Section 257.136. Estimates and charges.  


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  • Rule 36. It is an unfair and deceptive practice to:

    (a)   Fail, except where legally waived by the customer, to give the customer a written estimate prior to the commencement of work.

    (b)    Charge for work done or parts supplied in excess of the estimated price without the knowing written or oral consent of the customer.

    (c)   Fail to give the customer an estimate for the cost, if any, of reassembly, disassembly, or diagnosis.

    (d)  Fail to inform a customer, at a time prior to the customer executing a document or engaging the facility for the work, by the use of a notice as required by section 33 of the act, of his  right  to  receive  or   inspect replaced parts for which he will be charged in the repair   of  his   motor vehicle.

    (e)   Fail to retain a customer waiver with records  which  are  retained concerning the transaction.

    (f)   Charge the customer storage charges where there is a dispute as to repair charges. Where delays in repairs are caused by lack of parts,  a repair facility may make a charge for storage after informing the customer of the approximate length of the anticipated delay and of the daily storage charge rate and obtaining the customer's consent to  the  delay  and the storage charges.

    (g)  Fail to be in compliance with the federal truth in lending   act,  15 U.S.C. S1601 et seq. (1970), as amended, and the retail installment sales act, Act No. 224 of the Public Acts of 1966, being S445.851 et seq. of the Michigan Compiled Laws, where the customer finances   repairs  through  the facility.

    (h)   Fail in  practice to  comply with advertised   or   stated  payment policies.

    (i)   Conspire, combine, or confederate to fix prices.

    (j)   Conspire, combine, or confederate to allocate the market.

    (k)  Fail to notify the customer of an exchange agreement and charges for exchange parts if a customer wishes to have those parts returned.

    (l)   Fail to disclose, upon the customer's request, the method used by a facility to compute labor charges.

History: 1979 AC.