218.015(2)(b)2.a.
a. Accept return of the motor vehicle and replace the motor vehicle with a comparable new motor vehicle and refund any collateral costs.
218.015(2)(b)2.b.
b. Accept return of the motor vehicle and refund to the consumer and to any holder of a perfected security interest in the consumer's motor vehicle, as their interest may appear, the full purchase price plus any sales tax, finance charge, amount paid by the consumer at the point of sale and collateral costs, less a reasonable allowance for use. Under this subdivision, a reasonable allowance for use may not exceed the amount obtained by multiplying the full purchase price of the motor vehicle by a fraction, the denominator of which is 100,000 or, for a motorcycle, 20,000, and the numerator of which is the number of miles the motor vehicle was driven before the consumer first reported the nonconformity to the motor vehicle dealer.
218.015(2)(b)3.a.a. With respect to a consumer described in
sub. (1) (b) 4., accept return of the motor vehicle, refund to the motor vehicle lessor and to any holder of a perfected security interest in the motor vehicle, as their interest may appear, the current value of the written lease and refund to the consumer the amount the consumer paid under the written lease plus any sales tax and collateral costs, less a reasonable allowance for use.
218.015(2)(b)3.b.
b. Under this subdivision, the current value of the written lease equals the total amount for which that lease obligates the consumer during the period of the lease remaining after its early termination, plus the motor vehicle dealer's early termination costs and the value of the motor vehicle at the lease expiration date if the lease sets forth that value, less the motor vehicle lessor's early termination savings.
218.015(2)(b)3.c.
c. Under this subdivision, a reasonable allowance for use may not exceed the amount obtained by multiplying the total amount for which the written lease obligates the consumer by a fraction, the denominator of which is 100,000 and the numerator of which is the number of miles the consumer drove the motor vehicle before first reporting the nonconformity to the manufacturer, motor vehicle lessor or motor vehicle dealer.
218.015(2)(c)
(c) To receive a comparable new motor vehicle or a refund due under
par. (b) 1. or
2., a consumer described under
sub. (1) (b) 1.,
2. or
3. shall offer to the manufacturer of the motor vehicle having the nonconformity to transfer title of that motor vehicle to that manufacturer. No later than 30 days after that offer, the manufacturer shall provide the consumer with the comparable new motor vehicle or refund. When the manufacturer provides the new motor vehicle or refund, the consumer shall return the motor vehicle having the nonconformity to the manufacturer and provide the manufacturer with the certificate of title and all endorsements necessary to transfer title to the manufacturer.
218.015(2)(cm)1.1. To receive a refund due under
par. (b) 3., a consumer described under
sub. (1) (b) 4. shall offer to the manufacturer of the motor vehicle having the nonconformity to return that motor vehicle to that manufacturer. No later than 30 days after that offer, the manufacturer shall provide the refund to the consumer. When the manufacturer provides the refund, the consumer shall return the motor vehicle having the nonconformity to the manufacturer.
218.015(2)(cm)2.
2. To receive a refund due under
par. (b) 3., a motor vehicle lessor shall offer to the manufacturer of the motor vehicle having the nonconformity to transfer title of that motor vehicle to that manufacturer. No later than 30 days after that offer, the manufacturer shall provide the refund to the motor vehicle lessor. When the manufacturer provides the refund, the motor vehicle lessor shall provide to the manufacturer the certificate of title and all endorsements necessary to transfer title to the manufacturer.
218.015(2)(cm)3.
3. No person may enforce the lease against the consumer after the consumer receives a refund due under
par. (b) 3.
218.015(2)(d)
(d) No motor vehicle returned by a consumer or motor vehicle lessor in this state under
par. (b), or by a consumer or motor vehicle lessor in another state under a similar law of that state, may be sold or leased again in this state unless full disclosure of the reasons for return is made to any prospective buyer or lessee.
218.015(2)(e)
(e) The department of revenue shall refund to the manufacturer any sales tax which the manufacturer refunded to the consumer under
par. (b) if the manufacturer provides to the department of revenue a written request for a refund along with evidence that the sales tax was paid when the motor vehicle was purchased and that the manufacturer refunded the sales tax to the consumer. The department may not refund any sales tax under this paragraph if it has made a refund in connection with the same motor vehicle under
par. (f).
218.015(2)(f)
(f) The department of revenue shall refund to a consumer described under
sub. (1) (b) 1.,
2. or
3. all or part of the sales tax paid by the consumer on the purchase of a new motor vehicle, based on the amount of the refund of the purchase price of the motor vehicle actually received by the consumer, if all of the following apply:
218.015(2)(f)1.
1. The consumer returned the motor vehicle to its manufacturer and received a refund of all or part of the purchase price but not the corresponding amount of sales tax.
218.015(2)(f)2.
2. The consumer bought the new motor vehicle after November 2, 1983.
218.015(2)(f)3.
3. The consumer provides the department of revenue with a written request for a refund of the sales tax along with evidence that the consumer received a certain amount as a refund of the purchase price of the motor vehicle from the manufacturer, that the sales tax was paid when the motor vehicle was bought new and that the manufacturer did not refund the sales tax to the consumer.
218.015(2)(f)4.
4. The department of revenue has not made a refund under
par. (e) in connection with the motor vehicle.
218.015(3)
(3) If there is available to the consumer an informal dispute settlement procedure which is certified under
sub. (4), the consumer may not bring an action under
sub. (7) unless he or she first resorts to that procedure.
218.015(4)(a)(a) The department of transportation shall adopt rules specifying the requirements with which each informal dispute settlement procedure shall comply. The rules shall require each person establishing an informal dispute settlement procedure to do all of the following:
218.015(4)(a)1.
1. Provide rights and procedures at least as favorable to the consumer as are required under
16 CFR Part 703, in effect on November 3, 1983.
218.015(4)(a)2.
2. If after a reasonable attempt to repair the nonconformity is not repaired, require the manufacturer to provide a remedy as set forth under
sub. (2) (b).
218.015(4)(b)
(b) The department of transportation shall investigate each informal dispute settlement procedure provided in this state to determine whether it complies with the rules adopted under
par. (a). The department shall certify each informal dispute settlement procedure which complies. The department may revoke certification if it determines that an informal dispute settlement procedure no longer complies with the rules promulgated under
par. (a). Annually, the department shall publish a report evaluating the informal dispute settlement procedures provided in this state, stating whether those procedures are certified and stating the reasons for the failure of any procedure to obtain certification or for the revocation of any certification.
218.015(4)(c)
(c) Any person who establishes an informal dispute settlement procedure the certification of which is denied or revoked by the department of transportation may appeal that denial or revocation under
ch. 227.
218.015(4)(d)
(d) Annually, any person who establishes an informal dispute settlement procedure shall file with the department of transportation a copy of the annual audit required under
16 CFR Part 703 or a substantially similar audit and any additional information the department requires in order to evaluate informal dispute settlement procedures.
218.015(4)(e)
(e) The department of transportation may consider whether a manufacturer obtains certification under this subsection in determining whether to issue a manufacturer's license to do business in this state.
218.015(5)
(5) This section does not limit rights or remedies available to a consumer under any other law.
218.015(6)
(6) Any waiver by a consumer of rights under this section is void.
218.015(7)
(7) In addition to pursuing any other remedy, a consumer may bring an action to recover for any damages caused by a violation of this section. The court shall award a consumer who prevails in such an action twice the amount of any pecuniary loss, together with costs, disbursements and reasonable attorney fees, and any equitable relief the court determines appropriate.
218.015 Annotation
Action to recover under (1) (h) 2 was not defeated by repair of reported nonconformities. Hartlaub v. Coachman Industries, Inc., 143 W (2d) 791, 422 NW (2d) 869 (Ct. App. 1988).
218.015 Annotation
"Out of service" under (1) (h) 2. includes periods during which motor vehicle is incapable of providing service because of warranty nonconformity, regardless of whether vehicle is in owner's possession and driveable. Vultaggio v. General Motors Corp. 145 W (2d) 874, 429 NW (2d) 93 (Ct. App. 1988).
218.015 Annotation
"Disbursements and reasonable attorney fees" under (7) include those disbursements and reasonable fees incurred as a result of litigating fees. Chmill v. Friendly Ford-Mercury, 154 W (2d) 407, 453 NW (2d) 197 (Ct. App. 1990).
218.015 Annotation
Sub. (2) (c) does not require that vehicle continue to have nonconformity for consumer to demand refund when vehicle has been out of service at least thirty days; "having the nonconformity" is general reference to vehicle in question, rather than refund prerequisite. Nick v. Toyota Motor Sales, 160 W (2d) 373, 466 NW (2d) 215 (Ct. App. 1991).
218.015 Annotation
Under (1) (a) allowance for alternate transportation is limited to cost in connection with repair of nonconforming vehicle. Nick v. Toyota Motor Sales, 160 W (2d) 373, 466 NW (2d) 215 (Ct. App. 1991).
218.015 Annotation
If one gives notice and a single opportunity to repair, one cannot refuse additional attempts to repair within thirty days and sue under lemon law. Carl v. Spickler Enterprises Ltd., 165 W (2d) 611, 478 NW (2d) 48 (Ct. App. 1991).
218.015 Annotation
Although plaintiff arguably granted the automaker an extension of the 30 day period under sub. (2) (c), the prohibition of waivers of claims under sub. (6) resulted in the automaker being liable for failing to satisfy the claim within the 30 day period. Hughes v. Chrysler Motors. Corp. 188 W (2d) 1, 523 NW (2d) 197 (Ct. App. 1994).
218.015 Annotation
Attorney time spent prior to the expiration of the 30 day period under sub. (2) (c) is recoverable under sub. (7). Hughes v. Chrysler Motors. Corp. 188 W (2d) 1, 523 NW (2d) 197 (Ct. App. 1994).
218.015 Annotation
A manufacturer is not liable for defects in dealer added accessories not manufactured or distributed by the manufacturer. Malone v. Nissan Motor Corp. 190 W (2d) 436, 526 NW (2d) 841 (Ct. App. 1994).
218.015 Annotation
Pecuniary loss under sub. (7) includes the entire purchase price of the vehicle. Hughes v. Chrysler Motor Corp. 197 W (2d) 974, 542 NW (2d) 148 (1996).
218.015 Annotation
"Days" under (1) (h) includes weekends and holidays. Kletzien v. Ford Motor Co., 668 F Supp. 1225 (E. D. Wis. 1987).
218.015 Annotation
Remedies for motor vehicle purchasers. Nicks, WBB March, 1985.
218.015 Annotation
Lemon law II. Nicks. WBB July 1987.
218.015 Annotation
A New Twist On the Lemon Law. Nicks. Wis. Law. Oct. 1991.
218.015 Annotation
Fill 'Er Up: Supreme Court Orders High Octane Relief Under Wisconsin's Lemon Law. Nicks. Wis. Law. June 1996.
218.017
218.017
Motor vehicle adjustment programs. 218.017(1)(a)
(a) "Adjustment program" means an extended policy program under which a manufacturer undertakes to pay for all or any part of the cost of repairing, or to reimburse purchasers for all or any part of the cost of repairing, any condition that may substantially affect motor vehicle durability, reliability or performance. "Adjustment program" does not include service provided under a written warranty provided to a consumer, service provided under a safety or emission-related recall program or individual adjustments made by a manufacturer on a case-by-case basis.
218.017(2)(a)1.
1. Establish a procedure to inform a consumer of any adjustment program applicable to the consumer's motor vehicle and, upon request, furnish the consumer with any document issued by the manufacturer relating to any adjustment program.
218.017(2)(a)2.
2. Notify, by 1st class mail, a consumer who is eligible under an adjustment program of the condition in the motor vehicle that is covered by the adjustment program and the principal terms and conditions of the adjustment program within 90 days after the date on which the adjustment program is adopted.
218.017(2)(a)3.
3. Notify its motor vehicle dealers, in writing, of all the terms and conditions of an adjustment program within 30 days after the date on which the program is adopted.
218.017(2)(a)4.
4. If a consumer is a purchaser or lessor of a new motor vehicle, notify the consumer, in writing, of the consumer's rights and remedies under this section. The notice shall include a statement in substantially the following language: "Sometimes.... (manufacturer's name) offers a special adjustment program to pay all or part of the cost of certain repairs beyond the terms of the warranty. Check with your motor vehicle dealer to determine whether any adjustment program is applicable to your motor vehicle."
218.017(2)(b)
(b) If a motor vehicle dealer has been informed of an adjustment program under
par. (a) 3., the motor vehicle dealer shall disclose to a consumer seeking repairs for a condition covered by the adjustment program the terms and conditions of the adjustment program.
218.017(3)(a)(a) A manufacturer who establishes an adjustment program shall implement procedures to assure reimbursement of each consumer eligible under an adjustment program who incurs expenses for repair of a condition subject to the program before acquiring knowledge of the program. Reimbursement shall be consistent with the terms and conditions of the particular adjustment program.
218.017(3)(b)
(b) A consumer shall make a claim for reimbursement under
par. (a) in writing to the manufacturer within 2 years after the date of the consumer's payment for repair of the condition. The manufacturer shall notify the consumer within 21 business days, as defined in
s. 421.301 (6), after receiving a claim for reimbursement if the claim will be allowed or denied. If the claim is denied, the specific reasons for the denial shall be stated in writing.
218.017(4)
(4) Remedies. In addition to pursuing any other remedy, a consumer may bring an action to recover damages caused by a violation of this section. A court shall award a consumer who prevails in such an action twice the amount of any pecuniary loss, together with costs, disbursements and reasonable attorney fees, notwithstanding
s. 814.04 (1), and any equitable relief the court determines appropriate.
218.017 History
History: 1991 a. 298.
ADJUSTMENT SERVICE COMPANIES
218.02
218.02
Adjustment service companies. 218.02(1)
(1)
Definitions. As used in this section:
218.02(1)(a)
(a) "Adjustment service company," hereinafter called company, shall mean a corporation, limited liability company, association, partnership or individual engaged as principal in the business of prorating the income of a debtor to the debtor's creditor or creditors, or of assuming the obligations of any debtor by purchasing the accounts the debtor may have with the debtor's several creditors, in return for which the principal receives a service charge or other consideration.
218.02(2)
(2) Licenses; applications; fees; bond. 218.02(2)(a)1.1. Each adjustment service company shall apply to the division for a license to engage in such business. Application for a separate license for each office of a company to be operated under this section shall be made to the division in writing, under oath, in a form to be prescribed by the division. The division may issue more than one license to the same licensee. An application for a license under this section shall include the following:
218.02(2)(a)1.a.
a. In the case of an individual, the individual's social security number.
218.02(2)(a)1.b.
b. In the case of a person that is not an individual, the person's federal employer identification number.
218.02(2)(a)2.
2. The division may not disclose any information received under
subd. 1. to any person except as follows:
218.02(2)(a)2.a.
a. The division may disclose information under
subd. 1. to the department of revenue for the sole purpose of requesting certifications under
s. 73.0301.
218.02(2)(a)2.b.
b. The division may disclose information under
subd. 1. a. to the department of industry, labor and job development [department of workforce development] in accordance with a memorandum of understanding under
s. 49.857.
218.02 Note
NOTE: The department of industry, labor and job development was changed to the department of workforce development by
1997 Wis. Act 3. Corrective legislation is pending.
218.02(2)(b)
(b) At the time of making application and before engaging in business, every applicant for an adjustment service company license shall pay a nonrefundable $200 fee to the division for investigating the application and a $200 annual license fee. If the cost of an investigation exceeds $200, the applicant shall, upon demand of the division, pay the excess cost. No investigation fee shall be required on the renewal of a license.
218.02(2)(c)
(c) The division may require any licensee either before or after the issuance of the license to file and maintain in force a bond in a form to be prescribed by and acceptable to the division, in such sum as the division may deem necessary to safeguard the interest of the borrowers and the public, not exceeding, however, the sum of $5,000.
218.02(3)
(3) Conditions of the issuance of licenses. The division shall issue a license to the applicant to conduct such business at the office specified in the application in accordance with the provisions of this section, if the division shall find:
218.02(3)(a)
(a) That the applicant has filed the required application and paid the required fees.
218.02(3)(b)
(b) That the financial responsibility, experience, character and general fitness of the applicant, and of the members thereof if the applicant be a partnership, limited liability company or association, and of the officers and directors thereof if the applicant be a corporation, are such as to command the confidence of the community and to warrant belief that the business will be operated honestly, fairly and efficiently within the purposes of this section.
218.02(3)(c)
(c) That allowing such applicant to engage in business will promote the convenience and advantage of the community in which the business of the applicant is to be conducted.
218.02(3)(d)
(d) That the applicant has not been certified under
s. 73.0301 by the department of revenue as being liable for delinquent taxes.
218.02(3)(e)
(e) That, if the applicant is an individual, the applicant has not failed to comply, after appropriate notice, with a subpoena or warrant issued by the department of workforce development or a county child support agency under
s. 59.53 (5) and related to paternity or child support proceedings and is not delinquent in making court-ordered payments of child or family support, maintenance, birth expenses, medical expenses or other expenses related to the support of a child or former spouse, as provided in a memorandum of understanding entered into under
s. 49.857.
