Read the full stored bill text
House
File
758
-
Introduced
HOUSE
FILE
758
BY
COMMITTEE
ON
TRANSPORTATION
(SUCCESSOR
TO
HSB
133)
A
BILL
FOR
An
Act
relating
to
administrative
fees
charged
by
motor
vehicle
1
dealers,
and
making
penalties
applicable.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
TLSB
2362HV
(1)
91
th/ns
H.F.
758
Section
1.
Section
322.19A,
subsections
1,
2,
and
3,
Code
1
2025,
are
amended
to
read
as
follows:
2
1.
For
purposes
of
this
section
,
“documentary
fee”
3
“administrative
fee”
means
a
fee
that
may
be
charged
to
4
a
customer
by
a
motor
vehicle
dealer
for
the
preparation
5
of
documents
related
to
an
application
for
motor
vehicle
6
registration
and
an
application
for
issuance
of
a
certificate
7
of
title,
and
the
performance
of
other
related
performing
8
services
for
,
related
to
the
sale
of
a
motor
vehicle,
on
behalf
9
of
the
customer.
“Documentary
fee”
“Administrative
fee”
does
10
not
include
any
costs
or
fees
charged
to
a
motor
vehicle
dealer
11
or
a
dealer’s
customer
by
a
third
party.
12
2.
A
motor
vehicle
dealer
may
charge
a
documentary
an
13
administrative
fee
not
to
exceed
one
hundred
eighty
dollars
for
14
each
motor
vehicle
sold
in
a
transaction.
15
3.
A
motor
vehicle
dealer
who
charges
a
documentary
an
16
administrative
fee
to
a
customer
shall
include
the
fee
in
the
17
price
of
the
motor
vehicle.
The
dealer
shall
disclose
the
full
18
amount
of
the
fee
in
any
price
of
a
motor
vehicle
advertised
19
by
the
dealer
and
when
making
or
accepting
an
offer
to
sell
20
a
motor
vehicle.
The
dealer
shall
provide
the
following
21
notice
to
the
customer,
which
notice
shall
be
clearly
and
22
conspicuously
disclosed
in
any
motor
vehicle
purchase
agreement
23
with
the
customer:
24
DOCUMENTARY
ADMINISTRATIVE
FEE.
A
DOCUMENTARY
AN
25
ADMINISTRATIVE
FEE
IS
NOT
AN
OFFICIAL
FEE.
A
DOCUMENTARY
AN
26
ADMINISTRATIVE
FEE
IS
NOT
REQUIRED
BY
LAW,
BUT
MAY
BE
CHARGED
27
TO
A
BUYER
CUSTOMER
FOR
THE
PREPARATION
OF
DOCUMENTS
AND
THE
28
PERFORMANCE
OF
RELATED
PERFORMING
SERVICES
,
RELATED
TO
THE
SALE
29
OF
A
MOTOR
VEHICLE,
ON
BEHALF
OF
THE
CUSTOMER
.
THE
MAXIMUM
30
AMOUNT
THAT
MAY
BE
CHARGED
FOR
A
DOCUMENTARY
FEE
IS
DETERMINED
31
BY
IOWA
CODE
SECTION
322.19A
.
THIS
NOTICE
IS
REQUIRED
BY
LAW.
32
EXPLANATION
33
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
34
the
explanation’s
substance
by
the
members
of
the
general
assembly.
35
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2362HV
(1)
91
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1/
2
H.F.
758
Under
current
law,
a
motor
vehicle
dealer
(dealer)
is
1
authorized
to
charge
a
documentary
fee
not
to
exceed
$180
for
2
each
motor
vehicle
sold
in
a
transaction.
A
“documentary
fee”
3
is
a
fee
charged
to
a
customer
by
a
dealer
for
the
preparation
4
of
documents
related
to
an
application
for
motor
vehicle
5
registration
and
an
application
for
issuance
of
a
certificate
6
of
title,
and
the
performance
of
other
related
services
for
7
the
customer,
but
does
not
include
any
costs
or
fees
charged
8
to
a
dealer
or
a
dealer’s
customer
by
a
third
party.
A
dealer
9
who
charges
a
documentary
fee
is
required
to
include
the
fee
10
in
the
price
of
the
motor
vehicle,
in
advertisements
for
the
11
vehicle,
and
when
making
or
accepting
an
offer
for
the
vehicle.
12
A
dealer
is
required
to
clearly
and
conspicuously
disclose
13
a
specific
notice
of
the
fee
in
any
motor
vehicle
purchase
14
agreement
with
a
customer.
15
This
bill
authorizes
a
dealer
to
charge
an
administrative
16
fee,
rather
than
a
documentary
fee,
to
a
customer
for
17
performing
services,
related
to
the
sale
of
a
motor
vehicle,
on
18
behalf
of
the
customer.
The
bill
strikes
the
maximum
amount
a
19
dealer
is
authorized
to
charge
for
such
a
fee.
The
bill
makes
20
conforming
changes
to
the
required
notice.
21
A
person
who
violates
Code
section
322.19A
commits
unlawful
22
practice
under
Code
section
714.16.
Several
types
of
remedies
23
are
available
if
a
court
finds
that
a
person
has
committed
an
24
unlawful
practice,
including
injunctive
relief,
disgorgement
of
25
moneys
or
property,
and
a
civil
penalty
not
to
exceed
$40,000
26
per
violation.
27
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LSB
2362HV
(1)
91
th/ns
2/
2