Massachusetts Senate Bill S192

Massachusetts 2023-2024 Regular Session

• Introduced: 2/16/23
• Refer: 2/16/23

Caption

To protect consumers from hidden car subscription service fees

Impact

If passed, S192 would amend Chapter 90 of the General Laws of Massachusetts by adding a new section focused on subscription services related to motor vehicle features. This change is anticipated to have a significant impact on how auto dealerships structure their pricing, potentially leading to more straightforward pricing strategies that benefit consumers. The legislation includes specifications on what constitutes a subscription service, emphasizing that any features already available in the vehicle should not incur additional charges beyond the standard purchase or lease costs.

Summary

Senate Bill S192 aims to provide consumer protection against hidden fees associated with car subscription services. Specifically, the bill prohibits motor vehicle dealers from charging consumers for subscription services on features that are already installed in a vehicle at the time of purchase or lease. This legislation responds to concerns regarding the transparency of costs associated with added functionalities in vehicles, which can often lead to unexpected expenses for consumers. By implementing clearer regulations, the bill seeks to enhance consumer trust in auto dealership transactions.

Contention

While proponents of S192 argue that the bill is necessary for increasing transparency and protecting consumers from deceptive pricing practices, critics may assert that it could limit the revenue streams of vehicle dealers. There may be concerns that the restrictions on subscription services could hinder dealer innovation in offering value-added options to consumers. Additionally, some lawmakers may contend that the bill overreaches into the business operations of dealerships, potentially leading to unintended consequences in the automotive market.