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                                                       PRINTER'S NO. 349

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 338 Session of 1989


        INTRODUCED BY MELLOW, WILLIAMS, JONES, LYNCH, STOUT, CORMAN,
           STAPLETON, STEWART, BODACK, MUSTO, ANDREZESKI, REGOLI,
           SALVATORE, ROSS, DAWIDA, AFFLERBACH, SHAFFER AND O'PAKE,
           JANUARY 30, 1989

        REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
           JANUARY 30, 1989

                                     AN ACT

     1  Amending the act of March 28, 1984 (P.L.150, No.28), entitled
     2     "An act relating to the rights of purchasers of defective new
     3     motor vehicles," providing for refunds by manufacturers for
     4     returned defective new motor vehicles.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  Section 5 of the act of March 28, 1984 (P.L.150,
     8  No.28), known as the Automobile Lemon Law, is amended to read:
     9  Section 5.  Manufacturer's duty for refund or replacement.
    10     If the manufacturer fails to repair or correct a
    11  nonconformity after a reasonable number of attempts, the
    12  manufacturer shall, at the option of the purchaser, replace the
    13  motor vehicle with a comparable motor vehicle of equal value or
    14  accept return of the vehicle from the purchaser and refund to
    15  the purchaser the full purchase price, including all collateral
    16  charges and sales tax imposed on the transaction, less a
    17  reasonable allowance for the purchaser's use of the vehicle not


     1  exceeding 10¢ per mile driven or 10% of the purchase price of
     2  the vehicle, whichever is less, subject to use tax. Refunds
     3  shall be made to the purchaser and lienholder, if any, as their
     4  interests may appear. A reasonable allowance for use shall be
     5  that amount directly attributable to use by the purchaser prior
     6  to his first report of the nonconformity to the manufacturer. In
     7  the event the consumer elects a refund, payment shall be made,
     8  and paperwork for a sales tax refund shall be filed with the
     9  Department of Revenue, within 30 days of such election. A
    10  consumer shall not be entitled to a refund or replacement if the
    11  nonconformity does not substantially impair the use, value or
    12  safety of the vehicle or the nonconformity is the result of
    13  abuse, neglect or modification or alteration of the motor
    14  vehicle by the purchaser.
    15     Section 2.  This act shall take effect in 90 days.










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