Senate Bill sb1956e1

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    CS for SB 1956                                 First Engrossed



  1                      A bill to be entitled

  2         An act relating to motor vehicles; amending s.

  3         320.01, F.S.; conforming the length limitation

  4         for a motor home to that established in ch.

  5         316, F.S.; amending s. 320.699, revising

  6         provisions relating to administrative hearings;

  7         amending s. 681.115, F.S.; providing that a

  8         motor vehicle sales agreement that prohibits

  9         disclosure of its terms is void; providing

10         definitions; prohibiting certain unfair or

11         deceptive acts by such dealers; requiring the

12         trial court to consider certain information

13         when awarding attorney's fees; repealing s.

14         320.27(9)(n), F.S., relating to licensure

15         sanctions for dealers who fail to disclose

16         certain new vehicle damages to a purchaser;

17         providing an effective date.

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19  Be It Enacted by the Legislature of the State of Florida:

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21         Section 1.  Subsection (1) of section 320.01, Florida

22  Statutes, is amended to read:

23         320.01  Definitions, general.--As used in the Florida

24  Statutes, except as otherwise provided, the term:

25         (1)  "Motor vehicle" means:

26         (a)  An automobile, motorcycle, truck, trailer,

27  semitrailer, truck tractor and semitrailer combination, or any

28  other vehicle operated on the roads of this state, used to

29  transport persons or property, and propelled by power other

30  than muscular power, but the term does not include traction

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    CS for SB 1956                                 First Engrossed



  1  engines, road rollers, such vehicles as run only upon a track,

  2  bicycles, or mopeds.

  3         (b)  A recreational vehicle-type unit primarily

  4  designed as temporary living quarters for recreational,

  5  camping, or travel use, which either has its own motive power

  6  or is mounted on or drawn by another vehicle. Recreational

  7  vehicle-type units, when traveling on the public roadways of

  8  this state, must comply with the length and width provisions

  9  of s. 316.515, as that section may hereafter be amended. As

10  defined below, the basic entities are:

11         1.  The "travel trailer," which is a vehicular portable

12  unit, mounted on wheels, of such a size or weight as not to

13  require special highway movement permits when drawn by a

14  motorized vehicle. It is primarily designed and constructed to

15  provide temporary living quarters for recreational, camping,

16  or travel use. It has a body width of no more than 8 1/2  feet

17  and an overall body length of no more than 40 feet when

18  factory-equipped for the road.

19         2.  The "camping trailer," which is a vehicular

20  portable unit mounted on wheels and constructed with

21  collapsible partial sidewalls which fold for towing by another

22  vehicle and unfold at the campsite to provide temporary living

23  quarters for recreational, camping, or travel use.

24         3.  The "truck camper," which is a truck equipped with

25  a portable unit designed to be loaded onto, or affixed to, the

26  bed or chassis of the truck and constructed to provide

27  temporary living quarters for recreational, camping, or travel

28  use.

29         4.  The "motor home," which is a vehicular unit which

30  does not exceed the 40 feet in length, and the height, and the

31  width limitations provided in s. 316.515, is a self-propelled


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    CS for SB 1956                                 First Engrossed



  1  motor vehicle, and is primarily designed to provide temporary

  2  living quarters for recreational, camping, or travel use.

  3         5.  The "private motor coach," which is a vehicular

  4  unit which does not exceed the length, width, and height

  5  limitations provided in s. 316.515(9), is built on a

  6  self-propelled bus type chassis having no fewer than three

  7  load-bearing axles, and is primarily designed to provide

  8  temporary living quarters for recreational, camping, or travel

  9  use.

10         6.  The "van conversion," which is a vehicular unit

11  which does not exceed the length and width limitations

12  provided in s. 316.515, is built on a self-propelled motor

13  vehicle chassis, and is designed for recreation, camping, and

14  travel use.

15         7.  The "park trailer," which is a transportable unit

16  which has a body width not exceeding 14 feet and which is

17  built on a single chassis and is designed to provide seasonal

18  or temporary living quarters when connected to utilities

19  necessary for operation of installed fixtures and appliances.

20  The total area of the unit in a setup mode, when measured from

21  the exterior surface of the exterior stud walls at the level

22  of maximum dimensions, not including any bay window, does not

23  exceed 400 square feet when constructed to ANSI A-119.5

24  standards, and 500 square feet when constructed to United

25  States Department of Housing and Urban Development Standards.

26  The length of a park trailer means the distance from the

27  exterior of the front of the body (nearest to the drawbar and

28  coupling mechanism) to the exterior of the rear of the body

29  (at the opposite end of the body), including any protrusions.

30         8.  The "fifth-wheel trailer," which is a vehicular

31  unit mounted on wheels, designed to provide temporary living


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    CS for SB 1956                                 First Engrossed



  1  quarters for recreational, camping, or travel use, of such

  2  size or weight as not to require a special highway movement

  3  permit, of gross trailer area not to exceed 400 square feet in

  4  the setup mode, and designed to be towed by a motorized

  5  vehicle that contains a towing mechanism that is mounted above

  6  or forward of the tow vehicle's rear axle.

  7         Section 2.  Subsection (2) of section 320.699, Florida

  8  Statutes, is amended to read:

  9         320.699  Administrative hearings and adjudications;

10  procedure.--

11         (2)  If a written objection or notice of protest is

12  filed with the department under paragraph (1)(b), a hearing

13  shall be held within 180 days of the date of filing of the

14  first objection or notice of protest, unless the time is

15  extended by the Administrative Law Judge for good cause shown.

16  This subsection shall govern the schedule of hearings in lieu

17  of any other provision of law with respect to administrative

18  hearings conducted by the Department of Highway Safety and

19  Motor Vehicles or the Division of Administrative Hearings,

20  including performance standards of state agencies, which may

21  be included in current and future appropriations acts. hearing

22  officer for good cause shown.  If a hearing is not scheduled

23  within said time, any party may request such hearing which

24  shall be held forthwith by the hearing officer.

25         Section 3.  Section 681.115, Florida Statutes, is

26  amended to read:

27         681.115  Certain agreements void.--Any agreement

28  entered into by a consumer that waives, limits, or disclaims

29  the rights set forth in this chapter, or that requires a

30  consumer not to disclose the terms of such agreement as a

31  condition thereof, is void as contrary to public policy.  The


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  1  rights set forth in this chapter shall extend to a subsequent

  2  transferee of such motor vehicle.

  3         Section 4.  Definitions.--As used in this act, the

  4  term:

  5         (1)  "Customer" includes a customer's designated agent.

  6         (2)  "Dealer" means a motor vehicle dealer as defined

  7  in section 320.27, Florida Statutes, but does not include a

  8  motor vehicle auction as defined in section 320.27(1)(c)4.,

  9  Florida Statutes.

10         (3)  "Replacement item" means a tire, bumper, bumper

11  fascia, glass, in-dashboard equipment, seat or upholstery

12  cover or trim, exterior illumination unit, grill, sunroof,

13  external mirror and external body cladding. The replacement of

14  up to three of these items does not constitute repair of

15  damage if each item is replaced because of a product defect or

16  damaged due to vandalism while the new motor vehicle is under

17  the control of the dealer and the items are replaced with

18  original manufacturer equipment, unless an item is replaced

19  due to a crash, collision, or accident.

20         (4)  "Threshold amount" means 3 percent of the

21  manufacturer's suggested retail price of a motor vehicle or

22  $650, whichever is less.

23         (5)  "Vehicle" means any automobile, truck, bus,

24  recreational vehicle or motorcycle required to be licensed

25  under chapter 320, Florida Statutes, for operation over the

26  roads of Florida, but does not include trailers, mobile homes,

27  travel trailers or trailer coaches without independent motive

28  power.

29         Section 5.  It is an unfair or deceptive act or

30  practice, actionable under the Florida Deceptive and Unfair

31  Trade Practices Act, for a dealer to:


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  1         (1)  Represent directly or indirectly that a motor

  2  vehicle is a factory executive vehicle or executive vehicle

  3  unless such vehicle was purchased directly from the

  4  manufacturer or a subsidiary of the manufacturer and the

  5  vehicle was used exclusively by the manufacturer, its

  6  subsidiary, or a dealer for the commercial or personal use of

  7  the manufacturer's, subsidiary's, or dealer's employees.

  8         (2)  Represent directly or indirectly that a vehicle is

  9  a demonstrator unless the vehicle was driven by prospective

10  customers of a dealership selling the vehicle and such vehicle

11  complies with the definition of a demonstrator in section

12  320.60(3), Florida Statutes.

13         (3)  Represent the previous usage or status of a

14  vehicle to be something that it was not, or make usage or

15  status representations unless the dealer has correct

16  information regarding the history of the vehicle to support

17  the representations.

18         (4)  Represent the quality of care, regularity of

19  servicing, or general condition of a vehicle unless known by

20  the dealer to be true and supportable by material fact.

21         (5)  Represent orally or in writing that a particular

22  vehicle has not sustained structural or substantial skin

23  damage unless the statement is made in good faith and the

24  vehicle has been inspected by the dealer or his agent to

25  determine whether the vehicle has incurred such damage.

26         (6)  Sell a vehicle without fully and conspicuously

27  disclosing in writing at or before the consummation of sale

28  any warranty or guarantee terms, obligations, or conditions

29  that the dealer or manufacturer has given to the buyer. If the

30  warranty obligations are to be shared by the dealer and the

31  buyer, the method of determining the percentage of repair


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  1  costs to be assumed by each party must be disclosed. If the

  2  dealer intends to disclaim or limit any expressed or implied

  3  warranty, the disclaimer must be in writing in a conspicuous

  4  manner and in layman's terms in accordance with chapter 672,

  5  Florida Statutes, and the Magnuson-Moss Warranty - Federal

  6  Trade Commission Improvement Act.

  7         (7)  Provide an express or implied warranty and fail to

  8  honor such warranty unless properly disclaimed pursuant to

  9  subsection (6).

10         (8)  Misrepresent warranty coverage, application

11  period, or any warranty transfer cost or conditions to a

12  customer.

13         (9)  Obtain signatures from a customer on contracts

14  that are not fully completed at the time the customer signs or

15  which do not reflect accurately the negotiations and agreement

16  between the customer and the dealer.

17         (10)  Require or accept a deposit from a prospective

18  customer prior to entering into a binding contract for the

19  purchase and sale of a vehicle unless the customer is given a

20  written receipt that states how long the dealer will hold the

21  vehicle from other sale and the amount of the deposit, and

22  clearly and conspicuously states whether and upon what

23  conditions the deposit is refundable or nonrefundable.

24         (11)  Add to the cash price of a vehicle as defined in

25  section 520.02(2), Florida Statutes, any fee or charge other

26  than those provided in that section and in Rule 3D-50.001,

27  Florida Administrative Code. All fees or charges permitted to

28  be added to the cash price by Rule 3D-50.001, Florida

29  Administrative Code, must be fully disclosed to customers in

30  all binding contracts concerning the vehicle's selling price.

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  1         (12)  Alter or change the odometer mileage of a

  2  vehicle.

  3         (13)  Sell a vehicle without disclosing to the customer

  4  the actual year and model of the vehicle.

  5         (14)  File a lien against a new vehicle purchased with

  6  a check unless the dealer fully discloses to the purchaser

  7  that a lien will be filed if purchase is made by check and

  8  fully discloses to the buyer the procedures and cost to the

  9  buyer for gaining title to the vehicle after the lien is

10  filed.

11         (15)  Increase the price of the vehicle after having

12  accepted an order of purchase or a contract from a buyer,

13  notwithstanding subsequent receipt of an official price change

14  notification. The price of a vehicle may be increased after a

15  dealer accepts an order of purchase or a contract from a buyer

16  if:

17         (a)  A trade-in vehicle is reappraised because it

18  subsequently is damaged, or parts or accessories are removed;

19         (b)  The price increase is caused by the addition of

20  new equipment, as required by state or federal law;

21         (c)  The price increase is caused by the revaluation of

22  the U.S. dollar by the Federal Government, in the case of a

23  foreign-made vehicle;

24         (d)  The price increase is caused by state or federal

25  tax rate changes; or

26         (e)  Price protection is not provided by the

27  manufacturer, importer, or distributor.

28         (16)  Advertise the price of a vehicle unless the

29  vehicle is identified by year, make, model, and a commonly

30  accepted trade, brand, or style name. The advertised price

31  must include all fees or charges that the customer must pay,


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  1  including freight or destination charge, dealer preparation

  2  charge, and charges for undercoating or rustproofing. State

  3  and local taxes, tags, registration fees, and title fees,

  4  unless otherwise required by local law or standard, need not

  5  be disclosed in the advertisement. When two or more dealers

  6  advertise jointly, with or without participation of the

  7  franchiser, the advertised price need not include fees and

  8  charges that are variable among the individual dealers

  9  cooperating in the advertisement, but the nature of all

10  charges that are not included in the advertised price must be

11  disclosed in the advertisement.

12         (17)  Charge a customer for any pre-delivery service

13  required by the manufacturer, distributor, or importer for

14  which the dealer is reimbursed by the manufacturer,

15  distributor, or importer.

16         (18)  Charge a customer for any pre-delivery service

17  without having printed on all documents that include a line

18  item for pre-delivery service the following disclosure: "This

19  charge represents costs and profit to the dealer for items

20  such as inspecting, cleaning, and adjusting vehicles, and

21  preparing documents related to the sale."

22         (19)  Add an additional charge for pre-delivery service

23  other than those shown on a conspicuous label attached to the

24  window of the vehicle specifying any charges for pre-delivery

25  services and describing the charges as pre-delivery services,

26  delivery and handling, dealer preparation, or in similar terms

27  the dealer's charge for each dealer-installed option, and a

28  total price line.

29         (20)  Fail to disclose damage to a new motor vehicle,

30  as defined in subsection 319.001(4), Florida Statutes, of

31  which the dealer had actual knowledge, if the dealer's actual


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  1  cost of repairs exceeds the threshold amount, excluding

  2  replacement items.

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  4  In any civil litigation resulting from a violation of this

  5  section, when evaluating the reasonableness of an award of

  6  attorney's fees to a private person, the trial court shall

  7  consider the amount of actual damages in relation to the time

  8  spent.

  9         Section 6.  Paragraph (n) of subsection (9) of section

10  320.27, Florida Statutes, is repealed.

11         Section 7.  This act applies to any vehicle sold after

12  October 1, 2001.

13         Section 8.  This act shall take effect October 1, 2001.

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