H.B. 454                                                 VETOES

15-311.1.

(a)     (1) In this section, "dealer processing charge" includes an amount
charged by a dealer for:

(i)     The preparation of written documentation of the transaction;

(ii)    Obtaining the title and license plates for the vehicle;

(iii)   Obtaining a release of lien;

(iv)    Filing title documents with the Administration; [or]

(v) RETAINING DOCUMENTATION AND RECORDS OF THE
TRANSACTION;

(VI)    COMPLYING WITH FEDERAL OR STATE PRIVACY LAWS; OR

(VII)  Other administrative services concerning the sale of the vehicle.

(2) "Dealer processing charge" does not include a charge to purchase or
install tangible personal property on or in the vehicle, or to perform mechanical
service on the vehicle.

(b)     (1) If a dealer charges a dealer processing charge, the charge [may not
exceed $25]:

(I)      SHALL BE REASONABLE;

(II)     MAY NOT EXCEED $100; AND

(III)    SHALL REFLECT DEALER EXPENSES GENERALLY INCURRED
FOR THE SERVICES IDENTIFIED IN SUBSECTION (A)(1) OF THIS SECTION.

(2) A DEALER SHALL PROVIDE A WRITTEN DISCLOSURE OF. THE
SERVICES INCLUDED IN THE DEALER PROCESSING CHARGE ON REQUEST BY THE
PURCHASER.

(c)     Any dealer processing charge OR FREIGHT CHARGE shall be disclosed to a
purchaser as provided in this section.

(d)     A contract for the sale of a vehicle shall contain a statement, in 12 point
type or larger, [preprinted] on the contract form as follows:

"Dealer processing charge (not required by law): $....".

"FREIGHT CHARGE (NOT REQUIRED BY LAW) $....".

(e)     If a dealer advertises the price of a vehicle, the amount of the ANY dealer
processing charge AND FREIGHT CHARGE shall be included in the advertised price
UNLESS THE DEALER CLEARLY AND CONSPICUOUSLY DISCLOSES THE AMOUNT OF
THE DEALER PROCESSING CHARGE AND FREIGHT CHARGE IN AT LEAST 10 POINT
AND BOLD FONT ON THE ADVERTISEMENT WITHIN REASONABLE PROXIMITY TO THE
ADVERTISED PRICE.

- 3624 -