HF 2456 (LSB 5861YH (3) 89)

HOUSE FILE 2456

BY  BENNETT

A BILL FOR

An Act relating to financial contracts for the sale of cats and dogs.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  162.21  Financing arrangements —— invalid.
   1.  A state licensee or permittee shall not finance, enter into a retail installment contract, or make a loan to a customer for the purchase of a cat or dog.
   2.  Notwithstanding any other provision of this chapter, if a state licensee or permittee violates this section, the financing, retail installment contract, loan, or agreement shall be void and unenforceable and the state licensee or permittee shall have no right to collect, receive, or retain any principal, interest, or charges related to the loan, retail installment contract, or financing. A state licensee or permittee is subject to disciplinary action pursuant to section 162.10D.
   3.  The person in physical custody of a cat or dog purchased in violation of this section shall retain ownership of the animal.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to financial contracts entered into for the sale of cats and dogs.
   The bill provides that a state licensee or permittee, including a kennel, pet shop, and commercial breeder, shall not enter into financing agreements with a customer for the purchase of a cat or dog. The bill provides that a state licensee or permittee shall not enter into a retail installment contract, loan, or other financing agreement for such purchases.
   The bill provides that a financing agreement made in violation of the bill shall be void and unenforceable and the state licensee or permittee shall not collect any compensation relating to the agreement. The bill provides that a state licensee or permittee in violation of the bill shall be subject to disciplinary action pursuant to Code section 162.10D, including license suspension, license revocation, and continuing education as administered by the department of agriculture and land stewardship.
   The bill provides that a person in physical custody of a cat or dog in violation of the bill shall retain ownership of the animal.