House Bill 5260 revamps the Michigan Vehicle Code in order to change the requirements for used vehicle dealer training. On February 23, 2022, Michigan’s Governor Gretchen Whitmer signed the new law into effect which modified provisions governing dealer training programs, training programs for designated individuals, and continuing education training programs. Among other provisions, the new law also specified that certain training requirements could be satisfied by attending a training program that was conducted by the Secretary of State or a qualified trade organization. These training programs can now be conducted online or by other electronic means. Effective immediately.
On March 1, 2022, Governor Michelle Lujan Grisham signed House Bill 132 enacting a 36% TILA Annual Percentage Rate (“APR”) rate cap for small dollar loans in New Mexico. This law amends the New Mexico Small Loan Act of 1955 and the New Mexico Bank Installment Loan Act of 1959 to make them substantially similar for consumers.
Senate Bill 7721 amends the tax laws in the State of New York to remove language that allowed a lessor with a lease containing a terminal rental adjustment clause to pay the sales tax on the full value of the leased vehicle at the beginning of the lease, as opposed to paying the tax over time. Governor Kathy Hochul signed the bill on February 24, 2022. In addition, the new law clarifies that if a lessor refunds a portion of the receipt to the lessee, then the lessee can claim a credit for the sales taxes paid on the amount refunded. A lessor may claim a credit against any sales taxes paid by the lessee that was refunded if they can show the amount was previously returned. Effective 30-days following the passage of this bill before the next quarterly tax season begins.
On March 7, 2022, Senate Bill 160 was signed into law by Governor Kristi Noem. This bill exempts service contracts from the insurance code. The new law addresses specific requirements for service contract coverage of different vehicle components. Additionally, the law defines theft protection products and items covered under its warranties. Effective July 1, 2022.