HOUSE BILL NO. 5904
July 31, 2024, Introduced by Reps. Paiz and Aiyash and referred to the Committee on Health
Policy.
A bill to amend 1990 PA 169, entitled
"An act to require the inclusion of certain statements in lease
contracts involving motor vehicles; and to provide remedies and
penalties,"
(MCL 445.991 to 445.995) by amending the title and by adding
section 2a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 TITLE
2 An act to require or prohibit the inclusion of certain
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1 statements in lease contracts involving motor vehicles; to provide
2 for procedures for lease contracts in the event of the death of a
3 lessee; and to provide remedies. and penalties.
4 Sec. 2a. (1) Beginning on the effective date of the amendatory
5 act that added this section, a lessor shall not, as a provision of
6 a lease contract, prohibit early termination of a lease contract
7 due to the death of the lessee or require automatic termination of
8 a lease contract due to the death of the lessee.
9 (2) Beginning on the effective date of the amendatory act that
10 added this section, if a lessee dies before the term of the lease
11 contract expires, the estate of the deceased lessee shall do either
12 of the following:
13 (a) Continue to lease the motor vehicle under the terms of the
14 lease contract until the lease contract expires.
15 (b) Terminate the lease contract of the motor vehicle with the
16 lessor.
17 (3) If the estate continues the lease contract under
18 subsection (2)(a), the estate shall maintain possession of the
19 motor vehicle and continue to make payments to the lessor under the
20 terms of the lease contract.
21 (4) If the estate terminates the lease contract under
22 subsection (2)(b), the estate must return possession of the motor
23 vehicle to the lessor. The estate is not responsible for any
24 remaining payments due on the motor vehicle under the lease
25 contract once the motor vehicle has been returned to the lessor.
26 (5) This section applies only to a motor vehicle lease
27 contract that takes effect or is extended, renewed, or modified
28 after the effective date of the amendatory act that added this
29 section.
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Statutes affected:
House Introduced Bill: 445.991, 445.995