SENATE FLOOR VERSION - HB3217 SFLR Page 1 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SENATE FLOOR VERSION April 4, 2022 ENGROSSED HOUSE BILL NO. 3217 By: Roberts (Dustin) of the House and Montgomery of the Senate An Act relating to contracts; amending 15 O.S. 2021, Section 901, which relates to repair of m otor vehicles under warranty; modifying definition; and providing an effective date . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 15 O.S. 2021, Section 901, is amended to read as follows: Section 901. A. As used in this section: 1. "Consumer" means the purchaser, othe r than for purposes of resale, of a motor vehicle, any pe rson to whom such motor vehicle is transferred during the duration of an exp ress warranty applicable to such motor vehicle, and any other person entitled by the terms of such warranty to enforce the obligations of the warranty; and 2. "Motor vehicle" means any motor-driven vehicle required to be registered under the Oklahoma Motor Vehicle License and Registration Act, excludi ng vehicles above ten thousand (10,000) pounds gross vehicle weight and the living facilities of motor SENATE FLOOR VERSION - HB3217 SFLR Page 2 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 homes. A recreational vehicle, as defined in Section 1-152.1 of Title 47 of the Oklahoma Statutes, regardless of the weight of the recreational vehicle, shall be considered a motor vehicle for the purposes of this section. B. For the purposes of this act, if a new motor vehicle does not conform to all applicable express warranties, and the consumer reports the nonconformity , directly in writing, to the manufacturer, its agent or its authorized dealer during the term of such exp ress warranties or during the period of one (1) year follo wing the date of original delivery of the motor vehicle to a consumer, whichever is the earlier date, the manufacturer, its agent or its authorized dealer shall make such repair s as are necessary to conform the vehicle to such express warranties, notwithst anding the fact that such repairs are made after the expiration of such term or such one - year period. C. If the manufactur er, or its agents or authorized dealers are unable to conform the motor veh icle to any applicable express warranty by repairing or co rrecting any defect or condition whic h substantially impairs the use and value of the motor vehicle to the consumer after a reasonable number of attempts, the manufacturer shall either accept a return of the vehicle from the consumer and refund to the consumer the full purchase price includin g all taxes, license, registration fees and all similar governmental fees, excluding interest, less a reasonable allowance for the consumer 's SENATE FLOOR VERSION - HB3217 SFLR Page 3 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 use of the vehicle or replace the motor vehicle with a comparable new model acceptable to the consumer. If a comp arable model vehicle cannot be agreed upon, the purchase price shall be refunded less a reasonable allowance for the consumer's use of the vehicle. Refunds shall be made to the consumer, and lienholder if any, as their interests may appear. A reasonable allowance for use shall be the purchase or lease price of the new motor vehicle multip lied by a fraction having as the denominator one hundr ed twenty thousand (120,000) miles and having as the numerator the miles direct ly attributable to use by the consume r beyond fifteen thousand (15,000) miles. It shall be an affirmative defense to any c laim under this act: 1. That an alleged nonconformity does not substantial ly impair such use and value; or 2. That a nonconformity is the result of abuse, neglect or unauthorized modifications or alterations of a motor vehicle. In no event shall the pres umption described in this subsection apply against a manufacturer unless th e manufacturer has received prior direct written notificat ion from or on behalf of the consumer and has had an opportunity to cure the defect alleged. D. It shall be presumed that a reasonable number of attempts have been undertaken t o conform a motor veh icle to the applicable express warranties, if : SENATE FLOOR VERSION - HB3217 SFLR Page 4 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. The same nonconformity has been subject to r epair four or more times by the manufacturer or its agents or authorized dealers within the express warranty term or during the period of on e (1) year following the date of original delivery of the motor vehicle to a consumer, whichever is the earlier date , but such nonconformity continues to exist; or 2. The vehicle is out of service by r eason of repair for a cumulative total of thirty (30) business days during such term or during such period, whichever is the earlier date. The term of an express warranty , such one-year period and such thirty-day period shall be extended by any period of t ime during which repair services are not available to the consumer because of a war, invasion, strike , fire, flood or other natural d isaster. E. Nothing in this act shal l in any way limit the rights or remedies which are otherwise available to a consumer under any other law. F. If a manufacturer has establi shed an informal disp ute settlement procedure which complies in all respects wi th the provisions of Title 16, Code o f Federal Regulations, Part 703, as from time to time amended, the provisions of subse ction C of this section concerning refunds or replacem ent shall not apply t o any consumer who has not first resorted to such procedur e. G. The Oklahoma Attorney General shall prepare and place on the Attorney General's website a written statement explaini ng the rights SENATE FLOOR VERSION - HB3217 SFLR Page 5 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 of a purchaser under this law. The deal er shall provide to t he purchaser at the time of the original purchase of a new motor vehicle the written statement prepared by the Attorney General. H. Vehicles returned pursuant to the provisions of this act may not be resold in this state unless: 1. The manufacturer provi des the same express warranty the manufacturer provided th e original purchaser, except that the term of the warranty need only last for twelve thousand (12,000) miles or twelve (12) months after the date of resale, whichever is earlier ; or 2. The manufacturer, through the licensed dealer, provides the consumer with a written statement on a separate piece of paper that clearly discloses the reason or reasons the vehicle was reacquire d by the manufacturer. I. Notwithstanding the provisi ons of subsection H o f this section, returned vehicles shall not be resold if a new motor vehicle has been returned pursuant to the provisions of this act or a similar statute in another state because o f nonconformity resulting in a complete failure of the braking or steering system likely to cause death or serious bodily injury if t he vehicle is driven. J. In any civil action pursuant to this section wherein the consumer is the prevailing party in the civil action, the consumer SENATE FLOOR VERSION - HB3217 SFLR Page 6 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 shall recover all costs and reasonable attorney fees as determined by the court. SECTION 2. This act shall become effective November 1, 20 22. COMMITTEE REPORT BY: COMMITTEE ON RETIREMENT AND INSURANCE April 4, 2022 - DO PASS