Massachusetts 2025-2026 Regular Session

Massachusetts Senate Bill S228

Introduced
2/27/25  

Caption

Modernizing protections for consumers in automobile transactions

Impact

If enacted, S228 would significantly change the landscape of regulations surrounding automobile sales and financing in Massachusetts. The updated warranty provisions would ensure that consumers receive more robust protections, particularly for used vehicles, which can often lead to disputes between buyers and sellers. By stipulating clear thresholds for vehicle operation and warranty durations, the bill aims to provide greater certainty for both consumers and dealers. Moreover, the revisions concerning the possession of collateral in the event of a default aim to protect buyers from adverse actions without proper notification or fair opportunity to rectify their situation.

Summary

Senate Bill S228 aims to modernize protections for consumers involved in automobile transactions. The proposed changes focus on enhancing consumer rights and clarifying the responsibilities of retailers in the sale and lease of motor vehicles. Notably, the bill updates sections of the Massachusetts General Laws regarding warranties and collateral possession in retail instalment contracts, intending to create a more transparent and fair process for consumers. Key amendments include alterations to warranty provisions for used vehicles based on mileage, as well as improvements to the notice procedures for defaults in consumer credit transactions.

Contention

Discussions around S228 have surfaced concerns about the implications of these changes on both dealers and consumers. While proponents argue that the bill strengthens consumer rights and facilitates better transactions, critics may voice apprehensions regarding the administrative burden it could place on dealers and their ability to enforce contractual agreements. Additionally, the requirement for specific notice periods before action can be taken against buyers could lead to complexities in managing defaults. As such, legislative debates are expected to focus on balancing consumer protections with the operational realities of auto dealerships.

Companion Bills

No companion bills found.

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