LRB-2695/1
ZDW:kjf
2019 - 2020 LEGISLATURE
December 2, 2019 - Introduced by Representatives Tittl, Edming, Horlacher,
Magnafici, Mursau, Ramthun, Skowronski, Tauchen, Tusler and Wichgers,
cosponsored by Senators Petrowski and Olsen. Referred to Committee on
Consumer Protection.
AB631,1,3
1An Act to create subchapter XI of chapter 218 [precedes 218.60] of the statutes;
2relating to: repair and replacement of implements of husbandry under
3warranty.
Analysis by the Legislative Reference Bureau
This bill creates requirements, commonly known as a “lemon law,” for the repair
and replacement of an implement of husbandry that has a condition or defect
(“nonconformity”) that substantially impairs the use, value, or safety of the
implement of husbandry and that is covered by an express warranty.
Under the bill, if an implement of husbandry does not conform to an applicable
express warranty and the consumer reports the nonconformity to the manufacturer,
the lessor, or any of the manufacturer's authorized dealers and makes the implement
of husbandry available for repair, the manufacturer, lessor, or authorized dealer
must repair the nonconformity. If the same nonconformity has been subject to repair
at least four times and the nonconformity continues or if the implement of husbandry
is out of service for an aggregate of at least 30 days because of warranty
nonconformities, the consumer is entitled to a replacement implement of husbandry
or a full refund.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB631,1
1Section
1. Subchapter XI of chapter 218 [precedes 218.60] of the statutes is
2created to read:
AB631,2,55
IMPLEMENTS OF HUSBANDRY
AB631,2,7
6218.60 Repair and replacement of implements of husbandry under
7warranty. (1) In this section:
AB631,2,108
(a)
“Collateral costs" means expenses incurred by a consumer in connection
9with the repair of a nonconformity, including the costs of obtaining an alternative
10vehicle.
AB631,2,1111
(b) “Consumer" means any of the following:
AB631,2,1312
1. The purchaser of a new implement of husbandry, if the implement of
13husbandry was purchased from an authorized dealer for purposes other than resale.
AB631,2,1614
2. A person to whom an implement of husbandry is transferred for purposes
15other than resale if the transfer occurs before the expiration of an express warranty
16applicable to the implement of husbandry.
AB631,2,1817
3. A person who may enforce a warranty applicable to an implement of
18husbandry.
AB631,2,2019
4. A person who leases an implement of husbandry from a lessor under a
20written lease.
AB631,2,2121
(c) “Implement of husbandry” has the meaning given in s. 340.01 (24).
AB631,3,222
(d) “Nonconformity" means a condition or defect that substantially impairs the
23use, value, or safety of an implement of husbandry and that is covered by an express
24warranty applicable to the implement of husbandry or to a component of the
25implement of husbandry. “Nonconformity” does not include a condition or defect that
1is the result of abuse, neglect, or unauthorized modification or alteration of the
2implement of husbandry by a consumer.
AB631,3,73
(e) “Out of service" means that the implement of husbandry is unable to be used
4by the consumer either because of a nonconformity for which at least 2 repair
5attempts have been made or because the implement of husbandry is in the possession
6of the manufacturer, lessor, or any of the manufacturer's authorized dealers for the
7purpose of performing repairs to correct a nonconformity.
AB631,3,13
8(2) If an implement of husbandry does not conform to an applicable express
9warranty and the consumer reports the nonconformity to the manufacturer, the
10lessor, or any of the manufacturer's authorized dealers and makes the implement of
11husbandry available for repair before the expiration of the warranty or one year after
12first delivery of the implement of husbandry to a consumer, whichever is sooner, the
13manufacturer, lessor, or authorized dealer shall repair the nonconformity.
AB631,3,18
14(3) If a manufacturer, lessor, or authorized dealer attempts to repair a
15nonconformity not less than 4 times and the nonconformity is not repaired or if an
16implement of husbandry is out of service for an aggregate of not less than 30 days,
17the consumer is entitled to a replacement or refund and the manufacturer shall do
18one of the following as directed by the consumer:
AB631,3,2119
(a) Accept return of the implement of husbandry and replace the implement of
20husbandry with a comparable new implement of husbandry and refund any
21collateral costs.
AB631,4,222
(b) Accept return of the implement of husbandry and refund to the consumer
23and to any holder of a perfected security interest in the consumer's implement of
24husbandry, as their interest may appear, the full purchase price plus any sales tax,
1finance charge, amount paid by the consumer at the point of sale, and collateral costs,
2less a reasonable allowance for use.
AB631,4,83
(c) If the implement of husbandry is leased, accept return of the implement of
4husbandry, refund to the lessor and to any holder of a perfected security interest in
5the implement of husbandry, as their interest may appear, the current value of the
6written lease, and refund to the consumer the amount the consumer paid under the
7written lease plus any sales tax and collateral costs, less a reasonable allowance for
8use.
AB631,4,18
9(4) A consumer who elects to receive a refund under sub. (3) shall notify the
10manufacturer. Not later that 30 days after receiving notice from a consumer, the
11manufacturer shall provide the consumer with the refund. Upon receipt of the
12refund, the consumer shall return the implement of husbandry having the
13nonconformity to the manufacturer and provide the manufacturer with the
14certificate of title and all endorsements necessary to transfer title to the
15manufacturer. If another person is in possession of the certificate of title, as shown
16by the records of the department of transportation, that person shall, upon request
17of the consumer, provide the certificate of title to the manufacturer upon satisfaction
18of any security interest in the implement of husbandry.
AB631,5,6
19(5) A consumer who elects to receive a comparable new implement of
20husbandry under sub. (3) shall notify the manufacturer. Not later than 45 days after
21receiving notice from a consumer, the manufacturer shall provide either a
22comparable new implement of husbandry or, if a comparable new implement of
23husbandry does not exist or cannot be delivered within the 45-day period, a refund.
24Upon receipt of the new implement of husbandry or a refund, the consumer shall
25return the implement of husbandry having the nonconformity to the manufacturer
1and provide the manufacturer with the certificate of title and all endorsements
2necessary to transfer title to the manufacturer. If another person is in possession of
3the certificate of title, as shown by the records of the department of transportation,
4that person shall, upon request of the consumer, provide the certificate of title to the
5manufacturer upon satisfaction of any security interest in the implement of
6husbandry.
AB631,5,11
7(6) A manufacturer, lessor, or manufacturer's authorized dealer may not sell
8or lease any nonconforming implement of husbandry returned to the manufacturer
9by a consumer unless the manufacturer, lessor, or manufacturer's authorized dealer
10discloses the reasons the implement of husbandry was returned to any prospective
11buyer or lessee.
AB631,5,16
12(7) The department of revenue shall refund to a manufacturer any sales tax
13the manufacturer refunded to a consumer under sub. (3) if the manufacturer
14provides to the department of revenue a written request for a refund along with
15evidence that the sales tax was paid when the implement of husbandry was
16purchased and that the manufacturer refunded the sales tax to the consumer.
AB631,5,18
17(8) This section does not limit rights or remedies available to a consumer under
18any other law.
AB631,5,24
19(9) (a) In addition to pursuing any other remedy, a consumer may bring an
20action to recover for any damages caused by a violation of this section if the action
21is commenced within 36 months after first delivery of the implement of husbandry
22to a consumer. The court shall award a consumer who prevails in such an action the
23amount of any pecuniary loss, together with costs, disbursements, and reasonable
24attorney fees, and may award any equitable relief the court determines appropriate.
AB631,6,7
1(b) Notwithstanding any other provision of this section or ch. 802, 804, or 806,
2in an action for a violation under this section, if a court finds that any party to the
3action has failed to reasonably cooperate with another party's efforts to comply with
4obligations under this section, which hinders the other party's ability to comply with
5or seek recovery under this section, the court may extend any deadlines specified in
6this section, reduce any damages, attorney fees, or costs that may be awarded under
7par. (a), strike pleadings, or enter default judgment against the offending party.
