Section 257.188. Purchase or lease agreement; terms.

(1) before consummation of  a  sale   or  lease,  a  broker   who negotiates the sale or lease of a vehicle shall draw up an agreement that shall be in addition to, and shall not differ in its terms from, any other papers, forms, or documents required by the act or otherwise executed between the buyer and the seller or the lessee and lessor of the vehicle. The broker shall retain a copy of the agreement and shall provide copies to each party to the agreement at the time the  agreement  is  signed.  The agreement shall be on a form prescribed by the administrator, shall be dated not later than the actual delivery date of the vehicle to the buyer or lessee, and shall contain all of the following information:

(a)    The name and address of the buyer or lessee.

(b)       A description of the  vehicle including all  of the  following information:

(i)     Make.

(ii)     Model year.

(iii)     Vehicle identification number.

(iv)   Body style.

(v)     Dealer and factory-installed accessories.

(c)      The name, address, and Michigan dealer license number of the dealer who is purchasing, selling, or leasing the vehicle.

(d)    The name, address, and Michigan dealer license number of the broker.

(e)     ) Date of delivery.

(f)    Odometer reading and 1 of the following:

(i)     A statement by the transferor certifying that, to the best of his or her knowledge, the odometer reading reflects  the actual  mileage of  the vehicle.

(ii)     If the transferor knows that the odometer reading reflects the amount of mileage in excess of the designed mechanical odometer limit, a statement to that effect.

(iii)         If the transferor knows that the odometer reading differs from the actual mileage and the difference is greater than that caused by odometer calibration error, a statement that the odometer reading does not reflect the actual mileage and should not be relied upon. The notice shall include a warning notice to alert the transferee that a discrepancy exists between  the odometer and the actual mileage.

(g)     Total price or, in the case of a lease, the gross capitalized cost.

(h)     Down payment or,  in   the  case  of  a  lease,   the  capitalized   cost reduction, if

any.

(i)   A statement signed by the broker certifying that the terms   of   all warranties

applicable to the vehicle have been fully disclosed to the buyer or lessee in writing.

(j)        A statement signed by the broker disclosing the names of all parties to the transaction whom the broker represents.

(k)      If a fee, compensation, commission, or  other  valuable  consideration will be paid by any  party  to  the  transaction,   the  amount  of  the   fee, compensation, or other

valuable  consideration  and  a  detailed    description    of  what  each  individual  charge includes.

(l)          Signatures   of    the   buyer,    seller,   broker,    or   lessee,    or   their respective representatives.

(2)     For the purpose of this rule, it is presumed that the  broker  is  the agent of the unlicensed party to the transaction.

History: 1979 AC; 1998-2000 AACS.