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S.B. 199

             1     

PAYMENT TO DEALER FOR VEHICLE USE

             2     
2000 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: L. Alma Mansell

             5      AN ACT RELATING TO MOTOR VEHICLES; AMENDING PROVISIONS RELATED TO
             6      THE RETURN OF A MOTOR VEHICLE TO A DEALER UNDER CERTAIN
             7      CIRCUMSTANCES; AND PROVIDING CONDITIONS OF THE RETURN.
             8      This act affects sections of Utah Code Annotated 1953 as follows:
             9      AMENDS:
             10          41-3-403, as renumbered and amended by Chapter 234, Laws of Utah 1992
             11      Be it enacted by the Legislature of the state of Utah:
             12          Section 1. Section 41-3-403 is amended to read:
             13           41-3-403. Dealer noncompliance -- Rights of purchaser -- Penalties.
             14          (1) (a) [If] Except as provided under Subsection (4), if a dealer fails to comply with
             15      Subsection 41-3-301 (1), the purchaser may return the purchased motor vehicle to the dealer and
             16      receive a complete refund of all money and other consideration given for the purchase, including
             17      any motor vehicles or property traded in.
             18          (b) If the motor vehicle or property traded in has been sold by the dealer, he shall return
             19      to the purchaser the amount of money equivalent to the value of the motor vehicle or property as
             20      allowed toward the purchase.
             21          (c) Demand for the return may be made directly by the customer, his attorney, or the
             22      administrator.
             23          (d) Any loan payments or interest due between the sale date and the return date on either
             24      the motor vehicle purchased or a motor vehicle traded in, are the responsibility of the dealer.
             25          (2) Failure of a dealer to comply with this section:
             26          (a) is a violation of Subsection 41-3-301 (1);
             27          (b) is a ground for immediate dealer license suspension; and


             28          (c) allows the customer a cause of action against the dealer to recover all consideration
             29      owed under Subsection (1).
             30          (3) Motor vehicles returned under the provisions of this section are not considered to be
             31      sold for purposes of notice of sale under Subsection 41-3-301 (2) and for purposes of sales tax
             32      under Title 59, Chapter 12, Sales and Use Tax Act.
             33          (4) A dealer is not required to accept the return of a purchased motor vehicle under this
             34      section unless the purchaser:
             35          (a) returns the motor vehicle to the dealer within 180 days after the date of the purchase;
             36          (b) furnishes to the dealer a written odometer disclosure statement in accordance with
             37      Section 41-1a-902 ; and
             38          (c) pays the dealer an amount equal to the current standard mileage rate for the cost of
             39      operating a motor vehicle established by the federal Internal Revenue Service for each mile the
             40      motor vehicle was driven between the date the purchaser first acquired possession and the date
             41      when the purchaser returned the motor vehicle to the dealer.




Legislative Review Note
    as of 1-28-00 1:38 PM


A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel


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