Senate File 2048 - Introduced SENATE FILE 2048 BY CHELGREN A BILL FOR An Act requiring motor vehicle repair suppliers to obtain 1 written authorization prior to imposing charges related to 2 estimate costs, and making penalties applicable. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5101XS (1) 87 gh/rn
S.F. 2048 Section 1. Section 537B.3, Code 2018, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 4. If a consumer requests a written or 3 oral estimate of repairs or service, the supplier shall obtain 4 written authorization from the consumer for the imposition of 5 any charge related to the cost of conducting the estimate. 6 Such written authorization shall be obtained prior to the 7 commencement of the estimate and the imposition of any 8 such charge and shall be retained by the supplier until the 9 completion and final billing for any repairs or service. 10 EXPLANATION 11 The inclusion of this explanation does not constitute agreement with 12 the explanation’s substance by the members of the general assembly. 13 Current law allows a consumer contracting for motor 14 vehicle repairs to request a written or oral estimate of the 15 anticipated cost of repairs or service from a supplier of motor 16 vehicle repairs or service. This bill requires a supplier 17 to obtain written authorization from a consumer requesting 18 an estimate to impose any charge related to the cost of 19 conducting the estimate. The supplier shall obtain the written 20 authorization prior to the commencement of the estimate and 21 the imposition of the charge and shall be retained by the 22 supplier until the completion and final billing of any repairs 23 or service. 24 A supplier who violates the bill commits a deceptive act 25 or practice pursuant to Code section 537B.6(1). A deceptive 26 act or practice constitutes an unlawful practice under Code 27 section 714.16, which relates to consumer frauds. Pursuant 28 to Code section 714.16, the attorney general may investigate, 29 issue subpoenas, and commence civil proceedings seeking 30 restraining orders or injunctions prohibiting persons from 31 engaging in unlawful practices or seeking termination of the 32 business affairs of a person engaging in unlawful practices. 33 In addition, a civil penalty of up to $40,000 per violation may 34 be imposed by a court against a person found to have committed 35 -1- LSB 5101XS (1) 87 gh/rn 1/ 2
S.F. 2048 an unlawful practice. 1 -2- LSB 5101XS (1) 87 gh/rn 2/ 2