The bill amends the Michigan Vehicle Code to introduce new definitions and requirements for vehicle dealers, including the definition of a "courtesy transportation vehicle," which is classified as a used vehicle after exceeding 5,000 miles. It revises the criteria for what constitutes an "established place of business" for various types of dealers, ensuring they maintain adequate physical premises and business records. The bill also updates the definition of a "police book" to allow for electronic records and clarifies the definition of "used or secondhand vehicle" to exclude courtesy transportation vehicles. Additionally, it modifies vehicle registration application requirements, including the need for a surety bond for certain vehicles and the disclosure of lessee information for leased vehicles.

Furthermore, the bill establishes new responsibilities for dealers regarding title transfers and registration plates, mandating that they apply for a new title within 21 days of receiving it, with penalties for late applications. It introduces provisions for handling salvage and scrap vehicles, requiring insurance companies to apply for salvage certificates when acquiring total loss vehicles. The bill also outlines the process for obtaining salvage certificates, including application fees and inspection requirements. Other amendments address the licensing of vehicle dealers, ensuring compliance and regulatory oversight, and establish procedures for handling complaints against licensees, enhancing transparency and fairness in the vehicle dealership industry.

Statutes affected:
Substitute (H-2): 257.14
Substitute (H-4): 257.14
Substitute (S-1): 257.14
House Introduced Bill: 257.14
As Passed by the House: 257.14