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Michigan Administrative Code (Last Updated: November 16, 2016) |
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Department ST. State |
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Automotive Related Businesses |
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Chapter General Rules |
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Part 4. UNFAIR AND DECEPTIVE PRACTICES |
Section 257.131. Contracts and invoices.
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Rule 31. (1) The following contracts are unfair and deceptive:
(a) ) A contract which uses a waiver to circumvent or evade the act.
(b) A contract which takes advantage of a customer's inability to reasonably protect his interests on account of illiteracy or inability to understand the language of an agreement, if the facility knows or reasonably should know of the customer's inability.
(c) A contract which has gross discrepancies between the oral representations of the facility and the written agreement covering the same transaction.
(2) It is an unfair and deceptive practice to:
(a) Make, either written or orally, an untrue or misleading statement of a material
fact.
(b) Fail to reveal a material fact, the omission of which tends to mislead or
deceive the customer and which fact could not reasonably be known by the customer.
(c) Enter into a contract which attempts to abrogate, disclaim, or disallow the legal rights, obligations, or remedies of a customer.
(d) Allow a customer to sign an acknowledgment, certificate, or other writing which affirms acceptance, delivery, compliance with a requirement of law, or other performance, if the facility knows or has reason to know that the statement is not true.
(e) Set up contractual provisions, including the statement of repairs and waivers, which are not specific in language, clearly described, or reasonably legible.
(f) Attempt to avoid or evade the law through a contract or any provision thereof.
(g) Fail to promptly restore to the person entitled thereto any deposit, down payment, or other payment when a contract is rescinded, cancelled, or otherwise terminated in accordance with the terms of the contract or the act.
(h) Allow a customer to sign a document in blank relating to the repair of a motor vehicle.
(i) Fail to give the customer a copy of a document evidencing the engagement of the facility at the time of its signing by the customer.
(j) Fail upon return of a repaired vehicle to the customer to give a written statement of repairs to the customer which discloses:
(i) Repairs needed, as determined by the facility:
(ii) Repairs requested by the customer.
(iii) Repairs authorized by the customer.
(iv) The facility's estimate of repair costs.
(v) Actual costs of repairs.
(vi) Repairs or services performed, including a detailed identification of all parts that were replaced and a specification as to which are new, used, rebuilt, or reconditioned.
(vii) A certification that authorized repairs were completed properly or a detailed explanation of an inability to complete repairs properly. The statement shall be signed by the owner of the facility or by a person designated by the owner to represent the facility. The name of the mechanic who performed the diagnosis and the repair shall appear on the statement.
History: 1979 AC.