AUTO DEALERS:  CONSUMER FEES                                                         H.B. 5606 (S-1):

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

House Bill 5606 (Substitute S-1 as reported by the Committee of the Whole)

Sponsor:  Representative Aric Nesbitt

House Committee:  Commerce

Senate Committee:  Regulatory Reform

CONTENT

The bill would amend Public Act 118 of 1981, which regulates automobile dealer manufacturers and franchises, to prohibit a manufacturer from preventing, attempting to prevent, prohibiting, coercing, or attempting to coerce a new motor vehicle dealer from charging a consumer any documentary preparation fee that the dealer is allowed to charge under Michigan law.

The bill also specifies that Section 14 of the Act, which lists various prohibitions for manufacturers, would apply to a manufacturer that sold, serviced, displayed, or advertised its new motor vehicles in Michigan.

MCL 445.1574                                                         Legislative Analyst:  Patrick Affholter

FISCAL IMPACT

The bill would have no fiscal impact on State or local government.

Date Completed:  10-2-14                                                    Fiscal Analyst:  John Maxwell

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.