STATE OF OKLAHOMA

1st Session of the 53rd Legislature (2011)

HOUSE BILL 1413	By:	Joyner

AS INTRODUCED

An Act relating to consumer protection; enacting the Home Appliance Lemon Law; defining terms; requiring repair to home appliance that does not conform to all express warranties; prescribing replacement or refund if home appliance cannot be repaired; providing affirmative defenses; requiring written notification; providing for presumption of reasonable attempts to repair; requiring Attorney General to prepare written statement and post it on website; requiring retail dealers to provide statement to consumers; providing resale of certain home appliances in this state with exceptions; authorizing consumer to recover certain costs and fees in civil actions; providing for codification; providing for noncodification; and providing an effective date.

BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1.     NEW LAW     A new section of law not to be codified in the Oklahoma Statutes reads as follows:
This act shall be known and may be cited as the “Home Appliance Lemon Law”.
SECTION 2.     NEW LAW     A new section of law to be codified in the Oklahoma Statutes as Section 905 of Title 15, unless there is created a duplication in numbering, reads as follows:
A.  As used in this section:
1.  "Consumer" means the purchaser, other than for purposes of resale, of a home appliance, any person to whom such home appliance is transferred during the duration of an express warranty applicable to such home appliance, and any other person entitled by the terms of such warranty to enforce the obligations of the warranty; and
2.  “Home appliance” means any refrigerator, freezer, range, oven, stove, microwave oven, washer, dryer, dishwasher, garbage disposal, trash compactor, or room air conditioner normally used or sold for personal, family, or household purposes.  The term excludes any single product with a wholesale price to the retail seller of less than Two Hundred Dollars ($200.00).
B.  For the purposes of this section, if a new home appliance does not conform to all applicable express warranties, and the consumer reports the nonconformity, directly or in writing, to the manufacturer, its agent or its authorized retail dealer during the term of the express warranties or during the period of one (1) year following the date of original delivery of the home appliance to a consumer, whichever is the earlier date, the manufacturer, its agent or its authorized retail dealer shall make such repairs as are necessary to conform the home appliance to the express warranties, notwithstanding the fact that the repairs shall be made after the expiration of such term or such one-year period.
C.  If the manufacturer or its agents or authorized retail dealers are unable to conform the home appliance to any applicable express warranty by repairing or correcting any defect or condition which substantially impairs the use and value of the home appliance to the consumer after a reasonable number of attempts, the manufacturer shall either accept a return of the home appliance from the consumer and refund to the consumer the full purchase price including all taxes, less a reasonable allowance for the consumer's use of the home appliance or replace the home appliance with a comparable new model acceptable to the consumer.  If a comparable model cannot be agreed upon, the purchase price shall be refunded less a reasonable allowance for the consumer’s use of the home appliance.  A reasonable allowance for use shall be the purchase price of the new home appliance multiplied by a fraction having as the denominator the number of days in the warranty term and having as the numerator the number of days after delivery of the home appliance to the consumer beyond sixty (60) days.
D.  It shall be an affirmative defense to any claim under this section:
1.  That an alleged nonconformity does not substantially impair such use and value; or
2.  That a nonconformity is the result of abuse, neglect or unauthorized modifications or alterations of a home appliance.
E.  In no event shall the presumption described in subsection F of this section apply against a manufacturer unless the manufacturer has received prior direct written notification from or on behalf of the consumer and has had an opportunity to cure the defect alleged.
F.  It shall be presumed that a reasonable number of attempts have been undertaken to conform a home appliance to the applicable express warranties, if:
1.  The same nonconformity has been subject to repair four or more times by the manufacturer or its agents or authorized retail dealers within the express warranty term or during the period of one (1) year following the date of original delivery of the home appliance to a consumer, whichever is the earlier date, but the nonconformity continues to exist; or
2.  The home appliance is out of service by reason of repair for a cumulative total of thirty (30) business days during such term or during such period, whichever is the earlier date.
The term of an express warranty, the one-year period and the thirty-day period shall be extended by any period of time during which repair services are not available to the consumer because of a war, invasion, strike, fire, flood or other natural disaster.
G.  Nothing in this section shall in any way limit the rights or remedies which are otherwise available to a consumer under any other law.
H.  If a manufacturer has established an informal dispute settlement procedure which complies in all respects with the provisions of Title 16, Code of Federal Regulations, Part 703, as from time to time amended, the provisions of subsection C of this section concerning refunds or replacement shall not apply to any consumer who has not first resorted to the procedure.
I.  The Oklahoma Attorney General shall prepare and place on the Attorney General’s website a written statement explaining the rights of a purchaser under this section.  The retail dealer shall provide to the purchaser at the time of the original purchase of a new home appliance the written statement prepared by the Attorney General.
J.  Home appliances returned pursuant to the provisions of this section shall not be resold in this state unless:
1.  The manufacturer provides the same express warranty the manufacturer provided to the original purchaser, except that the term of the warranty need only last for twelve (12) months after the date of resale; or
2.  The manufacturer, through the retail dealer, provides the consumer with a written statement on a separate piece of paper that clearly discloses the reason or reasons the home appliance was reacquired by the manufacturer.
K.  In any civil action pursuant to this section wherein the consumer is the prevailing party in the civil action, the consumer shall recover all costs and reasonable attorney fees as determined by the court.
SECTION 3.  This act shall become effective November 1, 2011.

53-1-5446	EK	01/18/11