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PRINTER'S NO. 3389
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2503
Session of
2026
INTRODUCED BY BRIGGS, RIVERA, CEPEDA-FREYTIZ, HILL-EVANS,
GUZMAN, CERRATO, BRENNAN, SHUSTERMAN, FLEMING, SANCHEZ,
HOWARD AND INGLIS, MAY 11, 2026
REFERRED TO COMMITTEE ON CONSUMER PROTECTION, TECHNOLOGY AND
UTILITIES, MAY 11, 2026
AN ACT
Amending Title 12 (Commerce and Trade) of the Pennsylvania
Consolidated Statutes, in motor vehicle sales finance,
providing for return and refund of motor vehicles.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Chapter 62 of Title 12 of the Pennsylvania
Consolidated Statutes is amended by adding a subchapter to read:
SUBCHAPTER E.1
RETURN AND REFUND OF MOTOR VEHICLES
Sec.
6265.1. Definitions.
6265.2. Disclosure.
6265.3. Refund by dealer.
6265.4. Civil cause of action.
6265.5. Nonwaiver of subchapter.
§ 6265.1. Definitions.
The following words and phrases when used in this subchapter
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shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Dealer." A person in the business of buying, selling,
leasing or exchanging vehicles in this Commonwealth.
"Purchaser." A person, or a successor or assignee, who has
obtained possession or ownership of a used motor vehicle by
lease, transfer or purchase or who has entered into an agreement
or contract for the lease or purchase of a used motor vehicle
which is used, leased or bought for use primarily for personal,
family or household purposes.
§ 6265.2. Disclosure.
The Attorney General shall transmit notice of a statement
that explains the duty of the dealer under this subchapter to
the Legislative Reference Bureau for publication in the next
available issue of the Pennsylvania Bulletin. The dealer shall
provide to the purchaser, at the time of sale of a motor vehicle
by the dealer, a copy of the Attorney General's statement and a
listing of zone offices, with addresses and phone numbers, that
may be contacted by the purchaser for the purpose of seeking
relief provided in this subchapter.
§ 6265.3. Refund by dealer.
(a) Duty of dealer.--A dealer that sells or leases a motor
vehicle registered in this Commonwealth, upon notice from the
purchaser and no later than 10 days after the purchase or lease,
shall:
(1) accept the return of the vehicle from the purchaser;
and
(2) either:
(i) refund to the purchaser the full purchase price
or lease price, including all collateral charges, less a
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reasonable allowance for the purchaser's use of the
vehicle not exceeding the lesser of 10¢ per mile driven
or 10% of the purchase price or lease price of the
vehicle; or
(ii) if the vehicle sustains damage during the
purchaser's use of the vehicle, and the dealer knew or
should have known that the damage may occur, be permitted
to retain a reasonable allowance so long as the damage
does not substantially affect the use or safety of the
motor vehicle.
(b) Form of refund.--The dealer shall pay the refund or
reasonable allowance under subsection (a) to the purchaser and
any lienholder as the interests may appear. A reasonable
allowance for use shall be that amount directly attributable to
use by the purchaser's note under subsection (a).
(c) Time for refund.--The dealer shall pay the refund or
reasonable allowance under subsection (a) no later than 30 days
after the date the purchaser provides notice to the dealer.
(d) Duty of purchaser to return vehicle.--The purchaser must
return the motor vehicle to the dealer to obtain a refund or
reasonable allowance under subsection (a). If, due to reasons of
size and weight or method of attachment or method of
installation, the purchaser cannot reasonably return the motor
vehicle, the purchaser shall notify the dealer in writing.
Written notice to the dealer shall constitute a return of the
vehicle if the purchaser is unable to return the vehicle. Upon
receipt of the notice, the dealer shall arrange for transport of
the vehicle. All costs of transporting the vehicle, if the
purchaser is unable to effect return, shall be at the
purchaser's expense.
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(e) Forfeiture of refund.--
(1) Except as provided under paragraph (2), a purchaser
is not entitled to a refund if the condition of the motor
vehicle is substantially different from the condition of the
motor vehicle at the time of purchase and the condition
affects the substantial use or safety of the vehicle.
(2) If the motor vehicle sustains damage that affects
the substantial use or safety of the vehicle, and the dealer
knew or should have reasonably foreseen that the vehicle was
in a condition, at the time of purchase or lease of the
vehicle, that could damage or affect the substantial use or
safety of the vehicle, the purchaser is entitled to a full
refund of the contract price and collateral charges.
§ 6265.4. Civil cause of action.
(a) Remedies.--A purchaser of a motor vehicle who purchases
the motor vehicle from a dealer and suffers a loss as a result
of the dealer's failure to comply with this subchapter may bring
a civil action in a court of common pleas, in addition to other
relief. The purchaser shall be entitled to recover reasonable
attorney fees and all court costs in addition to remedies under
this subsection.
(b) Violation.--A violation of this subchapter shall be
considered a violation of the act of December 17, 1968
(P.L.1224, No.387), known as the Unfair Trade Practices and
Consumer Protection Law. Nothing in this subchapter shall limit
the purchaser from pursuing a right or remedy under any other
law, contract or warranty.
§ 6265.5. Nonwaiver of subchapter.
The provisions of this subchapter may not be waived by the
dealer, purchaser or lienholder of the motor vehicle.
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Section 2. This act shall apply to motor vehicles purchased
after the effective date of this section.
Section 3. This act shall take effect in 90 days.
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