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Back to search resultsBill 080085-A

Amending Title 9 of The Philadelphia Code, entitled "Regulation of Businesses, Trades and Professions," by adding a new Section 9-630, entitled "Sale of Used Cars," providing for protections against sale of cars in need of substantial repairs, commonly known as a "lemon law"; all under certain terms and conditions.

AI summary

The enacted ordinance creates Philadelphia protections for people who buy used cars from dealers. Buyers may return a vehicle within 72 hours if a certified inspection mechanic confirms in writing that it has an undisclosed major defect, such as a damaged frame, cracked engine, flood damage, or inability to pass state inspection; the dealer must repair it or provide a full refund, including taxes and fees. Dealers must also disclose these defects and return rights in writing, provide warranty information, and may face enforcement or license penalties for violations.

File details

Status
ENACTED
Introduced
January 31, 2008
Sponsors
Darrell L. Clarke
View official record ↗

Full text

THE COUNCIL OF THE CITY OF PHILADELPHIA HEREBY ORDAINS:

SECTION 1.

Title 9 of The Philadelphia Code is amended to read as follows:

TITLE 9. REGULATION OF BUSINESSES, TRADES AND PROFESSIONS.

* * *

CHAPTER 9-600. SERVICE AND OTHER BUSINESSES.

* * *

§ 9-630. Sale of Used Cars.

(1) For purposes of this Section,

(a) A “Certified Inspection Mechanic” shall be any person authorized by the Pennsylvania Department of Transportation to perform an inspection under 75 Pa. C.S. § 4702 or any regulations promulgated thereunder.

(b) An “Undisclosed Major Structural Defect” shall be one of the following defects in a motor vehicle which is offered for sale and represented to be roadworthy, when the seller fails to disclose the condition:

1.) frame is bent, cracked, or twisted;

2.) engine block or head cracked;

3.) transmission damaged, defective, or so deteriorated as to require replacement;

4.) vehicle is flood damaged;

5.) differential is damaged, defective, or so deteriorated as to require replacement;

6.) vehicle is unable to pass state inspection.

(c) A “dealer” shall be a person in the business of buying, selling, leasing or exchanging vehicles.

(2) Any person who purchases a used motor vehicle from a dealer in used or new motor vehicles shall have the right to return such vehicle to the dealer up to seventy-two (72) hours after taking delivery of the vehicle if the vehicle is found by a Certified Inspection Mechanic to have an Undisclosed Major Structural Defect and the Certified Inspection Mechanic identifies the defect in writing.

(3) Upon return of any such vehicle, the dealer shall have the option of repairing the Undisclosed Major Structural Defect, at the dealer’s sole expense, within ten (10) business days of return, or refunding all moneys paid for such vehicle, including any tax, delivery fees or other incidental charges.

(4) No sale shall be exempt from the provisions of this Section merely because the purchaser agreed to buy the vehicle “as is” or “without warranty,” unless the purchaser agrees, in writing, that the purchase is for an “unroadworthy” vehicle.

(5) A dealer in used or new motor vehicles who, in connection with the sale of a used motor vehicle, sells a warranty to the purchaser of the vehicle purporting to cover the cost of parts and/or labor for repairs to the vehicle, shall provide a copy of the written warranty to the purchaser within fifteen (15) days of payment for the warranty, and shall perform the undertakings set forth in the warranty promptly upon presentation of the warrantied vehicle for repair. At the time of purchase, the dealer shall disclose to the purchaser, in writing in large capital letters, whether the warranty is provided by the dealer, the manufacturer or a third party.

(6) No dealer in used or new motor vehicles shall sell any used motor vehicle unless such dealer informs the purchaser, in writing, at the time of sale, (a) whether any one of the six (6) delineated Undisclosed Major Structural Defects exists; and (b) that the purchaser has the right to return such vehicle and the timeframe required for any such return, as set forth in this Section

(7) Administration and Enforcement.

(a) Any person aggrieved by a violation of this Section may report such violation to the Mayor’s Office of Consumer Affairs, or such other office as the Mayor shall designate. Said Office shall perform such investigation as it deems appropriate, and refer the matter to the Department for enforcement.

(b) In addition to the penalties set forth in Section 9-105, any dealer found to be in violation of this Section shall be subject to reprimand, suspension or revocation of his or her automobile seller’s license in accordance with section 9-601(4) and (5) and/or business privilege license. The Department shall revoke or suspend a license pursuant to this subsection if, after due process, it determines that the violation was willful or repetitive. Upon good cause shown, the Department shall reinstate any such license.

______________________

Explanation:

[Brackets] indicate matter deleted.

Italics

indicate new matter added.

End

File history

Sometimes city council's record keeping is not complete. This timeline reflects the information on the council's legistar website.
  1. Council actionMAYOR

    Signed

  2. Council actionCITY COUNCIL

    Read

  3. Council actionCITY COUNCIL

    Ordered placed on final passage calendar for next meeting.

    Council actionCITY COUNCIL

    Amended

    Council actionCITY COUNCIL

    Read

  4. Council actionCITY COUNCIL

    Ordered placed on next week`s second reading calendar

    Council actionCITY COUNCIL

    Suspend the rules of the council

    Pass
    Council actionCITY COUNCIL

    Ordered placed on this day`s first reading calendar

  5. Council actionCommittee on Licenses and Inspections

    Reported favorably, rule suspension requested

    Council actionCommittee on Licenses and Inspections

    Amended

    Council actionCommittee on Licenses and Inspections

    Hearing held

    Council actionCommittee on Licenses and Inspections

    Hearing notices sent

  6. Council actionCITY COUNCIL

    Referred

    Council actionCITY COUNCIL

    Introduced

    Pass