June 8, 2006, Introduced by Reps. Hune and Gaffney and referred to the Committee on Insurance.
A bill to amend 1950 (Ex Sess) PA 27, entitled
"Motor vehicle sales finance act,"
by amending section 17 (MCL 492.117).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
17. (1) (a) In addition to the cost of insurance
premiums
and travel emergency benefits authorized in the preceding
section
of this act section 16, the seller of a motor vehicle
under an installment sale contract may require the buyer to pay
certain
other any of the following costs if
incurred in the sale
of
a motor vehicle under such the
contract: as follows:
(a) 1.
Fees, payable to the state of Michigan, incurred for
filing a lien or encumbrances on the certificate of title to a
motor vehicle sold under an installment sale contract or on any
collateral
security thereto taken to secure the buyer's
obligation under the contract.
(b) 2.
Fees, payable to a public official, for filing or
recording
and satisfying or releasing the an
installment sale
contract or any instruments securing the buyer's obligation under
the contract.
(c) 3.
Fees for notarization required in connection with
the
filing and recording or satisfying and releasing a mortgage,
judgment lien, or other encumbrance.
(2) (b)
The seller of a motor vehicle under an installment
sale contract may also contract with the buyer to pay, on behalf of
the
buyer, such other any of the following costs
incidental to
the sale of a motor vehicle and contracted for voluntarily by the
buyer: as
follows:
(a) Fees ,
payable to the state of Michigan, incurred
for
the purpose of registration of the motor vehicle and issuance or
transfer of registration plates.
(b) A fee incurred for the purpose of obtaining a certificate
of title.
(3) (c)
The foregoing costs described in this section may
be charged, contracted for, collected, or received by the seller
from the buyer independently of the installment sale contract, or
the
seller may extend credit to the buyer for the amount of such
those
costs and include such
that amount in the principal amount
financed under the installment sale contract.
(4) (d)
Such other costs Costs
described in this section and
paid
or payable by the buyer shall not exceed the amount which
that
the seller expends or intends to expend therefor
for those
costs. Any such costs which money that the seller has
collected
from
the buyer for costs described in
this section, or which
have
been
that is included in the buyer's obligation under the
installment
sale contract which are and is not disbursed by the
seller ,
as contemplated as the
parties agreed, shall be
immediately refunded or credited to the buyer.