The proposed bill, known as the "Used Motor Vehicle Warranty Act," aims to enhance consumer rights for individuals purchasing or leasing used motor vehicles in Michigan. It mandates that used motor vehicle dealers offer a contract cancellation option agreement for vehicles priced at $50,000 or less, allowing consumers to return the vehicle within two days of purchase without cause. The agreement must include specific provisions, such as the consumer's right to a full refund (minus a restocking fee) and the ability to have the vehicle inspected by a mechanic during the cancellation period. The bill also outlines the maximum fees that can be charged for the cancellation option and restocking fees based on the vehicle's purchase price.

Additionally, the bill specifies that certain vehicles, such as motorcycles and off-highway vehicles, are exempt from the cancellation option requirement. It allows consumers to seek damages for violations of the act and includes provisions for attorney fees if they prevail in such actions. The act will take effect 180 days after being enacted into law, ensuring that consumers have clear rights and protections when engaging in transactions involving used motor vehicles.