Michigan Administrative Code › Department - State › Automotive Related Businesses › Licensing Vehicle Brokers › Section R. 257.188 - Purchase or lease agreement; terms

Current through Vol. 24-12, July 15, 2024
Rule 8.
(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.
(1) 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.