senate Bill S6872B

2011-2012 Legislative Session

Relates to the refund to a consumer of money from a used car dealer for failing to correct a malfunction or defect

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Archive: Last Bill Status - Passed Senate


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jun 21, 2012 referred to codes
delivered to assembly
passed senate
Jun 18, 2012 amended on third reading (t) 6872b
May 21, 2012 amended on third reading 6872a
May 02, 2012 advanced to third reading
May 01, 2012 2nd report cal.
Apr 30, 2012 1st report cal.615
Apr 02, 2012 referred to consumer protection

Votes

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Apr 30, 2012 - Consumer Protection committee Vote

S6872
8
1
committee
8
Aye
1
Nay
1
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show committee vote details

Committee Vote: Apr 30, 2012

nay (1)
aye wr (1)

Bill Amendments

Original
A
B (Active)
Original
A
B (Active)

S6872 - Details

See Assembly Version of this Bill:
A8250C
Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §198-b, Gen Bus L; amd §63, Exec L
Versions Introduced in Previous Legislative Sessions:
2009-2010: A4911
2011-2012: A893

S6872 - Summary

Establishes when a used car dealer has to refund a consumer his or her money for failing to correct a malfunction or defect as required by the warranty.

S6872 - Sponsor Memo

S6872 - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  6872

                            I N  S E N A T E

                              April 2, 2012
                               ___________

Introduced  by  Sen.  ZELDIN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Consumer Protection

AN ACT to amend the general business law, in relation to the refund to a
  consumer of money from a used car dealership for failing to correct  a
  malfunction or defect

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 1 of subdivision c of section 198-b of the gener-
al business law, as amended by chapter 444  of  the  laws  of  1989,  is
amended to read as follows:
  1. If the dealer or his agent fails to correct a malfunction or defect
as required by the warranty specified in this section which substantial-
ly  impairs  the value of the used motor vehicle to the consumer after a
reasonable period of time, the dealer shall accept return  of  the  used
motor  vehicle  from  the  consumer  and refund to the consumer the full
purchase price, or in the case of a lease  contract  all  payments  made
under  the  contract,  including  sales or compensating use tax, less AN
AMOUNT EQUAL TO TWENTY-FIVE CENTS PER MILE FOR EACH MILE  IN  EXCESS  OF
THE MILEAGE APPLICABLE TO THE VEHICLE CONTAINED IN SUBDIVISION B OF THIS
SECTION THAT THE VEHICLE HAS BEEN DRIVEN SINCE THE CONSUMER PURCHASED OR
LEASED  THE VEHICLE FROM THE DEALER, AND LESS a reasonable allowance for
any damage not attributable to normal wear or usage, and adjustment  for
any  modifications which either increase or decrease the market value of
the vehicle or of the lease  contract,  and  in  the  case  of  a  lease
contract,  shall cancel all further payments due from the consumer under
the lease contract. In determining the purchase price to be refunded  or
in  determining all payments made under a lease contract to be refunded,
the purchase price, or all payments made under a lease  contract,  shall
be  deemed  equal  to the sum of the actual cash difference paid for the
used motor vehicle, or for the  lease  contract,  plus,  if  the  dealer
elects  to not return any vehicles traded-in by the consumer, the whole-
sale value of any such traded-in vehicles as listed in the National Auto
Dealers Association Used Car Guide, or such other guide as may be speci-
fied in regulations promulgated by the commissioner of  motor  vehicles,
as adjusted for mileage, improvements, and any major physical or mechan-
ical defects in the traded-in vehicle at the time of trade-in. The deal-
er  selling  or  leasing  the  used  motor  vehicle shall deliver to the

S6872A - Details

See Assembly Version of this Bill:
A8250C
Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §198-b, Gen Bus L; amd §63, Exec L
Versions Introduced in Previous Legislative Sessions:
2009-2010: A4911
2011-2012: A893

S6872A - Summary

Establishes when a used car dealer has to refund a consumer his or her money for failing to correct a malfunction or defect as required by the warranty.

S6872A - Sponsor Memo

S6872A - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 6872--A
    Cal. No. 615

                            I N  S E N A T E

                              April 2, 2012
                               ___________

Introduced  by  Sen.  ZELDIN -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  reported  favorably  from  said committee, ordered to first and second
  report, ordered to a third reading,  amended  and  ordered  reprinted,
  retaining its place in the order of third reading

AN ACT to amend the general business law, in relation to the refund to a
  consumer  of money from a used car dealership for failing to correct a
  malfunction or defect

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 1 of subdivision c of section 198-b of the gener-
al  business  law,  as  amended  by  chapter 444 of the laws of 1989, is
amended and a new paragraph 5 is added to read as follows:
  1. If the dealer or his agent fails to correct a malfunction or defect
as required by the warranty specified in this section which substantial-
ly impairs the value of the used motor vehicle to the consumer  after  a
reasonable  period  of  time, the dealer shall accept return of the used
motor vehicle from the consumer and refund  to  the  consumer  the  full
purchase  price,  or  in  the case of a lease contract all payments made
under the contract, including sales or compensating  use  tax,  less  AN
AMOUNT  EQUAL  TO  A  MILAGE CREDIT, AS CALCULATED PURSUANT TO PARAGRAPH
FIVE OF THIS SUBDIVISION, FOR EACH MILE IN EXCESS OF THE MILEAGE  APPLI-
CABLE TO THE VEHICLE CONTAINED IN SUBDIVISION B OF THIS SECTION THAT THE
VEHICLE HAS BEEN DRIVEN SINCE THE CONSUMER PURCHASED OR LEASED THE VEHI-
CLE  FROM THE DEALER, AND LESS a reasonable allowance for any damage not
attributable to normal wear or usage, and adjustment for  any  modifica-
tions  which either increase or decrease the market value of the vehicle
or of the lease contract, and in the case of  a  lease  contract,  shall
cancel  all  further  payments  due  from  the  consumer under the lease
contract. In determining the purchase price to be refunded or in  deter-
mining  all  payments  made  under  a lease contract to be refunded, the
purchase price, or all payments made under a lease  contract,  shall  be
deemed  equal to the sum of the actual cash difference paid for the used
motor vehicle, or for the lease contract, plus, if the dealer elects  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

S6872B (ACTIVE) - Details

See Assembly Version of this Bill:
A8250C
Current Committee:
Law Section:
General Business Law
Laws Affected:
Amd §198-b, Gen Bus L; amd §63, Exec L
Versions Introduced in Previous Legislative Sessions:
2009-2010: A4911
2011-2012: A893

S6872B (ACTIVE) - Summary

Establishes when a used car dealer has to refund a consumer his or her money for failing to correct a malfunction or defect as required by the warranty.

S6872B (ACTIVE) - Sponsor Memo

S6872B (ACTIVE) - Bill Text download pdf

                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 6872--B
    Cal. No. 615

                            I N  S E N A T E

                              April 2, 2012
                               ___________

Introduced  by  Sen.  ZELDIN -- read twice and ordered printed, and when
  printed to be committed to the Committee  on  Consumer  Protection  --
  reported  favorably  from  said committee, ordered to first and second
  report, ordered to a third reading,  amended  and  ordered  reprinted,
  retaining its place in the order of third reading -- again amended and
  ordered reprinted, retaining its place in the order of third reading

AN  ACT  to  amend  the  general  business law and the executive law, in
  relation to the refund to a consumer of money from a used car  dealer-
  ship for failing to correct a malfunction or defect

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 1 of subdivision c of section 198-b of the gener-
al business law, as amended by chapter 444  of  the  laws  of  1989,  is
amended and a new paragraph 5 is added to read as follows:
  1. If the dealer or his agent fails to correct a malfunction or defect
as required by the warranty specified in this section which substantial-
ly  impairs  the value of the used motor vehicle to the consumer after a
reasonable period of time, the dealer shall accept return  of  the  used
motor  vehicle  from  the  consumer  and refund to the consumer the full
purchase price, or in the case of a lease  contract  all  payments  made
under  the  contract,  including  sales or compensating use tax, less AN
AMOUNT EQUAL TO A MILEAGE CREDIT ALLOWANCE AS CALCULATED PURSUANT TO THE
METHODS SET FORTH IN PARAGRAPH FIVE OF THIS SUBDIVISION, FOR  EACH  MILE
IN EXCESS OF THE WARRANTY MILEAGE APPLICABLE TO THE VEHICLE CONTAINED IN
SUBDIVISION B OF THIS SECTION THAT THE VEHICLE HAS BEEN DRIVEN SINCE THE
DATE OF DELIVERY OF SUCH VEHICLE BY THE DEALER TO THE CONSUMER, AND LESS
a reasonable allowance for any damage not attributable to normal wear or
usage,  and  adjustment  for  any modifications which either increase or
decrease the market value of the vehicle or of the lease  contract,  and
in  the  case of a lease contract, shall cancel all further payments due
from the consumer under the lease contract. In determining the  purchase
price  to  be refunded or in determining all payments made under a lease
contract to be refunded, the purchase price, or all payments made  under
a  lease  contract,  shall be deemed equal to the sum of the actual cash

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

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