SENATE BILL No. 138

 

 

January 31, 2007, Introduced by Senators RICHARDVILLE, SCOTT and PAPPAGEORGE and referred to the Committee on Economic Development and Regulatory Reform.

 

 

 

     A bill to amend 1949 PA 300, entitled

 

"Michigan vehicle code,"

 

(MCL 257.1 to 257.923) by adding section 810c.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 810c. (1) A rental vehicle company may not charge a

 

consumer a separately stated fee to recover any portion of the

 

rental vehicle company's titling and registration costs incurred

 

under this act for its fleet of rental vehicles, unless the fee

 

meets all of the following:

 

     (a) The fee represents a good-faith estimate by the rental

 

vehicle company of the average per day per vehicle portion of the

 

rental vehicle company's total annual titling and registration

 

costs incurred under this act.

 

     (b) The fee is itemized in a rental agreement separately from


 

other charges to the consumer.

 

     (c) The fee is described in the rental agreement in the

 

following manner: "the estimated average per day per vehicle

 

portion of the rental company's total annual titling and

 

registration costs incurred under the Michigan vehicle code".

 

     (2) If the total amount of the fees collected by a rental

 

vehicle company under this section in any calendar year exceeds the

 

rental vehicle company's actual titling and registration costs

 

incurred during that calendar year, the rental vehicle company

 

shall do both of the following:

 

     (a) Retain the excess amount.

 

     (b) Adjust the estimated average per day per vehicle titling

 

and registration charge for the following calendar year by a

 

corresponding amount.

 

     (3) If a rental vehicle company advertises the rental rate for

 

a vehicle available for rent in this state, the rental vehicle

 

company shall include the fee authorized under this section in the

 

advertised price, unless the advertisement clearly and

 

conspicuously discloses the maximum daily amount of the fee.

 

     (4) As used in this section, "rental vehicle company" means a

 

person that rents a motor vehicle to a consumer.