HB 4549

HOUSE BILL NO. 4549
A bill to amend 1974 PA 300,
entitled
"Motor vehicle service and repair act,"
by amending sections 2, 13b, 14, 15, 16, 17, 18, 30,
32, 32a, 33, and 40 (MCL 257.1302, 257.1313b, 257.1314, 257.1315, 257.1316,
257.1317, 257.1318, 257.1330, 257.1332, 257.1332a, 257.1333, and 257.1340),
section 2 as amended by 2020 PA 227 and sections 13b and 32a as added and
sections 14, 15, 16, 17, 18, 30, 32, and 33 as amended by 2016 PA 430, and by
adding section 30a.
the people of the state of michigan enact:
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Sec. 2. As used in this act:
(a) "Administrator"
means the secretary of state or any individual designated by the secretary of
state to act in his or her place.on behalf of the secretary of state.
(b) "Advertise"
means to advise, announce, apprise, command, give notice of, inform, make
known, or publish any material that calls to the attention of the public the
availability of parts and services.
(c) "Approved
educational institution" means a school, academy, or other similar
establishment approved by the administrator under section 13a to provide
training to mechanics or mechanical trainees under this act.
(d) "Automobile
or light truck" means a motor vehicle that has a gross vehicle weight
rating of less than 14,000 pounds.
(e) "Auxiliary facility" means a motor vehicle repair facility
that meets the requirements of section 14(3).
(f) (e) "BAIID
mechanic" means a specialty mechanic who holds a certification from the
department under section 10 to perform BAIID service.
(g) (f) "BAIID
service" means the installation, removal, repair, or other servicing of
breath alcohol ignition interlock devices.
(h) (g) "Breath
alcohol ignition interlock device" or "BAIID" means that term as
defined in section 20d of the Michigan vehicle code, 1949 PA 300, MCL 257.20d.
(i) (h) "Contract"
means a written or oral agreement, or a similar understanding or arrangement,
in which a person agrees that another person will perform work, labor,
diagnosis, repair, reconditioning, replacement, adjustment, or alteration,
directly or
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indirectly,
on a motor vehicle.
(j) (i) "Customer"
means the owner or operator of a motor vehicle.
(k) (j) "Department"
means the department of state.
(l) (k) "Distressed vehicle" means that
term as defined in section 12a of the Michigan vehicle code, 1949 PA 300, MCL
257.12a.
(m) "Established place of business" means the premises
occupied continuously or at regular periods by a facility where that facility
maintains records.
(n) (l) "Estimate" means a written statement that itemizes
as closely as possible the price for labor, by showing the labor price per
hour, the number of hours required to perform the work, and the price of parts
necessary for a specific repair.
(o) (m) "Facility"
or "motor vehicle repair facility" means a place of business that is
required to register under this act, except for a
motor vehicle repair facility that is an auxiliary facility, and that,
for compensation, is engaged in the business of performing, or employs
individuals who perform, maintenance, diagnosis, vehicle body work, or repair service, or , beginning July 1, 2016, BAIID service, on a
motor vehicle. The term does Facility and motor vehicle repair facility do not
include any of the following:
(i) A person that engages only in the
business of repairing the motor vehicles of a single commercial or industrial
establishment or governmental agency.
(ii) An individual who is repairing his or her the
individual's own or a family member's motor vehicle.
(iii) A business that does not diagnose the
operation of a motor vehicle, does not remove parts from a motor vehicle to be
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remachined,
and does not install finished machined or remachined parts on a motor vehicle.
This subparagraph does not apply to a motor vehicle repair facility that
engages in the business of performing, or employing individuals who perform,
vehicle body work.
(iv) A BAIID facility described in section
625k(14)(d) of the Michigan vehicle code, 1949 PA 300, MCL 257.625k.
(p) (n) "Heavy-duty
truck" means a motor vehicle that has a gross vehicle weight rating of
14,000 pounds or more and includes both single-unit and combination tractor
trailer or tractor semitrailer vehicles.
(q) (o) "Late
model vehicle" means that term as defined in section 24b of the Michigan
vehicle code, 1949 PA 300, MCL 257.24b.
(r) (p) "Lien"
means a security interest in or other encumbrance on a motor vehicle . The term and includes a security interest created by
agreement, a judicial lien obtained by legal or equitable process or
proceedings, a common-law lien, or a statutory lien on a vehicle.
Sec.
13b. (1) A certified specialty or master mechanic shall display, in a
conspicuous location in the place of business where
he or she motor vehicle repair facility where
the certified specialty or master mechanic is employed or engaged to
perform repairs, a current and valid certificate issued by the administrator. A certified specialty or master mechanic who works at an auxiliary
facility does not need to display in the auxiliary facility a current and valid
certificate issued by the administrator.
(2) If a certified
mechanic works on, inspects and approves, or supervises a repair, he or she the certified
mechanic shall
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affix
his or her the
certified mechanic's name and certification number, as assigned by the
administrator, to the written statement of repairs given to the customer under section 34.
(3) A certified
specialty or master mechanic or mechanic trainee shall not depart from, or
disregard in any material respect, accepted motor vehicle repair industry
standards. Compliance with published vehicle manufacturer, parts manufacturer,
equipment manufacturer, or recognized aftermarket repair manual specifications
creates a presumption that the mechanic or mechanic trainee has followed
accepted motor vehicle repair industry standards.
(4) If the
administrator, after notice and a hearing, determines that a specialty or
master mechanic or mechanic trainee has violated subsection (3), the administrator
may, under section 21, require that the specialty or master mechanic or
mechanic trainee do both of the following:
(a) Successfully
complete a designated training course or program as a prerequisite to continued
certification.
(b) Only perform Perform only
specific motor vehicle repairs or repair procedures identified by the
administrator until the training course or program described in subdivision (a)
is completed.
Sec. 14. (1) The Except for an
auxiliary facility, the owner of a motor vehicle repair facility shall
register the facility by providing all of the following information to the
administrator, on a registration form provided by the administrator,
accompanied by a registration fee in an amount determined under section 30:
(a) The name , address, and
form of ownership of the facility, and if the owner is a corporation, the date
and place of
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incorporation.
(b) For applicants that apply on or after January 1, 2026, the location
of the applicant's established place of business in this state, along with
written verification from the appropriate municipal governing body or zoning
authority that states that the applicant's established place of business meets
all applicable municipal and zoning requirements.
(c) (b) The
name and address of each of the owner's resident agents, officers, directors,
and partners in this state, as applicable.
(d) (c) The
principal occupation or business for the past 5 years of all of the following,
as applicable:
(i) Each person that owns 10% 25% or more of
the facility.
(ii) For each owner described in subparagraph
(i),
every officer and director if the owner is a corporation; every partner if the
owner is a partnership; and any other person that occupies a similar status or
performs similar functions.
(e) (d) A
description of the facility that includes all of the following information:
(i) The type of service business the
facility operates.
(ii) The type of repairs the facility
performs.
(iii) The type of vehicles the facility
services.
(iv) The number of mechanics the facility
employs who perform repairs.
(v) The Subject to subdivision (f), the range of gross
revenue received by the facility from performing repairs, including revenue
from parts and goods sold in conjunction with repairs, for the most recent
federal income tax year.
(vi) Measured in square feet, the size of that part of the
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space within the facility utilized
used for performing repairs.
(f) Unless the applicant's gross revenue exceeds $300,000.00, proof of
the facility's gross revenue provided under subdivision (e)(v), if requested by the administrator.
(g) (e) An
irrevocable appointment of the secretary of state as the agent for the facility
for service of process.
(h) (f) A
copy of each instrument, form, contract, or other document used by the
applicant in dealing connection with the public
in the repair of motor vehicles for the public,
including, but not limited to, all of the following:
(i) Any document on which the facility
routinely requires the a customer's signature.
(ii) Any document used by the facility in
connection with providing estimates, diagnoses, or repairs.
(iii) Any invoices, warranties, or waivers.
(iv) Any other document used by the facility
to comply with this act or rules promulgated under this act.
(i) If applicable, any auxiliary facilities that will share the same
registration and registration number as the facility that the owner is
registering.
(j) (g) Any
other relevant information required by the administrator.
(2) Subject
to this section, the owner of a motor vehicle repair facility that is
registered under subsection (1) may be approved for a single, auxiliary
facility under the same registration and registration number as the facility
registered under subsection (1) if the owner of that motor vehicle repair
facility submits an application for an auxiliary facility to the department,
along with written verification from the appropriate
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municipal governing body or zoning authority that states
that the auxiliary facility meets all applicable municipal and zoning
requirements. The application for an auxiliary facility must be in a format as
determined by the administrator.
(3) An
auxiliary facility must meet all of the following requirements:
(a) Be
located within a 1-mile radius of the motor vehicle repair facility described
under subsection (2).
(b) Serve
as an extension of the motor vehicle repair facility described under subsection
(2).
(c) Mirror the
registered facility's hours of operation, types of vehicles serviced, and
repairs performed.
(d) Rely on
the established place of business of the motor vehicle repair facility
described under subsection (2) for all in-person customer interactions
including, but not limited to, customer drop off and pick up of vehicles,
payment for services rendered, invoice generation, and other documents shared
with a customer.
(e) Not
perform any repairs that are not approved, directed, or initiated by and
through the motor vehicle repair facility described under subsection (2).
(4) Upon
receiving an application for an auxiliary facility under subsection (2), the
administrator shall review the compliance history of the registered motor
vehicle repair facility and may, if the registered motor
vehicle repair facility has any of the following, deny the application or
revoke the approval of the application:
(a) Two or
more unresolved violations involving customer parts retention.
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(b) Two or more
unresolved violations for failing to maintain records.
(c) An
unresolved violation for hindering or obstructing a general compliance
inspection or a consumer complaint inspection.
(5) An
auxiliary facility does not need any of the following:
(a) A
registration certificate with a separate registration number from the facility with which the auxiliary facility shares a registration.
(b) An
exterior sign that identifies the business.
(c) Any
customer instrument, form, contract, written statement, or other document
required under section 32(6) or section 34 that is distinct from the
instruments, forms, contracts, written statements, or other documents used by
the facility with which the auxiliary facility shares a registration.
(d) A
consumer information sign.
(e) A
notice of parts return sign.
Sec. 15. (1) A motor vehicle repair
facility registration under this act takes effect on the date it the registration is
approved by the administrator and expires 1 year after that date. The Except as otherwise
provided in subsection (4), the owner of a motor vehicle repair facility
shall renew its the
facility's registration annually and shall submit an application for
renewal of the registration, accompanied by a registration fee in an amount
determined under section 30, with the administrator at least not later than 30
days before the expiration of its the facility's then-current registration.
(2) A motor vehicle
repair facility may continue to operate after the expiration date of its the facility's then-current
registration, pending approval of the renewal application by the
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administrator,
if the renewal application and renewal fee are received by the administrator on
or before the expiration date. If a renewal application and renewal fee are
filed after the expiration date, the facility may operate from the day on which
the application and appropriate fee are received by the administrator, pending
approval of the renewal application. The administrator shall charge a fee of
1-1/2 times the normal registration fee for each year
the license is expired if the renewal application is received by the
administrator after the expiration date.
(3) A person that
owns more than 1 motor vehicle repair facility shall file a single registration
form for all of those facilities annually, that along with the other
information required under this act, clearly indicates the location of and the
individual in charge of each facility, and shall pay a separate registration
fee, except for a facility that is an auxiliary
facility, for each of those facilities.
(4) An
owner of a motor vehicle repair facility with a gross revenue that exceeds
$300,000.00 may renew the facility's registration for more than 1 year but not
more than 4 years if the owner submits an application for renewal to the
administrator accompanied by a registration fee in an amount determined under
section 30(4).
Sec. 16. (1) If there is a change in of ownership of
a motor vehicle repair facility, a new registration and payment of a new
registration fee is required and the facility shall not operate until its the facility's registration application is
approved by the administrator and the fee is paid. If a name or and address of the a motor
vehicle repair facility changes , and there is not a change of ownership, the
facility shall notify the administrator in
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writing
of the change and shall make the appropriate
changes on the next renewal registration when due.by completing and submitting the repair facility change of
address notification. If an address of a motor vehicle repair facility changes,
the facility shall submit a written verification from the appropriate municipal
governing body or zoning authority that states that the established place of
business and, if applicable, any auxiliary facility, meet all applicable
municipal and zoning requirements.
(2) If the owner of
a motor vehicle repair facility is a corporation, and 10% 25% or more of
the stock of the corporation is sold or transferred, the owner shall notify the
administrator of that change within not later than 30 days of
after the sale or transfer.
(3) As used in this
section, "change of ownership" means a sale of all or part of a
facility to a new owner, . The term includes including
a sale or transfer of a partnership interest in the owner of a facility
if the owner is a partnership. The term Change of ownership does not include the sale or
transfer of stock in the owner of a facility if the owner is a corporation.
Sec. 17. (1) The owner of a facility that
is registered or is required to register under this act shall ensure that the
facility is and, if applicable, any auxiliary facilities are open
to inspection by the administrator and other law enforcement officials during
reasonable business hours. During reasonable business hours, the administrator
and other law enforcement officials may make periodic unannounced inspections
of the premises, parts records, and parts inventories of a facility or auxiliary facility.
(2) A person shall
not hinder, obstruct, or otherwise prevent an inspection under this section or
section 18 or 18a.
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(3) As
used in this section, "reasonable business hours" includes any posted
or advertised business hours of a facility.
Sec. 18. (1) The owner of a motor vehicle
repair facility shall maintain reasonable business records for the facility and, if applicable, any auxiliary facilities and
ensure that those records are open for reasonable inspection by the
administrator or other law enforcement officials. As used in this subsection,
"reasonable business records" includes those documents and records
described in subsection (2)(a) to (c).
(2) The owner of a
motor vehicle repair facility shall retain the records of the facility and, if applicable, any auxiliary facilities for the
following time periods:
(a) The owner shall
retain copies of each instrument, form, contract, or other document used in
connection with a repair transaction, including, but not limited to, all of the
following for at least 3 years after completion of the repair transaction:
(i) Any document on which the facility
required the customer's signature.
(ii) Any document used by the facility in
connection with providing an estimate, diagnosis, or repair.
(iii) Any invoice, warranty, or waiver.
(iv) Any other document used by the facility
to record or convey the terms of the transaction.
(v) Any other document required under this
act or rules promulgated under this act in connection with a repair
transaction.
(b) If a facility
is advised by the administrator that he or she the administrator has received a complaint about a
repair transaction performed by the facility, and the facility is under
investigation by the administrator, the owner shall retain records
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relating
to the transaction or otherwise relevant to the complaint until the date the
administrator advises the facility in writing that the complaint is closed, or
for 3 years after the completion of the repair transaction, whichever is later.
(c) If a repair
transaction involves the assumption by the facility of an obligation extending beyond for more
than 3 years, the owner shall retain records or documents relating to
that obligation for at least not less than the term of the obligation.
(d) For any other
document or record than those described in subdivision (a), (b), or (c), the
owner shall retain that document or record for at
least not less than 3 years.
(e) Business records for an auxiliary facility must be stored at the
facility with which the auxiliary facility shares a registration.
(3) A facility that
engages in vehicle body work shall maintain records in a form prescribed by the
administrator. The records shall must contain the date of purchase or acquisition of
each distressed vehicle, a description of the vehicle, and the name and address
of the person from which the vehicle was acquired. If the vehicle is sold, the
record shall must contain
the date of sale and the name and address of the purchaser. The record shall must indicate
whether a certificate of title or salvage certificate of title was obtained by
the facility for the vehicle. If the vehicle is a late model vehicle, the
facility shall maintain a record of the purchase or sale of each major
component part purchased or acquired by the facility for the vehicle. The
record shall must contain
the date of purchase or acquisition of the part, a description of the part, the
identification number assigned to the part, and the name and address of the
person to or from which the
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part
was purchased, acquired, or sold.
(4) A facility
shall maintain or attach the record of a sale, purchase, or acquisition of a
major component part to a police book described in section 251 of the Michigan
vehicle code, 1949 PA 300, MCL 257.251. A facility shall make its the facility's police
book and its the
facility's records of vehicle part sales, purchases, or acquisitions
immediately available for inspection by the administrator and other law
enforcement officials if a request for inspection is made.
(5) This section
does not authorize a facility to engage in the business of dealing in vehicles
or salvageable parts without a dealer's license under the Michigan vehicle
code, 1949 PA 300, MCL 257.1 to 257.923.
Sec. 30. (1) The nonrefundable
registration fee for the registration of a facility is determined by a
sliding fee scale that is based on the gross annual revenue of the facility, as
follows:
GROSS ANNUAL REVENUE
FEE
under $5,000.00$50,000.00.................................
$
25.00100.00
$5,001.00 $50,000.00 to $15,000.00$100,000.00................................
50.00200.00
$15,001.00 $100,001.00 to $25,000.00$200,000.00................................
75.00300.00
$25,001.00 $200,001.00 to $40,000.00$300,000.00................................
100.00400.00
$40,001.00 to $60,000.00over
  $300,000.00 ............
125.00500.00
$60,001.00 to
  $80,000.00..................................
150.00
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$80,001.00 to
  $100,000.00.................................
175.00
$100,001.00 to
  $120,000.00................................
200.00
$120,001.00 to
  $140,000.00................................
225.00
$140,001.00 to $160,000.00................................
250.00
$160,001.00 to
  $180,000.00................................
275.00
$180,001.00 to
  $200,000.00................................
300.00
$200,001.00 to
  $220,000.00................................
325.00
$220,001.00 to
  $240,000.00................................
350.00
$240,001.00 to
  $260,000.00................................
375.00
$260,001.00 to
  $280,000.00................................
400.00
$280,001.00 to $300,000.00................................
425.00
$300,001.00 to
  $320,000.00................................
450.00
$320,001.00 to
  $340,000.00................................
475.00
over $340,000.00..........................................
500.00
(2) The nonrefundable examination, application, certificate,
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and
renewal fees for the certification of mechanics are as follows:
(a) Each
certification examination administered by the administrator, $6.00.$18.00.
Notwithstanding the requirements of section 40, the department shall deposit
$12.00 of each $18.00 certification examination fee the department receives
into the mechanic certification examination fund created under section 30a.
(b) Application for
original certificate, $25.00. However, any of the following may apply for an
original specialty or master mechanic certificate without paying a fee under
this subdivision:
(i) An individual who is currently certified
by the administrator in at least 1 repair category may apply for certification
in 1 or more additional repair categories without paying a fee under this
subdivision.
(ii) A mechanic trainee who presents proof
that he or she the
trainee has successfully completed 30 or more hours of continuing
mechanic education courses given by an approved educational institution during
the 5-year period immediately preceding the date the trainee submits the
application for certification.
(iii) An individual who served in the armed
forces; was separated from that service; and provides to the administrator a
form DD214, a form DD215, or any other form that is satisfactory to the
administrator that demonstrates that the individual was separated from that
service, with an honorable character of service or under honorable conditions
(general) character of service.
(c) Application for
renewal certificate, $20.00.
(d) Replacement
certificate, $5.00.
(3) The permit fees
for a mechanic trainee are as follows:
(a) Application for
a mechanic trainee permit, $20.00. However, either of the following may apply
for a mechanic trainee
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permit
without paying a fee under this subdivision:
(i) An individual who is currently certified
by the administrator in at least 1 repair category.
(ii) A student who is currently enrolled in a
vocational education or special education program that includes employment by a
motor vehicle repair facility; that is approved by the department of education;
and for which the student receives credit toward the award of a high school or
special education diploma.
(b) Replacement of
trainee permit, $5.00.
(4) The fee for a multiyear registration described under section 15(4)
is the applicable fee under subsection (1) multiplied by the number of years
the registration is renewed.
(5) (4) As
used in this section, :
(a) "Armed forces" means that term as defined in
section 2 of the veteran right to employment services act, 1994 PA 39, MCL
35.1092.
(b) "Gross "gross annual revenue" means a facility's
gross revenue from performing repairs, including parts and goods sold in
conjunction with repairs, in its the facility's most recently completed federal income
tax year, or, if the facility has not been in business for a complete federal
income tax year, the facility's reasonably anticipated gross revenue for its the facility's first
full federal income tax year of operation.
Sec. 30a. (1) The
mechanic certification examination fund is created in the state treasury.
(2) The state treasurer shall deposit money and other assets received
from any other source into the fund. The state treasurer shall direct the
investment of money in the fund and credit interest and earnings from the
investments to the fund.
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(3) The department of state is the administrator of the fund for audits
of the fund.
(4) The department of state shall expend money from the fund, on
appropriation, only for 1 or more of the following purposes:
(a) To develop and update the content of the mechanic certification
examination.
(b) To administer the mechanic certification examination.
Sec. 32. (1) Before beginning repair work,
a motor vehicle repair facility shall give to the customer a written estimate
that itemizes as closely as possible the price for labor and parts necessary
for the work. A facility shall not charge for work done or parts supplied in
excess of the estimated price, or in excess of the limit stated by the customer
in the waiver described in subsection (3), without the knowing written or oral
consent of the customer, obtained at some time after the facility determines that
the estimated price or stated limit is insufficient and before any work that is
not estimated or is in excess of the limit is done or the parts that are not
estimated or are in excess of the limit are supplied. If a waiver is not signed
under subsection (3) and the estimated price is exceeded by not more than 10%
or $50.00, whichever is lesser, the facility is not required to obtain the
written or oral consent of the customer for the excess charge unless
specifically requested by the customer. This section shall must not be
construed as requiring a motor vehicle repair facility, mechanic, or mechanic
trainee to give a written estimated price if the facility, mechanic, or trainee
agrees not to perform the requested repair. If the actual cost of a repair is
less than the agreed on estimated cost, the customer shall pay only the actual
cost.
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(2) If a facility
or mechanic informs the customer that the price for repair will exceed the
written estimate or the stated limit in the waiver and the customer does not
want the repair work performed, the customer is responsible for all reasonable
costs to return the vehicle to the condition it the vehicle was in at the time it the vehicle entered
the facility. The facility shall indicate those costs in written form,
itemizing the costs as closely as possible with a copy given to the customer.
The cost of a diagnosis made by the facility, whether or not the customer
authorizes the facility to perform those repairs, shall
must be included in the written estimate
before the diagnosis is undertaken.
(3) If a customer
initiates a request for service or parts for the repair of a motor vehicle
without receiving a written estimate and voluntarily agrees to pay all
reasonable costs of repair up to an amount stated by the customer, a facility
may obtain from the customer a waiver of his or her
the customer's right to receive a prior
estimate of repair costs. The waiver shall must be in 14 point or larger bold capital type face
and executed with 1 copy to the customer who is requesting the repairs. The
waiver shall must read
as follows:
"I,
__________, voluntarily authorize __________ to provide services or parts in
the repair of the below described motor vehicle without receiving an estimate
of repair costs. By signing this form, I understand that I will give up my
right to:
1. Receive a
written estimate of the cost for repairs;
2. Approve in
advance any repairs or costs with a total cost under $ __________; and
3. Refuse to pay
for repairs with a total cost less than the
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amount
stated above.
The facility may
exceed the amount stated above only after I give my written or oral approval.
Motor vehicle
description:
Customer signature
_______________
Date __________
Time
__________".
(4) A waiver
described in subsection (3) is not effective unless it the waiver is
given by the customer voluntarily and with full knowledge of the implications
of the waiver. A motor vehicle repair facility or anyone in its the facility's employ
shall not make use of a waiver described in subsection (3) in an attempt to
evade this act.
(5) A Except for a motor vehicle repair facility that is an
auxiliary facility, a motor vehicle repair facility shall at all
times display, in a place and manner conspicuous to its the facility's customers,
a current and valid certificate of repair facility registration issued by the
administrator.
(6) A motor vehicle
repair facility shall include its the facility's registration number, as assigned by
the administrator, on each copy of any instrument, form, contract, or other
document used by the applicant in dealing with the public in the repair of
motor vehicles, including, but not limited to, all of the following:
(a) Any document on
which the facility routinely requires the customer's signature.
(b) Any document
used by the facility in connection with providing estimates, diagnoses, or
repairs.
(c) Any invoices,
warranties, or waivers.
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(d) Any other
document used by the facility to comply with this act or rules promulgated
under this act.
Sec.
32a. (1) A motor vehicle repair facility shall display a consumer information
sign. The sign shall must contain 12 lines of lettering worded
substantially as follows:
"THIS
ESTABLISHMENT IS REGISTERED WITH THE MICHIGAN DEPARTMENT OF STATE AND IS
REQUIRED BY LAW TO FURNISH A CUSTOMER WITH A:
(1) WRITTEN
ESTIMATE IF REPAIRS WILL BE $50 OR MORE OR ON REQUEST IF REPAIRS WILL BE LESS
THAN $50.
(2) DETAILED
STATEMENT OF LABOR AND PARTS SUPPLIED. QUESTIONS REGARDING SERVICE WORK SHOULD
BE DIRECTED FIRST TO THE MANAGER OF THIS REPAIR FACILITY.
MICHIGAN DEPARTMENT
OF STATE
P.O. BOX ________,
LANSING, MI 489____
TOLL-FREE
TELEPHONE: 800 _________________
MON.-FRI., 8:30
A.M. - 4:30 P.M.
DEPARTMENT OF STATE
WEBSITE: _____________."
(2) All of the
following apply to a sign required under subsection (1):
(a) It shall must be
rectangular in shape and at least not less than 28 inches high by 24 inches wide.
(b) It shall must be
constructed of durable material.
(c) The background
of the sign shall must
be white.
(d) Print and other
markings on the sign shall must be black.
(e) The wording of
the sign shall must
be printed in bold, block, capital letters that are 1-inch 1 inch high
and 1/2-inch 1/2
inch wide in lines 1, 2, 8, 9, 10, and 12; 3/4-inch
3/4 inch high and 1/2-inch 1/2 inch wide
in line 11; and 1/2-inch 1/2 inch high and 3/8-inch
3/8 inch wide in lines 3 to 7.
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(f) The sign shall must be laid
out in a clearly legible fashion, with the lettering arranged so that there is at least not less than a
1/8-inch space between any 2 letters within a line and at least not less than a
1/2-inch space between any 2 lines.
(g) The sign shall must include
the address, telephone numbers, and Internet website
address of the department in lines 9, 10, and 12, as provided by the
administrator.
(3) All of the
following apply to the display of a sign required under subsection (1) by a
motor vehicle repair facility:
(a) The facility
shall display the sign at each entrance to the facility and at each cashier
station. As used in this subsection and section 33(8),
"entrance to the facility" means each location in or about the
facility where customer repair service orders are initially executed.
(b) The facility
shall ensure that the sign is unobstructed and clearly and readily visible to
customers.
(c) If the facility
is not enclosed or is a mobile facility, the facility shall ensure that it the sign is
placed in an area where it the sign is easily noticeable to customers who are
transacting business with the facility.
(4) The
administrator may require that a facility replace any sign that does not meet
all of the requirements of this section or is no longer readily legible, or
that the facility reposition any sign that is improperly displayed.
Sec. 33. (1) A motor vehicle repair
facility shall return replaced parts to the customer at the time the repair
work is completed. All of the following apply to the obligation to return
replaced parts under this subsection:
(a) A facility is
not required to return any of the following
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replaced
parts to the customer:
(i) Parts that are exempted from the return
requirement by the administrator because of size, weight, or similar factors.
However, a facility shall not prevent a customer from removing any heavy or
large part, by the customer's own means and at his
or her the customer's expense.
(ii) Subject to subsection (3), parts that
the motor vehicle repair facility or mechanic is required to return to the
manufacturer or distributor under a warranty or exchange arrangement.
(iii) For reasons of safety, a gasoline tank
or any other container-type part that was filled with or was otherwise in
appreciable contact with flammable fuels, unless that part is rendered
nonflammable.
(b) If any returned
part presents an actual danger of flammability or explosiveness, the facility
shall clearly inform the customer of that danger.
(c) When the repair
work is completed, if requested by the customer, the facility shall reasonably
clean the replaced parts that are to be returned or inspected by the customer.
The facility shall place portable parts in a suitable container. The facility
shall store any parts that it the facility identifies as not portable in a suitable
place in the facility for the customer's inspection.
(d) If a facility
charges a fee to a customer in connection with the return of replaced parts,
the facility must shall
disclose that fee to the customer in writing before the customer engages
the facility to replace the part.
(2) A customer shall must be
informed of his the
customer's
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right
to receive or inspect replaced parts as provided in this section before the
customer executes any document or engages the facility or mechanic for the
work. Subject to subsection (5), the facility shall provide this information to
the customer by providing the following notice to the customer, printed or
displayed on the face of any contract, work order form, or other document that
evidences the engagement of the facility or mechanic in at least not less than 12-point
boldfaced letters that are at least not less than 4 points larger that the principal size
of the letters in that document, or providing the notice in a separate written
document in at least not less than 12-point, boldfaced, capital letters,
as follows:
"YOU
ARE ENTITLED BY LAW TO THE RETURN OF ALL PARTS REPLACED, EXCEPT THOSE WHICH ARE
TOO HEAVY OR LARGE, AND THOSE REQUIRED TO BE SENT BACK TO THE MANUFACTURER OR
DISTRIBUTOR BECAUSE OF WARRANTY WORK OR AN EXCHANGE AGREEMENT. YOU ARE ENTITLED
TO INSPECT THE PARTS WHICH CANNOT BE RETURNED TO YOU."
(3) If a facility
is obligated to return a replaced part to the manufacturer or a distributor
under a warranty agreement, or, subject to subsection (4), under an exchange
agreement, the facility is not required to return that part to the customer.
However, the facility or mechanic shall offer the customer an opportunity to
inspect the replaced part. If the customer accepts the offer to inspect the
part, or otherwise requests to inspect the part, the facility or mechanic shall
allow the customer to inspect the part when the repair work is completed. A
facility is not required to show a replacement part to a customer if the
replacement is made without charge to the customer.
(4) If replacement
of a part is contingent on the facility
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keeping
the part under an exchange agreement, the facility shall explain, in a manner
understandable to the customer, the precise terms of the exchange agreement,
including if applicable a disclosure of the price to the customer if he or she the customer wishes
to reclaim the part. If a customer raises a question or dispute with the
facility within not
later than 2 business days after the delivery of the repaired vehicle to
the customer and the dispute involves an exchange part for which the facility
required the customer pay a deposit in the amount of the facility's obligation,
the facility shall refund the deposit to the customer if he or she the customer returns
the part to the facility.
(5) A facility that
displays the notice described in subsection (2) on a clearly legible sign with
lettering at least not
less than 1 inch high, conspicuously displayed in the part of the
facility where customers routinely contract for repairs, is not required to
provide the notice to a customer in the form of a document described in
subsection (2).
(6) All of the
following apply to the disposition of replaced parts that are not returned to
the customer:
(a) Unless
subdivision (b) applies, the facility shall not
dispose of keep the parts for at least not less than 2
business days after the customer takes possession of the repaired vehicle,
unless the customer has specifically authorized immediate disposition of the
parts.
(b) If a customer
questions or disputes repairs performed by a facility or the charges for those
repairs within not
later than 2 days after the customer takes possession of the repaired
vehicle, the facility shall not dispose of keep the replaced parts until the question or dispute
is resolved. If the dispute involves the
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replaced
part, the facility shall, in the presence of the customer, immediately affix to
the part a permanent mark sufficient to identify the part.
(7) If requested by
a customer, a facility shall explain exactly why a replaced part is defective
or nonfunctional, or otherwise why it the part was replaced.
(8) The motor
vehicle repair facility shall display a clearly legible sign in a conspicuous
place at the entrance of to the facility that indicates that customers may
make inquiries concerning repair service or complaints to the administrator and
states the address and telephone number of the department.
Sec. 40. The Except as otherwise provided in section 30(2)(a), the fees
collected pursuant to under this act shall be are credited to the general fund of the this state.
Enacting section 1.
This amendatory act takes effect on January 1, 2026.