 

14  waiver is not signed as provided in under subsection (3) and the

 

15  estimated price is exceeded by not more than 10% or $10.00 $50.00,

 

16  whichever is lesser, the facility is not required to obtain the

 

17  written or oral consent of the customer for the excess charge need

 

18  not be obtained unless specifically requested by the customer. This

 

19  section shall not be construed as requiring a motor vehicle repair

 

20  facility, mechanic, or mechanic trainee to give a written estimated

 

21  price if he the facility, mechanic, or trainee agrees not to

 

22  perform the requested repair. If the actual cost of a repair is

 

23  less than the agreed upon on estimated cost, the customer shall pay

 

24  only the actual cost.

 

25        (2) If the a facility or mechanic informs the customer that

 

26  the price for repair will exceed the written estimate or the stated

 

27  limit in the waiver and the customer does not want the repair work


 1  performed, then the customer is liable responsible for all

 

 2  reasonable costs to return the vehicle to the condition it was when

 

 3  in at the time it entered the facility. These The facility shall

 

 4  indicate those costs should be indicated in written form, itemizing

 

 5  the costs as closely as possible with a copy given to the customer.

 

 6  The cost of a diagnosis to be made by the facility, whether or not

 

 7  the customer authorizes the facility to perform those repairs, to

 

 8  be performed, shall be contained included in the written estimate

 

 9  before the diagnosis is undertaken.

 

10        (3) If a customer initiates a request for service or parts for

 

11  the repair of a motor vehicle without receiving a written estimate

 

12  and voluntarily agrees to pay all reasonable costs of repair up to

 

13  an amount stated by the customer, a repair facility may obtain from

 

14  the customer a waiver of his or her right to receive a prior

 

15  estimate of repair costs. The waiver shall be in 14 point or larger

 

16  bold capital type face and executed with 1 copy to the customer who

 

17  is requesting the repairs. and The waiver shall read as follows:

 

18        "I, __________, voluntarily request authorize __________ to

 

19  provide services or parts in the repair of the below described

 

20  motor vehicle without receiving an estimate of repair costs. By

 

21  signing this form, I understand that I will give up my right to:

 

22        1. Receive a written estimate of the cost for repairs;

 

23        2. Approve in advance any repairs or costs with a total cost

 

24  under $ __________; and

 

25        3. Refuse to pay for repairs with a total cost less than the

 

26  amount stated above.

 

27        The facility may exceed the amount stated above only after I


 1  give my written or oral approval.

 

 2        Motor vehicle description:

 

 3        Customer signature _______________

 

 4        Date __________

 

 5        Time __________".

 

 6        (4) This waiver shall not be effective unless A waiver

 

 7  described in subsection (3) is not effective unless it is given by

 

 8  the customer voluntarily and with full knowledge of the

 

 9  implications of the waiver. A motor vehicle repair facility or

 

10  anyone in its employ shall not make use of the a waiver described

 

11  in subsection (3) in an attempt to evade this act.

 

12        (5) A motor vehicle repair facility shall at all times

 

13  display, in a place and manner conspicuous to its customers, a

 

14  current and valid certificate of repair facility registration

 

15  issued by the administrator.

 

16        (6) A motor vehicle repair facility shall include its

 

17  registration number, as assigned by the administrator, on each copy

 

18  of any instrument, form, contract, or other document used by the

 

19  applicant in dealing with the public in the repair of motor

 

20  vehicles, including, but not limited to, all of the following:

 

21        (a) Any document on which the facility routinely requires the

 

22  customer's signature.

 

23        (b) Any document used by the facility in connection with

 

24  providing estimates, diagnoses, or repairs.

 

25        (c) Any invoices, warranties, or waivers.

 

26        (d) Any other document used by the facility to comply with

 

27  this act or rules promulgated under this act.


 1        Sec. 32a. (1) A motor vehicle repair facility shall display a

 

 2  consumer information sign. The sign shall contain 11 lines of

 

 3  lettering worded substantially as follows:

 

 4  THIS ESTABLISHMENT IS REGISTERED WITH THE MICHIGAN DEPARTMENT OF

 

 5  STATE AND IS REQUIRED BY LAW TO FURNISH A CUSTOMER WITH A:

 

 6  (1) WRITTEN ESTIMATE IF REPAIRS WILL BE $50 OR MORE OR ON REQUEST

 

 7  IF REPAIRS WILL BE LESS THAN $50.

 

 8  (2) DETAILED STATEMENT OF LABOR AND PARTS SUPPLIED. QUESTIONS

 

 9  REGARDING SERVICE WORK SHOULD BE DIRECTED FIRST TO THE MANAGER OF

 

10  THIS REPAIR FACILITY.

 

11  MICHIGAN DEPARTMENT OF STATE

 

12  P.O. BOX ________, LANSING, MI 489____

 

13  TOLL-FREE TELEPHONE: 800 _________________

 

14  MON.-FRI., 8:30 A.M. - 4:30 P.M.

 

15        (2) All of the following apply to a sign required under

 

16  subsection (1):

 

17        (a) It shall be rectangular in shape and at least 28 inches

 

18  high by 24 inches wide.

 

19        (b) It shall be constructed of durable material.

 

20        (c) The background of the sign shall be white.

 

21        (d) Print and other markings on the sign shall be black.

 

22        (e) The wording of the sign shall be printed in bold, block,

 

23  capital letters that are 1-inch high and 1/2-inch wide in lines 1,

 

24  2, 8, 9, and 10; 3/4-inch high and 1/2-inch wide in line 11; and

 

25  1/2-inch high and 3/8-inch wide in lines 3 to 7.

 

26        (f) The sign shall be laid out in a clearly legible fashion,

 

27  with the lettering arranged so that there is at least a 1/8-inch


 1  space between any 2 letters within a line and at least a 1/2-inch

 

 2  space between any 2 lines.

 

 3        (g) The sign shall include the address and telephone numbers

 

 4  of the department of state in lines 9 and 10, as provided by the

 

 5  administrator.

 

 6        (3) All of the following apply to the display of a sign

 

 7  required under subsection (1) by a motor vehicle repair facility:

 

 8        (a) The facility shall display the sign at each entrance to

 

 9  the facility and at each cashier station. As used in this

 

10  subsection, "entrance to the facility" means each location in or

 

11  about the facility where customer repair service orders are

 

12  initially executed.

 

13        (b) The facility shall ensure that the sign is unobstructed

 

14  and clearly and readily visible to customers.

 

15        (c) If the facility is not enclosed or is a mobile facility,

 

16  the facility shall ensure that it is placed in an area where it is

 

17  easily noticeable to customers who are transacting business with

 

18  the facility.

 

19        (4) The administrator may require that a facility replace any

 

20  sign that does not meet all of the requirements of this section or

 

21  is no longer readily legible, or that the facility reposition any

 

22  sign that is improperly displayed.

 

23        Sec. 33. (1) The administrator shall determine by rule the

 

24  time and manner in which the A motor vehicle repair facility shall

 

25  return replaced parts to the customer at the time of the completion

 

26  of the work. This requirement does not apply to parts exempted the

 

27  repair work is completed. All of the following apply to the


 1  obligation to return replaced parts under this subsection:

 

 2        (a) A facility is not required to return any of the following

 

 3  replaced parts to the customer:

 

 4        (i) Parts that are exempted from the return requirement by the

 

 5  administrator because of size, weight, or similar factors. from

 

 6  this requirement, and except for parts However, a facility shall

 

 7  not prevent a customer from removing any heavy or large part, by

 

 8  the customer's own means and at his or her expense.

 

 9        (ii) Subject to subsection (3), parts that the motor vehicle

 

10  repair facility or mechanic is required to return to the

 

11  manufacturer or distributor under a warranty or exchange

 

12  arrangement. If the parts must be returned to the manufacturer or

 

13  distributor, the facility or mechanic shall offer to show and upon

 

14  acceptance of the offer or upon request shall show the parts to the

 

15  customer upon completion of the work, except the facility shall not

 

16  be required to show a replacement part when a charge is not being

 

17  made for the replacement thereof.

 

18        (iii) For reasons of safety, a gasoline tank or any other

 

19  container-type part that was filled with or was otherwise in

 

20  appreciable contact with flammable fuels, unless that part is

 

21  rendered nonflammable.

 

22        (b) If any returned part presents an actual danger of

 

23  flammability or explosiveness, the facility shall clearly inform

 

24  the customer of that danger.

 

25        (c) When the repair work is completed, if requested by the

 

26  customer, the facility shall reasonably clean the replaced parts

 

27  that are to be returned or inspected by the customer. The facility


 1  shall place portable parts in a suitable container. The facility

 

 2  shall store any parts that it identifies as not portable in a

 

 3  suitable place in the facility for the customer's inspection.

 

 4        (d) If a facility charges a fee to a customer in connection

 

 5  with the return of replaced parts, the facility must disclose that

 

 6  fee to the customer in writing before the customer engages the

 

 7  facility to replace the part.

 

 8        (2) A customer shall be informed of his right to receive or

 

 9  see inspect replaced parts as provided in this section prior to the

 

10  customer executing any document or engaging before the customer

 

11  executes any document or engages the facility or mechanic for the

 

12  work. The information shall be given Subject to subsection (5), the

 

13  facility shall provide this information to the customer by

 

14  providing the following notice to the customer, printed or

 

15  displayed on the face of any contract, work order form, or sign, or

 

16  other document evidencing that evidences the engagement of the

 

17  facility or mechanic or by separate written document, in at least

 

18  12 point boldface type 12-point boldfaced letters that are at least

 

19  4 points larger that the principal size of the letters in that

 

20  document, or providing the notice in a separate written document in

 

21  at least 12-point, boldfaced, capital letters, as follows:

 

22        YOU ARE ENTITLED BY LAW TO THE RETURN OF ALL PARTS REPLACED,

 

23  EXCEPT THOSE WHICH ARE TOO HEAVY OR LARGE, AND THOSE REQUIRED TO BE

 

24  SENT BACK TO THE MANUFACTURER OR DISTRIBUTOR BECAUSE OF WARRANTY

 

25  WORK OR AN EXCHANGE AGREEMENT. YOU ARE ENTITLED TO INSPECT THE

 

26  PARTS WHICH CANNOT BE RETURNED TO YOU.

 

27        (3) If a facility is obligated to return a replaced part to


 1  the manufacturer or a distributor under a warranty agreement, or,

 

 2  subject to subsection (4), under an exchange agreement, the

 

 3  facility is not required to return that part to the customer.

 

 4  However, the facility or mechanic shall offer the customer an

 

 5  opportunity to inspect the replaced part. If the customer accepts

 

 6  the offer to inspect the part, or otherwise requests to inspect the

 

 7  part, the facility or mechanic shall allow the customer to inspect

 

 8  the part when the repair work is completed. A facility is not

 

 9  required to show a replacement part to a customer if the

 

10  replacement is made without charge to the customer.

 

11        (4) If replacement of a part is contingent on the facility

 

12  keeping the part under an exchange agreement, the facility shall

 

13  explain, in a manner understandable to the customer, the precise

 

14  terms of the exchange agreement, including if applicable a

 

15  disclosure of the price to the customer if he or she wishes to

 

16  reclaim the part. If a customer raises a question or dispute with

 

17  the facility within 2 business days after the delivery of the

 

18  repaired vehicle to the customer and the dispute involves an

 

19  exchange part for which the facility required the customer pay a

 

20  deposit in the amount of the facility's obligation, the facility

 

21  shall refund the deposit to the customer if he or she returns the

 

22  part to the facility.

 

23        (5) A facility that displays the notice described in

 

24  subsection (2) on a clearly legible sign with lettering at least 1

 

25  inch high, conspicuously displayed in the part of the facility

 

26  where customers routinely contract for repairs, is not required to

 

27  provide the notice to a customer in the form of a document


 1  described in subsection (2).

 

 2        (6) All of the following apply to the disposition of replaced

 

 3  parts that are not returned to the customer:

 

 4        (a) Unless subdivision (b) applies, the facility shall not

 

 5  dispose of the parts for at least 2 business days after the

 

 6  customer takes possession of the repaired vehicle, unless the

 

 7  customer has specifically authorized immediate disposition of the

 

 8  parts.

 

 9        (b) If a customer questions or disputes repairs performed by a

 

10  facility or the charges for those repairs within 2 days after the

 

11  customer takes possession of the repaired vehicle, the facility

 

12  shall not dispose of the replaced parts until the question or

 

13  dispute is resolved. If the dispute involves the replaced part, the

 

14  facility shall, in the presence of the customer, immediately affix

 

15  to the part a permanent mark sufficient to identify the part.

 

16        (7) If requested by a customer, a facility shall explain

 

17  exactly why a replaced part is defective or nonfunctional, or

 

18  otherwise why it was replaced.

 

19        (8) (3) The motor vehicle repair facility shall display a

 

20  clearly legible sign in a conspicuous place at the entrance of the

 

21  facility indicating that indicates that customers may make

 

22  inquiries concerning repair service or complaints may be made to

 

23  the administrator and shall contain states the address and

 

24  telephone number of the department.

 

25        Sec. 34a. Unless otherwise requested by the customer, the

 

26  requirement to furnish a written estimate shall under section 32

 

27  does not apply to repair work performed by a motor vehicle repair


 1  facility when if the total cost for services and parts is less than

 

 2  $20.00. Nothing in this, or any other $50.00. This section , shall

 

 3  cause any repair facility to fail does not apply to or limit a

 

 4  facility's obligation to furnish to the customer a final invoice

 

 5  for the repairs performed and the parts supplied.written statement

 

 6  under section 34 that includes the actual cost of repairs.

 

 7        Sec. 36. A facility that violates this act or who, in a course

 

 8  of dealing as set forth in this act or rules, engages in an unfair

 

 9  or deceptive method, act, or practice, is liable as provided in

 

10  this act, to a person who that suffers damage or injury as a result

 

11  thereof of that violation, in an amount equal to the damages plus

 

12  reasonable attorney fees and costs. If the damage or injury to the

 

13  person occurs as the result of a wilful and flagrant violation of

 

14  this act, the person shall recover double the damages plus

 

15  reasonable attorney fees and costs from the facility.

 

16        Sec. 39. The department shall promulgate the rules to

 

17  implement this act within 6 months after the effective date of this

 

18  act. The remaining portions of this act, except as provided in

 

19  section 5, shall become effective 6 months after the rules are

 

20  promulgated.R 257.101 to 257.173 of the Michigan administrative

 

21  code are rescinded.

 

22        Enacting section 1. This amendatory act takes effect 90 days

 

23  after the date it is enacted into law.