ASSEMBLY, No. 2563

STATE OF NEW JERSEY

INTRODUCED DECEMBER 9, 1996

By Assemblywoman MYERS

An Act concerning warranties for certain used motor vehicles and amending P.L.1995, c.373.

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

    1. Section 3 of P.L.1995, c.373 (C.56:8-69) is amended to read as follows:

    3. [It] Except as otherwise provided in section 7 of P.L.1995, c.373 (C.56:8-73), it shall be an unlawful practice for a dealer to sell a used motor vehicle to a consumer without giving the consumer a written warranty which shall at least have the following minimum durations:

    a. If the used motor vehicle has 24,000 miles or less, the warranty shall be, at a minimum, 90 days or 3,000 miles, whichever comes first;

    b. If the used motor vehicle has more than 24,000 miles but less than 60,000 miles, the warranty shall be, at a minimum, 60 days or 2,000 miles, whichever comes first; or

    c. If the used motor vehicle has 60,000 miles or more, the warranty shall be, at a minimum, 30 days or 1,000 miles, whichever comes first [, except that a consumer may waive his right to a warranty as provided under section 7 of this act].

(cf: P.L.1995, c.373, s.3)

    2. Section 7 of P.L.1995, c.373 (C.56:8-73) is amended to read as follows:

    7. Notwithstanding any provision of this act to the contrary, a consumer, as a result of a price negotiation for the purchase of a used motor vehicle [with over 60,000 miles], may elect to waive the dealer's obligation to provide a warranty on the used motor vehicle. The waiver shall be in writing and separately stated in the agreement of retail sale or in an attachment thereto and separately signed by the consumer. The waiver shall state the dealer's obligation to provide a warranty on used motor vehicles offered for sale, as set forth in sections 3 and 4 of this act. The waiver shall indicate that the consumer, having negotiated the purchase price of the used motor vehicle and obtained a price adjustment, is electing to waive the dealer's obligation to provide a warranty on the used motor vehicle and is buying the used motor vehicle "as is."

(cf: P.L.1995, c.373, s.7)

    3. This act shall take effect immediately.

STATEMENT

    This bill permits a consumer purchasing a used motor vehicle to waive the dealer's obligation to provide a warranty on that vehicle as a result of a price negotiation for the purchase of that vehicle. As already provided in section 3 of P.L.1995, c.373 (C.56:8-69), a consumer purchasing a used motor vehicle with over 60,000 miles may waive the warranty requirement. This bill eliminates the mileage provision of over 60,000, and extends the waiving of the dealer's obligation to provide a warranty for used motor vehicles for a customer who chooses to purchase any used motor vehicle "as is."

Permits consumer's waiver of dealer's obligation to provide a warranty on certain used motor vehicles.