House Introduced Bill 5423

HOUSE BILL No. 5423

February 22, 2000, Introduced by Reps. DeVuyst, Wojno, Woronchak, DeWeese, Lockwood, Birkholz, Shackleton, Green,
Jamnick, Jellema, Mans, Schermesser, Middaugh, Jansen and DeHart and referred to the Committee on Family and Civil Law.

A bill to require warranties on new manufactured homes; to

require certain repairs to manufactured homes; and to provide

remedies for the failure to repair.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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Sec. 1. This act shall be known and may be cited as the

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"new manufactured home warranty act".

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Sec. 2. As used in this act:

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(a) "Dealer" means a person who in the regular course of

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business sells, leases, or distributes manufactured homes primar-

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ily to a person who leases a manufactured home or purchases a

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manufactured home for purposes other than resale.

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(b) "Defect" means a defect in the performance, construc-

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tion, components, or material of a manufactured home that makes

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the manufactured home or a part of the manufactured home unfit

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for the ordinary use for which it was intended.

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(c) "Manufactured home" means a manufactured home as defined

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in section 603(6) of the national manufactured housing construc-

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tion and safety standards act of 1974, title VI of the housing

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and community development act of 1974, Public Law 93-383, 42

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U.S.C. 5402.

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(d) "Manufacturer" means a person who manufactures or assem-

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bles manufactured homes or imports manufactured homes for

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resale.

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(e) "Purchaser" means the first retail buyer of a manufac-

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tured home or a transferee or buyer of the manufactured home from

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the first retail buyer.

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Sec. 3. After the effective date of this act, a new manu-

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factured home sold by a dealer situated in this state shall be

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covered by the warranty provided in this act. The warranty bene-

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fits the purchaser of the manufactured home and is provided by

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the manufacturer and the dealer according to the terms of this

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act.

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Sec. 4. (1) The manufacturer or dealer of a new manufac-

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tured home sold by a dealer situated in this state shall provide

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the purchaser a written warranty. The warranty shall contain at

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least all of the following terms:

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(a) The manufacturer warrants that the manufactured home

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complies with Michigan law as to construction and fire protection

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and detection in effect on the date of manufacture.

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(b) The manufacturer warrants that the manufactured home was

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manufactured free from substantial defects in materials or

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workmanship and was delivered to the dealer in that condition.

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(c) A dealer warrants that the manufactured home was free

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from substantial defects in materials or workmanship when sold to

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the purchaser.

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(d) The manufacturer and dealer are not liable for a defect

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in the manufactured home that is a result of improper setup of,

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moving of, or materials furnished for the manufactured home after

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the sale, or of other work done by a person other than the manu-

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facturer or dealer after the sale, unless the work was performed

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by a person under contract with or an agent of the manufacturer

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or dealer.

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(e) The manufacturer and dealer warrant that they, or 1 of

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them, shall take appropriate corrective action at the site of the

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manufactured home for breach of the warranty set forth in subdi-

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vision (a), (b), (c), or (d) for a defect that becomes evident

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within 1 year from the date of the delivery of the manufactured

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home to the purchaser, if the purchaser gives written notice of

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the defect to the manufacturer or dealer at his or her last known

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business address no later than 1 year and 10 days after the date

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of delivery of the manufactured home to the first retail buyer.

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(2) A manufactured home includes the structure, plumbing,

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electrical, heating, and fire detection systems installed in the

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manufactured home and the appliances situated in the manufactured

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home, unless the appliances are covered by a warranty from the

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appliance manufacturer that equals or exceeds the warranty pro-

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vided in subsection (1).

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Sec. 5. The warranty provided in this act is in addition to

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any other warranties, rights, and privileges that the purchaser

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may have under any other law or instrument. The manufacturer or

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dealer shall not require the purchaser to waive his or her rights

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under this act. Any waiver of that type is considered contrary

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to public policy and is unenforceable and void.

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Sec. 6. (1) A manufacturer or dealer who knows or should

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have known that an alleged defect is covered by the warranty pro-

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vided by this act and who willfully or by gross negligence

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refuses or fails to take appropriate corrective action may be

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liable for civil damages.

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(2) A purchaser who prevails in an action brought under this

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act may recover as part of the judgment the total amount of cost

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and expenses, including attorney fees. Attorney fees shall be

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based on actual time expended by the attorney, determined by the

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court to have been reasonably incurred for or in connection with

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the commencement and prosecution of the action, unless the court

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in its discretion determines that the award of attorney fees

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would be inappropriate.

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