322G.1 Legislative intent.
The general assembly recognizes that a motor vehicle is a major consumer acquisition and that a defective motor vehicle undoubtedly creates a hardship for the consumer. The general assembly further recognizes that a duly franchised motor vehicle dealer is an authorized service agent of the manufacturer. It is the intent of the general assembly that a good faith motor vehicle warranty complaint by a consumer be resolved by the manufacturer within a specified period of time. It is further the intent of the general assembly to provide the statutory procedures whereby a consumer may receive a replacement motor vehicle, or a full refund, for a motor vehicle which cannot be brought into conformity with the warranty provided for in this chapter. However, this chapter does not limit the rights or remedies which are otherwise available to a consumer under any other law.
As used in this chapter, unless the context otherwise requires:
1. "Collateral charges" means those additional charges to
a consumer wholly incurred as a result of the acquisition of the motor vehicle. For the purposes of this chapter, collateral charges include, but are not limited to, charges for manufacturer-installed or agent-installed items, earned finance charges, use taxes, and title charges.
2. "Condition" means a general problem that may be attributable to a defect in more than one part.
3. "Consumer" means the purchaser or lessee, other than for purposes of lease or resale, of a new or previously untitled motor vehicle, or any other person entitled by the terms of the warranty to enforce the obligations of the warranty during the duration of the lemon law rights period.
4. "Days" means calendar days.
5. "Department" means the attorney general.
6. "Incidental charges" means those reasonable costs incurred by the consumer, including, but not limited to, towing charges and the costs of obtaining alternative transportation, which are the direct result of the nonconformity or nonconformities which are the subject of the claim. Incidental charges do not include loss of use, loss of income, or personal injury claims.
7. "Lease price" means the aggregate of the following:
a. Lessor's actual purchase costs.
b. Collateral charges, if applicable.
c. Any fee paid to another to obtain the lease.
d. Any insurance or other costs expended by the lessor for the benefit of the lessee.
e. An amount equal to state and local use taxes, not otherwise included as collateral charges, paid by the lessor when the vehicle was initially purchased.
f. An amount equal to five percent of the lessor's actual purchase cost.
8. "Lemon law rights period" means the term of the manufacturer's written warranty, the period ending two years after the date of the original delivery of a motor vehicle to a consumer, or the first twenty-four thousand miles of operation attributable to a consumer, whichever expires first.
9. "Lessee" means any consumer who leases a motor vehicle for one year or more pursuant to a written lease agreement which provides that the lessee is responsible for repairs to the motor vehicle.
10. "Lessee cost" means the aggregate of the deposit and rental payments previously paid to the lessor for the leased vehicle.
11. "Lessor" means a person who holds the title to a motor vehicle leased to a lessee under a written lease agreement or who holds the lessor's rights under the agreement.
12. "Manufacturer" means a person engaged in the business of constructing or assembling new motor vehicles or installing on previously assembled vehicle chassis special bodies or equipment which, when installed, form an integral part of the new motor vehicle, or a person engaged in the business of importing new motor vehicles into the United States for the purpose of selling or distributing the new motor vehicles to new motor vehicle dealers.
13. "Motor vehicle" means a self-propelled vehicle purchased or leased in this state, except as provided in section 322G.15, and primarily designed for the transportation of persons or property over public streets and highways, but does not include mopeds, motorcycles, motor homes, or vehicles over ten thousand pounds gross vehicle weight rating.
14. "Nonconformity" means a defect, malfunction, or condition in a motor vehicle such that the vehicle fails to conform to the warranty, but does not include a defect, malfunction, or condition that results from an accident, abuse, neglect, modification, or alteration of the motor vehicle by persons other than the manufacturer or its authorized service agent.
15. "Person" means person as defined in section 714.16.
16. "Program" means an informal dispute settlement procedure established by a manufacturer which mediates and arbitrates motor vehicle warranty disputes arising in this state.
17. "Purchase price" means the cash price paid for the motor vehicle appearing in the sales agreement or contract, including any net allowance given for a trade-in vehicle.
18. "Reasonable offset for use" means the number of miles attributable to a consumer up to the date of the third attempt to repair the same nonconformity which is the subject of the claim, or the first attempt to repair a nonconformity that is likely to cause death or serious bodily injury, or the twentieth cumulative day when the vehicle is out of service by reason of repair of one or more nonconformities, whichever occurs first, multiplied by the purchase price of the vehicle, or in the event of a leased vehicle, the lessor's actual lease price plus an amount equal to two percent of the purchase price, and divided by one hundred twenty thousand.
19. "Replacement motor vehicle" means a motor vehicle
which is identical or reasonably equivalent to the motor
vehicle to be replaced, and as the motor vehicle to be
replaced would have existed without the nonconformity at the
time of original acquisition.
20. "Substantially impair" means to render the motor
vehicle unfit, unreliable, or unsafe for warranted or ordinary
use, or to significantly diminish the value of the motor
21. "Warranty" means any written warranty issued by the manufacturer; or any affirmation of fact or promise made by the manufacturer, excluding statements made by the dealer, in connection with the sale or lease of a motor vehicle to a consumer, which relates to the nature of the material or workmanship and affirms or promises that the material or workmanship is free of defects or will meet a specified level of performance.
322G.3 Duties of manufacturer.
1. At the time of the consumer's purchase or lease of the
vehicle, the manufacturer shall provide to the consumer a
written statement that explains the consumer's rights and
obligations under this chapter. The written statement shall
be prepared by the attorney general and shall contain a
telephone number that the consumer can use to obtain
information from the attorney general regarding the rights and
obligations provided under this chapter.
2. At the time of the consumer's purchase or lease of the
vehicle, the manufacturer shall provide to the consumer the
address and phone number for the zone, district, or regional
office of the manufacturer for this state where a claim may be
filed by the consumer. This information shall be provided to
the consumer in a clear and conspicuous manner. Within thirty
days of the introduction of a new model year for each make and
model of motor vehicle sold in this state, the manufacturer
shall notify the attorney general of such introduction. The
manufacturer shall also inform the attorney general that a
copy of the owner's manual and applicable written warranties
shall be provided upon request and provide information as to
where the request should be made. The manufacturer shall
inform the attorney general where such a request should be
directed and shall provide the copy of the owner's manual and
applicable written warranties within five business days of a
request by the attorney general.
3. A manufacturer or the authorized service agent of the
manufacturer shall make repairs as necessary to conform the
vehicle to the warranty if a motor vehicle does not conform to
the warranty and the consumer reports the nonconformity to the
manufacturer or authorized service agent during the lemon law
rights period. Such repairs shall be made irrespective of
whether they can be made prior to the expiration of the lemon
law rights period.
4. A manufacturer or the authorized service agent of the
manufacturer, shall provide to the consumer, each time the
motor vehicle is returned after being examined or repaired
under the warranty, a fully itemized, legible statement or
repair order indicating any diagnosis made, and all work
performed on the motor vehicle including, but not limited to,
a general description of the problem reported by the consumer
or an identification of the defect or condition, parts and
labor, the date and the odometer reading when the motor
vehicle was submitted for examination or repair, and the date
when the repair or examination was completed.
5. Upon request from the consumer, the manufacturer, or
the authorized service agent of the manufacturer, shall
provide a copy of either or both of the following:
a. Any report or printout of any diagnostic computer
operation compiled by the manufacturer or authorized service
agent regarding an inspection or diagnosis of the motor
b. A copy of any technical service bulletin issued by the
manufacturer regarding the year and model of the motor vehicle
as it pertains to any material, feature, component, or the
performance of the motor vehicle.
322G.4 Nonconformity of motor vehicles.
1. After three attempts have been made to repair the same
nonconformity that substantially impairs the motor vehicle, or
after one attempt to repair a nonconformity that is likely to
cause death or serious bodily injury, the consumer may give
written notification, which shall be by certified or
registered mail or by overnight service, to the manufacturer
of the need to repair the nonconformity in order to allow the
manufacturer a final attempt to cure the nonconformity. The
manufacturer shall, within ten days after receipt of such
notification, notify and provide the consumer with the
opportunity to have the vehicle repaired at a reasonably
accessible repair facility and after delivery of the vehicle
to the designated repair facility by the consumer, the
manufacturer shall, within ten days, conform the motor vehicle
to the warranty. If the manufacturer fails to notify and
provide the consumer with the opportunity to have the vehicle
repaired at a reasonably accessible repair facility or perform
the repairs within the time periods prescribed in this
subsection, the requirement that the manufacturer be given a
final attempt to cure the nonconformity does not apply.
After twenty or more cumulative days when the motor vehicle
has been out of service by reason of repair of one or more
nonconformities, the consumer may give written notification to
the manufacturer which shall be by certified or registered
mail or by overnight service. Commencing upon the date such
notification is received, the manufacturer has ten cumulative
days when the vehicle has been out of service by reason of
repair of one or more nonconformities to conform the motor
vehicle to the warranty.
2. If the manufacturer, or its authorized service agent,
has not conformed the motor vehicle to the warranty by
repairing or correcting one or more nonconformities that
substantially impair the motor vehicle after a reasonable
number of attempts, the manufacturer shall, within forty days
of receipt of payment by the manufacturer of a reasonable
offset for use by the consumer, replace the motor vehicle with
a replacement motor vehicle acceptable to the consumer, or
repurchase the motor vehicle from the consumer or lessor and
refund to the consumer or lessor the full purchase or lease
price, less a reasonable offset for use. The replacement or
refund shall include payment of all collateral and reasonably
incurred incidental charges. The consumer has an
unconditional right to choose a refund rather than a
replacement. If the consumer elects to receive a refund, and
the refund exceeds the amount of the payment for a reasonable
offset for use, the requirement that the consumer pay the
reasonable offset for use in advance does not apply, and the
manufacturer shall deduct that amount from the refund due to
the consumer. If the consumer elects a replacement motor
vehicle, the manufacturer shall provide the consumer a
substitute motor vehicle to use until such time as the
replacement vehicle is delivered to the consumer. At the time
of the refund or replacement, the consumer, lienholder, or
lessor shall furnish to the manufacturer clear title to and
possession of the original motor vehicle.
Refunds shall be made to the consumer and lienholder of
record, if any, as their interests appear. If applicable,
refunds shall be made to the lessor and lessee as follows:
the lessee shall receive the lessee's cost less a reasonable
offset for use, and the lessor shall receive the lease price
less the aggregate deposit and rental payments previously paid
to the lessor for the leased vehicle. If it is determined
that the lessee is entitled to a refund pursuant to this
chapter, the consumer's lease agreement with the lessor is
terminated upon payment of the refund and no penalty for early
termination shall be assessed. The department of revenue and
finance shall refund to the manufacturer any use tax which the
manufacturer refunded to the consumer, lessee, or lessor under
this section, if the manufacturer provides to the department
of revenue and finance a written request for a refund and
evidence that the use tax was paid when the vehicle was
purchased and that the manufacturer refunded the use tax to
the consumer, lessee, or lessor.
3. It is presumed that a reasonable number of attempts
have been undertaken to conform a motor vehicle to the
warranty if, during the lemon law rights period, any of the
a. The same nonconformity that substantially impairs the
motor vehicle has been subject to examination or repair at
least three times by the manufacturer or its authorized
service agent, plus a final attempt by the manufacturer to
repair the motor vehicle if undertaken as provided for in
subsection 1, and such nonconformity continues to exist.
b. A nonconformity that is likely to cause death or
serious bodily injury has been subject to examination or
repair at least one time by the manufacturer or its authorized
service agent, plus a final attempt by the manufacturer to
repair the motor vehicle if undertaken as provided for in
subsection 1, and such nonconformity continues
c. The motor vehicle has been out of service by reason of
repair by the manufacturer, or its authorized service agent,
of one or more nonconformities that substantially impair the
motor vehicle for a cumulative total of thirty or more days,
exclusive of down time for routine maintenance prescribed by
the owner's manual. The thirty-day period may be extended by
any period of time during which repair services are not
available to the consumer because of war, invasion, strike,
fire, flood, or natural disaster.
The terms of this subsection shall be extended for a period
of up to two years after the date of the original delivery of
a motor vehicle to a consumer, or the first twenty-four
thousand miles of operation attributable to a consumer,
whichever occurs first, if a nonconformity has been reported
but has not been cured by the manufacturer, or its authorized
service agent, before the expiration of the lemon law rights
4. A manufacturer, or its authorized service agent, shall
not refuse to examine or repair any nonconformity for the
purpose of avoiding liability under this chapter.
322G.5 Affirmative defenses.
Any of the following is an affirmative defense to a claim
under this chapter:
1. The alleged nonconformity or nonconformities do not
substantially impair the motor vehicle.
2. A nonconformity is the result of an accident, abuse,
neglect, or unauthorized modification or alteration of the
motor vehicle by a person other than the manufacturer or its
authorized service agent.
3. The claim by the consumer was not filed in good faith.
4. Any other defense allowed by law which may be raised
against the claim.
322G.6 Informal dispute settlement procedures---operations and certification.
1. At the time of the consumer's purchase or lease of the
vehicle, a manufacturer who has established a program
certified pursuant to this section shall, at a minimum,
clearly and conspicuously disclose to the consumer in written
materials accompanying the vehicle how and where to file a
claim with the program.
2. A certified program shall be funded and competently
staffed at a level sufficient to ensure fair and expeditious
resolution of all disputes, and shall not charge consumers any
fee for use of the program. The manufacturer shall take all
steps necessary to ensure that a certified program and its
staff and decision makers are sufficiently insulated from the
manufacturer so that the performance of the staff and the
decisions of the decision makers are not influenced by the
manufacturer. Such steps, at a minimum, shall ensure that the
manufacturer does not make decisions on whether a consumer's
dispute proceeds to the decision maker. Staff and decision
makers of a certified program shall be trained in the
provisions of this chapter and rules adopted under this
3. A certified program shall allow an oral presentation by
a party, or by a party's employee, agent, or representative.
Within five days following the consumer's notification to
the certified program of the dispute, the program shall inform
each party of their right to make an oral presentation.
Meetings of a certified program to hear and decide disputes
shall be open to observers, including either party to the
dispute, on reasonable and nondiscriminatory terms.
4. A certified program shall render a decision no later
than sixty days from the day of the consumer's notification of
the dispute, provided that a significant number of decisions
are rendered within forty days. For the purposes of this
section, notification is deemed to have occurred when a
certified program has received the consumer's name and
address; the current date and the date of the original
delivery of the motor vehicle to a consumer; the year, make,
model, and identification number of the motor vehicle; and a
description of the nonconformity. If the consumer has not
previously notified the manufacturer of the nonconformity, the
sixty-day period is extended for an additional seven days.
5. A certified program shall, in rendering decisions, take
into account the provisions of this chapter and all legal and
equitable factors germane to a fair and just decision. The
decision shall disclose to the consumer and the manufacturer
the reasons for the decision, and the manufacturer's required
actions, if applicable. If the decision is in favor of the
consumer, the consumer shall have up to twenty-five days from
the date of receipt of the certified program's decision to
indicate acceptance of the decision. The decision shall
prescribe a reasonable period of time, not to exceed thirty
days from the date the consumer notifies the manufacturer of
acceptance of the decision, within which the manufacturer must
fulfill the terms of the decision. If the manufacturer has
had a reasonable number of attempts to conform a motor vehicle
to the warranty as set forth in section 322G.4, subsection 3,
including a final attempt by the manufacturer to repair the
motor vehicle, if undertaken as provided for in section
322G.4, subsection 1, and the consumer is entitled to a
replacement vehicle or a refund under section 322G.4,
subsection 2, the decision shall be limited to relief as
allowed under section 322G.4, subsection 2. In an action
brought by a consumer under this chapter, the decision of a
certified program is admissible in evidence.
6. A certified program shall establish written procedures
which explain operation of the certified program. Copies of
the written procedures shall be made available to any person
upon request and shall be sent to the consumer upon
notification of the dispute.
7. A certified program shall retain all records for each
dispute for at least four years after the final disposition of
the dispute. A certified program shall have an independent
audit conducted annually to determine whether the manufacturer
and its performance and the program and its implementation are
in compliance with this chapter. All records for each dispute
shall be available for the audit. Such audit, upon
completion, shall be forwarded to the attorney general.
8. Any manufacturer licensed to sell motor vehicles in
this state may apply to the attorney general for certification
of its program. A manufacturer seeking certification of its
program in this state shall submit to the attorney general an
application for certification on a form prescribed by the
9. A program certified in this state or a program
established by a manufacturer applying for certification in
this state shall submit to the attorney general a copy of each
settlement approved by the program or decision made by the
decision maker within thirty days after the settlement is
reached or the decision is rendered. The decision or
settlement shall contain information prescribed by the
10. The attorney general shall review the operations of
any certified program at least once annually. The attorney
general shall prepare annual and periodic reports evaluating
the operation of certified programs serving consumers in this
state or programs established by motor vehicle manufacturers
applying for certification in this state. The reports shall
indicate whether certification should be granted, renewed,
denied, or revoked.
11. If a manufacturer has established a program which the
attorney general has certified as substantially complying with
the provisions of and the rules adopted under this chapter,
and has informed the consumer how and where to file a claim
with the program pursuant to subsection 1, the provisions of
section 322G.4, subsection 2, do not apply to any consumer who
has not first resorted to the program.
322G.7 Informal dispute settlement procedure---certification uniformity.
To facilitate uniform application, interpretation, and
enforcement of this section and section 322G.6, and in
implementing rules adopted pursuant to section 322G.14, the
attorney general may cooperate with agencies that perform
similar functions in any other states that enact these or
similar sections. The cooperation authorized by this
subsection may include any of the following:
1. Establishing a central depository for copies of all
applications and accompanying materials submitted by
manufacturers for certification, and all reports prepared,
notices issued, and determinations made by the attorney
general under section 322G.6.
2. Sharing and exchanging information, documents, and
records pertaining to program operations.
3. Sharing personnel to perform joint reviews, surveys,
and investigations of program operations.
4. Preparing joint reports evaluating program operations.
5. Granting joint certifications and certification
6. Issuing joint denials or revocations of certification.
7. Holding a joint administrative hearing.
8. Formulating, in accordance with chapter 17A, the
administrative procedure Act, rules or proposed rules on
matters such as guidelines, forms, statements of policy,
interpretative opinions, and any other information necessary
to implement section 322G.6.
322G.8 Consumer remedies.
1. If a consumer resorts to a manufacturer's certified
program and a decision is not rendered within the time periods
allowed in this chapter, or a manufacturer has no certified
program and the consumer has notified the manufacturer
pursuant to section 322G.4, subsection 1, the consumer may
file an action in district court under this chapter within one
year from the expiration of the lemon law rights period or an
extension of the period pursuant to section 322G.4, subsection
2. If a consumer resorts to a manufacturer's certified
program and is not satisfied with the performance of the
manufacturer as ordered in the decision, or the manufacturer
does not perform as directed by the decision within the time
period specified in the decision, the consumer may file an
action in district court under this chapter within six months
after the date prescribed in the decision by which the
manufacturer must fulfill the terms of the decision. If the
consumer declines to accept the decision of the manufacturer's
certified program, the consumer may appeal the decision
pursuant to subsection 4. For purposes of this subsection,
"not satisfied with the performance of the decision" means,
following the consumer's acceptance of the decision, the
consumer indicates that the manufacturer failed to comply with
the terms of the decision within the time specified in the
decision or failed to cure the nonconformity within the time
specified in the decision if further repairs were ordered.
3. In an action under either subsection 1 or 2, the court
shall award a consumer who prevails the amount of any
pecuniary loss, including relief the consumer is entitled to
under section 322G.4, subsection 2, reasonable attorney's
fees, and costs. In addition, if the court affirms the
decision of the certified program, the court may award any
additional amounts allowed under subsection 7.
4. A certified program's decision is final unless appealed
by either party. A petition to the district court to appeal a
decision must be made within fifty days after receipt of the
decision or within twenty-five days from the date the consumer
indicates acceptance of the decision to the manufacturer,
whichever occurs first. Within seven days after the petition
has been filed, the appealing party must send, by certified,
registered, or express mail, a copy of the petition to the
attorney general. If the attorney general receives no notice
of the petition within sixty days after the manufacturer's
receipt of a decision in favor of the consumer, and the
consumer has indicated acceptance of the decision within the
twenty-five days of receipt of the decision, but the
manufacturer has neither complied with, nor petitioned to
appeal the decision, the attorney general may apply to the
court to impose a fine up to one thousand dollars per day
against the manufacturer until the amount stands at twice the
purchase price of the motor vehicle, unless the manufacturer
provides clear and convincing evidence that the delay or
failure was beyond its control or was acceptable to the
consumer as evidenced by a written statement signed by the
consumer. If the manufacturer fails to provide such evidence
or fails to pay the fine, the attorney general shall initiate
proceedings against the manufacturer for failure to pay the
fine. The proceeds from the fine imposed shall be placed in
the attorney general's motor vehicle fraud and odometer law
enforcement fund for implementation and enforcement of this
5. If the manufacturer fails to comply with a decision
which has been timely accepted by the consumer or fails to
file a timely petition for appeal, the court shall affirm the
board's decision upon application by the consumer.
6. An appeal of a decision by a certified program to the
court by a consumer or a manufacturer shall be tried de novo,
and may be based upon stipulated facts. In a written petition
to appeal a decision by the board, the appealing party must
state the action requested and the grounds relied upon for
7. If a decision of the certified program in favor of the
consumer is affirmed or upheld by the court, recovery by the
consumer shall include the pecuniary value of the award,
including relief the consumer is entitled to under section
322G.4, subsection 2, attorney's fees incurred in obtaining
confirmation of the award, and all costs and continuing
damages in an amount of twenty-five dollars per day for all
days beyond the twenty-five-day period following the
manufacturer's receipt of the consumer's acceptance of the
certified program's decision. If a court determines that a
manufacturer filed a petition for appeal to be tried de novo
in bad faith or brought such an appeal solely for the purpose
of harassment, the court shall double, and may triple, the
amount of the total award, after consideration of all
8. Appellate review of a court decision in favor of the
consumer may be conditioned upon payment by the manufacturer
of the consumer's attorney's fees and giving security for
costs and expenses resulting from the review period.
9. This chapter does not prohibit a consumer from pursuing
other rights or remedies under any other law.
322G.9 Compliance and disciplinary action.
The attorney general may enforce and ensure compliance with
the provisions of this chapter and rules adopted pursuant to
section 322G.14, may issue subpoenas requiring the attendance
of witnesses and the production of evidence, and may petition
any court having jurisdiction to compel compliance with the
subpoenas. The attorney general may levy and collect an
administrative fine in an amount not to exceed one thousand
dollars for each violation against any manufacturer found to
be in violation of this chapter or rules adopted pursuant to
section 322G.14. A manufacturer may request a hearing
pursuant to chapter 17A, the administrative procedure Act, if
the manufacturer contests the fine levied against it. The
proceeds from any fine levied and collected pursuant to this
section shall be placed in the attorney general's motor
vehicle fraud and odometer law enforcement fund for
implementation and enforcement of this chapter.
322G.10 Unfair or deceptive trade practice.
A violation by a manufacturer of this chapter is an unfair
or deceptive trade practice in violation of section 714.16,
subsection 2, paragraph "a".
322G.11 Dealer liability.
This chapter, except for the requirements of section
322G.12, does not impose any liability on a franchised motor
vehicle dealer or create a cause of action by a consumer
against a dealer. A dealer shall not be made a party
defendant in any action involving or relating to this chapter,
except as provided in this section. The manufacturer shall
not charge back or require reimbursement by the dealer for any
costs, including but not limited to any refunds or vehicle
replacements, incurred by the manufacturer pursuant to this
chapter, in the absence of a finding by a court that the
related repairs had been carried out by the dealer in a manner
substantially inconsistent with the manufacturer's published
instructions. A manufacturer who is found by a court to have
improperly charged back a dealer because of a violation of
this section is liable to the injured dealer for full
reimbursement plus reasonable costs and any attorney's fees.
322G.12 Resale of returned vehicles.
A manufacturer who accepts the return of a motor vehicle pursuant to a settlement, determination, or decision under this chapter shall notify the state department of transportation, report the vehicle identification number of that motor vehicle within ten days after the acceptance, and obtain a new certificate of title for the vehicle in the manufacturer's name pursuant to section 321.46. In obtaining a new certificate of title, the manufacturer shall title the vehicle in the county of the transferor's residence and shall be exempt from the registration fee requirements of section 321.46. For purposes of chapter 423, a manufacturer's acceptance of the return of a motor vehicle, as described in this section, shall not be considered "use", as defined in section 423.1. The new certificate of title, and all subsequent registration receipts and certificates of title issued for the motor vehicle, shall contain a designation indicating that the motor vehicle was returned to the manufacturer pursuant to this chapter or a similar law of another state. The state department of transportation shall determine the manner in which the designation is to be indicated on registration receipts and certificates of title and may determine that a "REBUILT" or "SALVAGE" designation supersedes the designation required by this paragraph and include the "REBUILT" or "SALVAGE" designation on the registration receipt and certificate of title in lieu of the designation required by this paragraph.
A person shall not knowingly lease, sell, either at wholesale or retail, or transfer a title to a motor vehicle returned by reason of a settlement, determination, or decision pursuant to this chapter or a similar law of another state unless the nature of the nonconformity is clearly and conspicuously disclosed to the prospective transferee, lessee, or buyer. The attorney general shall prescribe by rule the form, content, and procedure pertaining to such a disclosure statement, recognizing the need of manufacturers to implement a uniform disclosure form. The manufacturer shall make a reasonable effort to ensure that such disclosure is made to the first subsequent retail buyer or lessee. For purposes of this section, "settlement" includes an agreement entered into between the manufacturer and the consumer that occurs after the thirtieth day following the manufacturer's receipt of the consumer's written notification pursuant to section 322G.4.
322G.13 Certain agreements void.
Any agreement entered into by a consumer that waives,
limits, or disclaims the rights set forth in this chapter is
void as contrary to public policy.
322G.14 Rulemaking authority.
1. The attorney general shall adopt rules as necessary to
implement this chapter.
2. In prescribing rules and forms under this chapter, the
attorney general may cooperate with agencies that perform
similar functions in other states with a view to effectuating
the policy of this chapter to achieve maximum uniformity in
the form and content of certification, regulation, and
procedural evaluation of manufacturer-established programs,
required recordkeeping, required reporting wherever
practicable, and required notices to consumers.
1. This chapter takes effect July 1, 1991, and applies to motor vehicles originally purchased or leased by consumers on or after that date.
2. This chapter applies to motor vehicles originally purchased or leased in this state and, except for section 322G.3, subsections 1 and 2, and section 322G.6, subsection 1, applies to motor vehicles originally purchased or leased in other states, if the consumer is a resident of this state at the time the consumer's rights are asserted under this chapter.