HLS 10RS-508 ENGROSSED
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2010
HOUSE BILL NO. 1058
BY REPRESENTATIVE GREENE
MTR VEHICLE/DEALERS: Requires motor vehicle dealers to disclose, in writing, the
nature of certain fees charged upon the sale of a vehicle
AN ACT1
To enact R.S. 6:969.18(G), relative to motor vehicles; to require disclosure of certain fees2
not required by law charged upon the sale of a motor vehicle; to provide for an3
effective date; and to provide for related matters.4
Be it enacted by the Legislature of Louisiana:5
Section 1. R.S. 6:969.18(G) is hereby enacted to read as follows: 6
ยง969.18. Documentation and compliance fees; notary fees; transfer of equity and7
other fees; disclosure8
* * *9
G. The seller, who may also be an extender of credit, shall provide written10
disclosure to the consumer of the amount of the fee collected as authorized by11
Paragraph (A)(2) of this Section along with the following statements in conspicuous12
type: "This fee is authorized by R.S. 6:969.18(A)(2). It is not a mandatory state fee.13
The seller, who may also be an extender of credit, may charge the fee for credit14
investigation, compliance with federal and state law, preparation of the documents15
necessary to perfect or satisfy a lien upon the objects sold, and any other functions16
incidental to the titling of the retail sale." The disclosure shall be printed on the bill17
of sale, buyer's order, or sales contract which is signed by the buyer and retained by18
the buyer and seller.19 HLS 10RS-508 ENGROSSED
HB NO. 1058
Page 2 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Section 2. This Act shall become effective on January 1, 2011.1
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Greene HB No. 1058
Abstract: Requires the disclosure that the collection of certain fees charged by motor
vehicle dealers is not required by law.
Present law provides that a seller or extender of credit may charge a fee for credit
investigation, compliance with federal or state law, preparation of documents, and any other
functions incidental to the titling of the retail sale. Further provides that the maximum
permitted amount is $100.
Proposed law requires the seller, who may also be an extender of credit, to provide written
disclosure to the consumer of the amount of the fee collected as authorized by present law
along with the following statements in conspicuous type: "This fee is authorized by R.S.
6:969.18(A)(2). It is not a mandatory state fee. The seller, who may also be an extender of
credit, may charge the fee for credit investigation, compliance with federal and state law,
preparation of the documents necessary to perfect or satisfy a lien upon the objects sold, and
any other functions incidental to the titling of the retail sale."
Proposed law further requires the disclosure to be printed on the bill of sale, buyer's order,
or sales contract which is signed by the buyer and retained by the buyer and seller.
Effective Jan. 1, 2011.
(Adds R.S. 6:969.18(G))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Commerce to the original
bill.
1. Changed the phrase "seller or extender of credit" to "The seller, who may also
be an extender of credit".
2. Deleted the requirement that the written disclosure contain the following
statement: "It is not a mandatory fee required by law to be collected, and no
seller is required by law to charge it."
3. Added the requirement that the written disclosure also contain the following
statements: "It is not a mandatory state fee. The seller, who may also be an
extender of credit, may charge the fee for credit investigation, compliance with
federal and state law, preparation of the documents necessary to perfect or satisfy
a lien upon the objects sold, and any other functions incidental to the titling of
the retail sale."
4. Deleted the requirement that the seller or extender of credit shall have the
consumer sign a copy of the written disclosure to acknowledge that the consumer
has received and understands the disclosure.
5. Added an effective date of Jan. 1, 2011.