Session of 1997
SENATE BILL No. 266
By Committee on Transportation and Tourism
9 AN ACT concerning motor vehicles; relating to consumer protection;
10 amending K.S.A. 50-651 and K.S.A. 1996 Supp. 50-645 and repealing
11 the existing sections.
13 Be it enacted by the Legislature of the State of Kansas:
14 New Section 1. (a) For purposes of this section:
15 (1) ``Consumer'' means any individual or sole proprietor who requests
16 repair work or an estimate of repair work on a motor vehicle;
17 (2) ``final estimate'' means the last estimate approved by the con-
18 sumer either in writing or orally, as evidenced by the written repair es-
20 (3) ``motor vehicle'' means a motor vehicle which is registered for a
21 gross weight of 16,000 pounds or less, but does not include a recreational
22 vehicle as defined by subsection (f) of K.S.A. 75-1212, and amendments
24 (4) ``motor vehicle repair shop'' means any person or business which,
25 for compensation, engages in repairing, servicing or maintaining motor
26 vehicles owned by other persons and includes, but is not limited to, new
27 car dealers, used car dealers, garages, service stations, self-employed in-
28 dividuals, truck stops, machine shops, tire dealers, department stores,
29 retailers, paint and body shops, brake, muffler or transmission shops, and
30 shops doing upholstery or glass work;
31 (5) ``repair work'' includes mechanical repairs, alterations and main-
32 tenance services and any diagnostic work incident thereto, including, but
33 not limited to, body work, painting, warranty work and other work cus-
34 tomarily undertaken by motor vehicle repair shops, but does not include
35 towing services.
36 (b) Unless expressly waived in writing by the consumer as provided
37 in paragraph (c), when any consumer requests a motor vehicle repair shop
38 to perform repair work on a motor vehicle, the charge for which will
39 exceed $150, excluding sales tax, the shop shall prepare a written repair
40 estimate, which is a form setting forth the estimated charge for repair
41 work, including diagnostic work, before effecting any diagnostic work or
42 repair. The written repair estimate shall include the following items:
43 (1) The name, address and telephone number of the motor vehicle
1 repair shop;
2 (2) the name, address and telephone number of the consumer;
3 (3) the date and time of the written repair estimate;
4 (4) the year, make, model, odometer reading and license plate num-
5 ber of the motor vehicle;
6 (5) a general description of the consumer's problem or request for
7 repair work or service relating to the motor vehicle;
8 (6) the estimated charge for repair work or the charge for performing
9 diagnostic work if a repair price estimate cannot be predetermined;
10 (7) the charge for making a repair price estimate;
11 (8) the name and telephone number of another person who may au-
12 thorize repair work, if the consumer desires to designate such person;
13 (9) a statement indicating what, if anything, is guaranteed in connec-
14 tion with the repair work and the time and mileage period for which the
15 guarantee is effective;
16 (10) a statement allowing the consumer to indicate whether replaced
17 parts should be saved for inspection or return, until the motor vehicle is
18 delivered to the consumer;
19 (11) a statement indicating the daily charge for storing the consumer's
20 motor vehicle after the consumer has been notified that the repair work
21 has been completed. However, no storage charges shall accrue or be due
22 and payable for a period of three working days from the date of such
24 (c) If the charge for repair work will exceed $150, the motor vehicle
25 repair shop shall present to the consumer a written notice conspicuously
26 disclosing in a separate, blocked section, only the following statement, in
27 capital letters of at least 10-point boldface type:
28 PLEASE READ CAREFULLY, CHECK ONE OF THE STATEMENTS BELOW,
29 AND SIGN:
30 I UNDERSTAND THAT, UNLESS WAIVED BELOW, UNDER STATE LAW I AM
31 ENTITLED TO A WRITTEN ESTIMATE IF MY FINAL BILL WILL EXCEED $150.
32 ______ I REQUEST A WRITTEN ESTIMATE
33 ______ I DO NOT REQUEST A WRITTEN ESTIMATE AS LONG AS THE REPAIR
34 CHARGES DO NOT EXCEED $____________. THE SHOP MAY NOT EXCEED THIS
35 AMOUNT WITHOUT MY WRITTEN OR ORAL APPROVAL.
36 ______ I DO NOT REQUEST A WRITTEN ESTIMATE.
37 SIGNED ______________________________
38 DATE ______________________________
39 (d) The information required by paragraphs (6) and (7) of subsection
40 (b) need not be provided if the consumer waives in writing such consu-
41 mer's right to receive a written estimate.
42 (e) Except as provided in subsection (f), a copy of the written repair
43 estimate required by subsection (b) and the disclosure statement required
1 by subsection (c) shall be given to the consumer before repair work is
3 (f) If the consumer leaves such consumer's motor vehicle at a motor
4 vehicle repair shop during hours when the shop is not open or if the
5 consumer permits the shop or another person to deliver the motor vehicle
6 to a motor vehicle repair shop, there shall be an implied partial waiver of
7 the written estimate; except that, upon completion of diagnostic work
8 necessary to estimate the charge for repair, the motor vehicle repair shop
9 shall promptly notify the consumer as required in subsection (g).
10 (g) (1) In the event that:
11 (A) The written repair estimate contains only an estimate for diag-
12 nostic work necessary to estimate the charges for repair work and such
13 diagnostic work has been completed;
14 (B) a determination is made by a motor vehicle repair shop that the
15 actual charges for the repair work will exceed the written estimate by
16 more than 10%; or
17 (C) an implied partial waiver exists for diagnostic work, as described in
18 subsection (f), and such diagnostic work has been completed, the con-
19 sumer shall be promptly notified by telephone, telegraph, mail or other
20 means of the additional repair work and estimated charges thereof. A
21 consumer so notified shall, orally or in writing, authorize, modify or cancel
22 the order for repair.
23 (2) If additional repair work or charges are authorized by the con-
24 sumer in accordance with paragraph (1) of subsection (g), the shop shall
25 legibly note such authorization on the written repair estimate. Such no-
26 tations shall specify the date and time of authorization and shall also
27 contain the additional amount of money authorized by the consumer to
28 be spent on the repairs, the name of the person who received the au-
29 thorization, the name of the person who made the authorization and a
30 description of the additional work authorized.
31 (3) If a consumer cancels the order for repair after being advised that
32 a repair which the consumer has authorized cannot be accomplished
33 within the previously authorized estimate, the shop shall expeditiously
34 reassemble the motor vehicle in a condition reasonably similar to the
35 condition in which it was received unless:
36 (A) The consumer waives reassembly; or
37 (B) the reassembled vehicle would be unsafe.
38 After cancellation of the repair order, the shop may charge for the cost
39 of teardown, the cost of parts and labor to replace items that were de-
40 stroyed by teardown, and the cost to reassemble the component or the
42 (4) The motor vehicle repair shop shall not charge more than the
43 written estimate plus 10%, unless the motor vehicle repair shop has ob-
1 tained authorization to exceed the written estimate in accordance with
2 paragraph (1) of subsection (g).
3 (5) Upon request made at the time the repair work is authorized by
4 the consumer, the consumer is entitled to inspect parts removed from
5 the vehicle or, if the shop has no warranty arrangement or exchange parts
6 program with a manufacturer, supplier, or distributor, have the parts re-
7 turned to the consumer.
8 (h) Nothing in this section shall be construed to require a motor ve-
9 hicle repair shop to give a written estimated price if the motor vehicle
10 repair shop does not agree to perform the requested repair.
11 (i) Any violation of this section is a deceptive and unconscionable act
12 or practice under the Kansas consumer protection act.
13 (j) This section shall be a part of and supplemental to the Kansas
14 consumer protection act.
15 New Sec. 2. (a) For purposes of this section:
16 (1) ``Actual cash value'' means the market value of a motor vehicle as
17 determined from publications commonly used by the automotive, finan-
18 cial or insurance industries to establish the retail value of motor vehicles;
19 (2) ``motor vehicle'' means a motor vehicle with a model year equal
20 to the then current calendar year or one of the five preceding calender
21 years and is registered for a gross weight of 16,000 pounds or 1ess;
22 (3) ``person'' means any individual, firm, corporation, company, part-
23 nership or other entity; and
24 (4) ``salvageable motor vehicle'' means a motor vehicle which has
25 been wrecked, damaged or destroyed to the extent that the total esti-
26 mated or actual costs of parts and labor to rebuild or reconstruct the
27 motor vehicle to its preaccident condition exceeds 75% of the actual cash
28 value of the vehicle.
29 (b) No person shall sell, exchange or transfer a motor vehicle without
30 first disclosing in writing, prior to consummating the sale, exchange or
31 transfer, the fact that the motor vehicle was previously a salvageable mo-
32 tor vehicle.
33 (c) It shall not be a volation of this section if the person can dem-
35 (1) The person made a reasonable effort and a reasonable inspection
36 to discover prior damage to the motor vehicle, but did not discover such
37 prior damage; and
38 (2) the person did not know or have reason to know the motor vehicle
39 was previously a salvageable motor vehicle.
40 (d) Any violation of this section is a deceptive act or practice under
41 the Kansas consumer protection act.
42 (e) This section shall be a part of and supplemental to the Kansas
43 consumer protection act.
1 New Sec. 3. (a) The failure of a manufacturer to comply with the
2 requirements of K.S.A. 8-2507, and amendments thereto, shall constitute
3 an unconscionable act or practice under the Kansas consumer protection
5 (b) This section shall be a part of and supplemental to the Kansas
6 consumer protection act.
7 Sec. 4. K.S.A. 1996 Supp. 50-645 is hereby amended to read as fol-
8 lows: 50-645. (a) As used in this act:
9 (1) ``Consumer'' means the original purchaser or lessee, other than
10 for purposes of resale, of a motor vehicle; and
11 (2) ``motor vehicle'' means a new motor vehicle which is sold or leased
12 in this state, and which is registered for a gross weight of
13 pounds or less, and does not include the customized parts of motor ve-
14 hicles which have been added or modified by second stage manufacturers,
15 first stage converters or second stage converters as defined in K.S.A. 8-
16 2401, and amendments thereto.
17 (b) If a motor vehicle does not conform to all applicable warranties,
18 and the consumer reports the nonconformity to the manufacturer, its
19 agent or its authorized dealer during the term of any warranties or during
20 the period of one year following the date of original delivery of the motor
21 vehicle to a consumer, whichever is the earlier date, the manufacturer,
22 its agent or its authorized dealer shall make such repairs as are necessary
23 to conform the vehicle to such warranties, notwithstanding the fact that
24 such repairs are made after the expiration of any such term or such one-
25 year period.
26 (c) If the manufacturer, or its agents or authorized dealers, are unable
27 to conform the motor vehicle to any applicable warranty after a reasonable
28 number of attempts, the manufacturer, at the consumer's option shall
29 replace the motor vehicle with a comparable motor vehicle under war-
30 ranty or accept return of the vehicle from the consumer and refund to
31 the consumer the full purchase or lease price including all collateral
32 charges, less a reasonable allowance for the consumer's use of the vehicle
33 as calculated from the most recent edition of Your Driving Costs , pub-
34 lished by the American automobile association.
35 The reasonable allowance for use shall be calculated as follows:
36 [eu2,5]Reasonable allowance = [su1]Purchase price + collateral charges x miles driven[xu120,000 miles
37 Refunds shall be made to the consumer, and lienholder if any, as their
38 interests may appear. A reasonable allowance for use The miles driven
39 shall be that amount those miles directly attributable to use by the con-
40 sumer and any previous consumer prior to the first report of the noncon-
41 formity to the manufacturer, agent or dealer and during any subsequent
42 period when the vehicle is not out of service by reason of repair. It shall
1 be an affirmative defense to any claim under this act that:
2 (1) An alleged nonconformity does not substantially impair such use
3 and value; or
4 (2) a nonconformity is the result of abuse, neglect or unauthorized
5 modifications or alterations of a motor vehicle by a consumer.
6 (d) If the manufacturer receives actual notice of the nonconformity,
7 it shall be presumed that a reasonable number of attempts have been
8 undertaken to conform a motor vehicle to the applicable warranties, if:
9 (1) The same nonconformity which substantially impairs the use and
10 value of the motor vehicle to the consumer has been subject to repair
11 four or more times by the manufacturer or its agents or authorized dealers
12 within the term of any warranty or during the period of one year following
13 the date of original delivery of the motor vehicle to a consumer, whichever
14 is the earlier date, but such nonconformity continues to exist;
15 (2) the vehicle is out of service by reason of repair for a cumulative
16 total of 30 or more calendar days during such term or period, whichever
17 is the earlier date; or
18 (3) there have been 10 or more attempts to repair any nonconform-
19 ities which substantially impair the use and value of the motor vehicle to
20 the consumer and such attempts to repair have been attempts by the
21 manufacturer or its agents or authorized dealers.
22 The term of any warranty, such one-year period and such thirty-day
23 period shall be extended by any period of time during which repair serv-
24 ices are not available to the consumer because of war, invasion, strike,
25 fire, flood or other natural disaster.
26 (e) If a manufacturer has established an informal dispute settlement
27 procedure which complies in all respects with the provisions of title 16,
28 code of federal regulations, part 703, as from time to time amended, the
29 provisions of subsection (c) concerning refunds or replacement shall not
30 apply to any consumer who has not first resorted to such procedure.
The attorney general shall have jurisdiction to enforce this section
32 Any violation of this section by a manufacturer is an unconscionable act
33 or practice under the Kansas consumer protection act.
34 (g) This section shall be part of and supplemental to the Kansas con-
35 sumer protection act.
36 Sec. 5. K.S.A. 50-651 is hereby amended to read as follows: 50-651.
37 (a) The commission of any act or practice declared to be a violation of
38 K.S.A. 21-3757 or K.S.A. 50-653, and amendments thereto, shall make
39 the violator liable to the aggrieved consumer, or to the state, for the
41 (1) Payment of a civil penalty, recoverable in an individual action or
42 in an action brought by the attorney general in a sum set by the court of
43 not more than $2,000 $10,000 per violation; and
1 (2) reasonable expenses and investigation fees incurred by the attor-
2 ney general.
3 (b) The remedies provided in subsection (a) are in addition to any
4 remedies available under federal odometer law.
5 Sec. 6. K.S.A. 50-651 and K.S.A. 1996 Supp. 50-645 are hereby re-
7 Sec. 7. This act shall take effect and be in force from and after its
8 publication in the statute book.