815
ILCS
380/1
Sec.
1.
This
Act
shall
be
known
and
may be
cited
as the
New
Vehicle
Buyer
Protection
Act.
(Source:
P.A.
85-1350.)
815
ILCS
380/2
Sec.
2.
Definitions.
For
the
purposes
of
this
Act,
the
following
words
have
the
meanings
ascribed
to
them
in
this
Section.
(a)
"Consumer"
means
an
individual
who
purchases
or
leases
for a
period
of at
least
one
year
a
new
vehicle
from
the
seller
for
the
purposes
of
transporting
himself
and
others,
as
well
as
their
personal
property,
for
primarily
personal,
household
or
family
purposes.
(b)
"Express
warranty"
has
the
same
meaning,
for
the
purposes
of
this
Act,
as it
has
for
the
purposes
of the
Uniform
Commercial
Code.
(c)
"New
vehicle"
means
a
passenger
car,
as
defined
in
Section
1-157
of The
Illinois
Vehicle
Code,
a
motor
vehicle
of
the
Second
Division
having
a
weight
of
under
8,000
pounds,
as
defined
in
Section
1-146
of
that
Code,
and a
recreational
vehicle,
except
for
a
camping
trailer
or
travel
trailer
that
does
not
qualify
under
the
definition
of
a used
motor
vehicle,
as set
forth
in
Section
1-216
of
that
Code.
(d)
"Nonconformity"
refers
to a
new
vehicle's
failure
to
conform
to
all
express
warranties
applicable
to
such
vehicle,
which
failure
substantially
impairs
the
use,
market
value
or
safety
of
that
vehicle.
(e)
"Seller"
means
the
manufacturer
of
a
new
vehicle,
that
manufacturer's
agent
or
distributor
or
that
manufacturer's
authorized
dealer.
"Seller"
also
means,
with
respect
to a
new
vehicle
which
is
also
a
modified
vehicle,
as
defined
in
Section
1-144.1
of
The
Illinois
Vehicle
Code,
as now
or
hereafter
amended,
the
person
who
modified
the
vehicle
and
that
person's
agent
or
distributor
or
that
person's
authorized
dealer.
"Seller"
also
means,
with
respect
to
leased
new
vehicles,
the
manufacturer,
that
manufacturer's
agent
or
distributor
or
that
manufacturer's
dealer,
who
transfers
the
right
to
possession
and
use of
goods
under
a
lease.
(f)
"Statutory
warranty
period"
means
the
period
of one
year
or
12,000
miles,
whichever
occurs
first
after
the
date
of the
delivery
of a
new
vehicle
to the
consumer
who
purchased
or
leased
it.
(g)
"Lease
cost"
includes
deposits,
fees,
taxes,
down
payments,
periodic
payments,
and
any
other
amount
paid
to a
seller
by a
consumer
in
connection
with
the
lease
of a
new
vehicle.
(Source:
P.A.
89-375,
eff.
8-18-95.)
815
ILCS
380/3
Sec.
3.
Failure
of
vehicle
to
conform;
remedies;
presumptions.
(a)
If
after
a
reasonable
number
of
attempts
the
seller
is
unable
to
conform
the
new
vehicle
to any
of its
applicable
express
warranties,
the
manufacturer
shall
either
provide
the
consumer
with a
new
vehicle
of
like
model
line,
if
available,
or
otherwise
a
comparable
motor
vehicle
as
a
replacement,
or
accept
the
return
of the
vehicle
from
the
consumer
and
refund
to the
consumer
the
full
purchase
price
or
lease
cost
of
the
new
vehicle,
including
all
collateral
charges,
less
a
reasonable
allowance
for
consumer
use
of
the
vehicle.
For
purposes
of
this
Section,
"collateral
charges"
does
not
include
taxes
paid
by
the
purchaser
on the
initial
purchase
of the
new
vehicle.
The
retailer
who
initially
sold
the
vehicle
may
file a
claim
for
credit
for
taxes
paid
pursuant
to
the
terms
of
Sections
6, 6a,
6b,
and 6c
of the
Retailers'
Occupation
Tax
Act.
Should
the
vehicle
be
converted,
modified
or
altered
in
a
way
other
than
the
manufacturer's
original
design,
the
party
which
performed
the
conversion
or
modification
shall
be
liable
under
the
provisions
of
this
Act,
provided
the
part
or
parts
causing
the
vehicle
not
to
perform
according
to
its
warranty
were
altered
or
modified.
(b)
A
presumption
that a
reasonable
number
of
attempts
have
been
undertaken
to
conform
a
new
vehicle
to its
express
warranties
shall
arise
where,
within
the
statutory
warranty
period,
(1)
the
same
nonconformity
has
been
subject
to
repair
by
the
seller,
its
agents
or
authorized
dealers
during
the
statutory
warranty
period,
4 or
more
times,
and
such
nonconformity
continues
to
exist;
or
(2)
the
vehicle
has
been
out of
service
by
reason
of
repair
of
nonconformities
for
a
total
of 30
or
more
business
days
during
the
statutory
warranty
period.
(c)
A
reasonable
allowance
for
consumer
use of
a
vehicle
is
that
amount
directly
attributable
to the
wear
and
tear
incurred
by the
new
vehicle
as a
result
of its
having
been
used
prior
to the
first
report
of
a
nonconformity
to the
seller,
and
during
any
subsequent
period
in
which
it is
not
out of
service
by
reason
of
repair.
(d)
The
fact
that a
new
vehicle's
failure
to
conform
to
an
express
warranty
is
the
result
of
abuse,
neglect
or
unauthorized
modifications
or
alterations
is an
affirmative
defense
to
claims
brought
under
this
Act.
(e)
The
statutory
warranty
period
of
a
new
vehicle
shall
be
suspended
for
any
period
of
time
during
which
repair
services
are
not
available
to
the
consumer
because
of a
war,
invasion
or
strike,
or a
fire,
flood
or
other
natural
disaster.
(f)
Refunds
made
pursuant
to
this
Act
shall
be
made
to
the
consumer,
and
lien
holder
if any
exists,
as
their
respective
interests
appear.
(g)
For
the
purposes
of
this
Act,
a
manufacturer
sells
a
new
vehicle
to a
consumer
when
he
provides
that
consumer
with a
replacement
vehicle
pursuant
to
subsection
(a).
(h)
In no
event
shall
the
presumption
herein
provided
apply
against
a
manufacturer,
his
agent,
distributor
or
dealer
unless
the
manufacturer
has
received
prior
direct
written
notification
from
or on
behalf
of
the
consumer,
and
has an
opportunity
to
correct
the
alleged
defect.
(Source:
P.A.
89-359,
eff.
8-17-95;
89-375,
eff.
8-18-95;
89-626,
eff.
8-9-96.)
815
ILCS
380/4
Sec.
4.
(a)
The
provisions
of
subsection
(a) of
Section
3
shall
not
apply
unless
the
consumer
has
first
resorted
to
an
informal
settlement
procedure
applicable
to
disputes
to
which
that
subsection
would
apply
where
(1)
The
manufacturer
of the
new
vehicle
has
established
such
a
procedure;
(2)
The
procedure
conforms:
(i)
substantially
with
the
provisions
of
Title
16,
Code
of
Federal
Regulation,
Part
703,
as
from
time
to
time
amended,
and
(ii)
to the
requirements
of
subsection
(c);
and
(3)
The
consumer
has
received
from
the
seller
adequate
written
notice
of the
existence
of the
procedure.
Adequate
written
notice
includes
but
is
not
limited
to
the
incorporation
of the
informal
dispute
settlement
procedure
into
the
terms
of the
written
warranty
to
which
the
vehicle
does
not
conform.
(b)
If the
consumer
is
dissatisfied
with
the
decision
reached
in an
informal
dispute
settlement
procedure
or the
results
of
such a
decision,
he
may
bring
a
civil
action
to
enforce
his
rights
under
subsection
(a)
of
Section
3.
The
decision
reached
in the
informal
dispute
settlement
procedure
is
admissible
in
such
a
civil
action.
The
period
of
limitations
for
a
civil
action
to
enforce
a
consumer's
rights
or
remedies
under
subsection
(a) of
Section
3
shall
be
extended
for
a
period
equal
to
the
number
of
days
the
subject
matter
of the
civil
action
was
pending
in the
informal
dispute
settlement
procedure.
(c)
A
disclosure
of the
decision
in an
informal
dispute
settlement
procedure
shall
include
notice
to
the
consumer
of the
provisions
of
subsection
(b).
(Source:
P.A.
85-1350.)
815
ILCS
380/5
Sec.
5.
Persons
electing
to
proceed
and
settle
under
this
Act
shall
be
barred
from a
separate
cause
of
action
under
the
Uniform
Commercial
Code.
(Source:
P.A.
85-1350.)
815
ILCS
380/6
Sec.
6.
Any
action
brought
under
this
Act
shall
be
commenced
within
eighteen
months
following
the
date
of
original
delivery
of
the
motor
vehicle
to the
consumer.
(Source:
P.A.
83-768.)
815
ILCS
380/7
Sec.
7.
The
seller
who
sells
a new
vehicle
to
a
consumer,
shall,
upon
delivery
of
that
vehicle
to the
consumer,
provide
the
consumer
with
a
written
statement
clearly
and
conspicuously
setting
forth
in
full
detail
the
consumer's
rights
under
subsection
(a) of
Section
3,
and
the
presumptions
created
by
subsection
(b) of
that
Section.
(Source:
P.A.
85-1350.)
815
ILCS
380/8
Sec.
8.
This
Act
shall
apply
to
motor
vehicles
beginning
with
the
model
year
following
the
effective
date
of
this
Act.
(Source:
P.A.
83-768.)
|
Magnuson-Moss
Warranty-Federal
Trade
Commission
ACT
[Top]
The
Magnuson-Moss
Warranty
Act is a
federal
Law that
protects
the
buyer of
any
product
which
costs
more
than $25
and
comes
with an
express
written
warranty.
This law
applies
to any
product
that you
buy that
does not
perform
as it
should.
The
Magnuson-Moss
Act is a
federal
law
giving
consumers
considerable
rights
in
dealing
with
manufacturers
and
car-dealers
of lemon
automobiles.
This law
guarantees
a car
buyer
that
certain
minimum
requirements
of
warranties
must be
met, and
provides
for
disclosure
of
warranties
before
purchase.
Regarding
"lemon
cars",
this law
greatly
affects
the
rights
of car
buyers.
For any
product
which
has a
written
warranty,
if any
part of
the
product,
or the
product
itself
is
considered
defective,
the
warrantor
must
permit
the
buyer
the
choice
of
either a
refund
or
replacement
of the
product.
We have
argued
successfully
to
juries
that the
lemon
manufacturers
and
car-dealers
should
be given
three
(3)
attempts
to fix
the
defect.
Continued
attempts
to
repair
beyond
the
initial
three
(3)
should
not be
allowed.
We call
this the
"three
strikes
and
you're
out"
principle.
A
consumer
may
pursue
legal
action
in any
court of
general
jurisdiction
in the
United
States
to
enforce
his
rights
under
the
Magnuson-Moss
Act.
Attorney's
fees
based on
actual
time
spent
will be
covered
if the
consumer
prevails.
Due to
this
particular
condition,
there is
quite a
bit of
financial
pressure
on the
manufacturer
to
settle
consumer
disputes
before
going to
court,
as this
would
keep
their
expenses
down.
UNIFORM
COMMERCIAL
CODE
[Top]
TARR
BABY-The
Uniform
Commercial
Code or
UCC has
been
enacted
in all
50
states
and some
of the
territories
of the
United
States.
It is
the
primary
source
of law
in all
contracts
dealing
with the
sale of
products.
The “TARR”
refers
to
Tender,
Acceptance,
Rejection,
Revocation
and
applies
to
different
aspects
of the
consumer's
"relationship"
with the
purchased
goods.
TENDER-The
tender
provisions
of the
Uniform
Commercial
Code
contained
in
Section
2-601
provide
that the
buyer is
entitled
to
reject
any
goods
that
fail in
any
respect
to
conform
to the
contract.
Unfortunately,
new cars
are
often
technically
complex
and
their
innermost
workings
are
beyond
the
understanding
of the
average
new car
buyer.
The
buyer,
therefore,
does not
know
whether
the
goods
are
non-conforming.
ACCEPTANCE-The
new car
buyer
accepts
the
goods
believing
and
expecting
that the
manufacturer
will
repair
any
problem
he has
with the
goods
under
the
warranty.
REJECTION-The
new car
buyer
may
discover
a
problem
with the
vehicle
within
the
first
few
miles of
his
purchase.
This
would
allow
the new
car
buyer to
reject
the
goods.
If the
new car
buyer
discovers
a defect
in the
car
within a
reasonable
time of
inspecting
the
vehicle,
he may
reject
the
vehicle.
This
period
is not
defined.
On the
one
hand,
the
buyer
must be
given a
reasonable
time to
inspect
and that
reasonable
time to
inspect
will be
held as
an
acceptance
of the
vehicle.
The
courts
will
decide
this
reasonable
time to
inspect
based on
the
knowledge
and
experience
of the
buyer,
the
difficulty
in
discovering
the
defect,
and the
opportunity
to
discover
the
defect.
REVOCATION-
What
happens
when the
consumer
has used
the new
car for
a
lengthy
period
of time?
This is
the
typical
lemon
car
case.
The UCC
provides
that a
buyer
may
revoke
his
acceptance
of goods
whose
non-conformity
substantially
impairs
the
value of
the
goods to
him when
he has
accepted
the
goods
without
discovery
of a
non-conformity
because
it was
difficult
to
discover
or if he
was
assured
that
non-conformities
would be
repaired.
Of
course,
the
average
new car
buyer
does not
learn of
the
non-conformity
until
hundreds
of
thousands
of miles
later.
And
because
quality
is job
one, and
manufacturers
are
competing
on the
basis of
their
warranties,
the
consumer
is
always
assured
that any
non-conformities
he does
discover
will be
remedied.
Note:
The
author
of the
sections
on the
Magnuson-Moss
Warranty
Act and
the
Uniform
Commercial
Code is
T.
Michael
Flynn of
www.defect.com.
|
|
