H 3537 General Bill, By M. Hines, Askins, Breeland, G. Brown, J. Brown, 
Gourdine, Hayes, J. Hines, Hosey, Lloyd, Mack and Rutherford
 A BILL TO AMEND CHAPTER 5, TITLE 37, CODE OF LAWS OF SOUTH CAROLINA, 1976,
 RELATING TO REMEDIES UNDER THE UNIFORM CONSUMER PROTECTION CODE, BY ADDING
 SECTION 37-5-116 SO AS TO PROVIDE THAT IN EVERY SALE OF A USED MOTOR VEHICLE
 TO A CONSUMER THERE IS AN IMPLIED WARRANTY THAT THE VEHICLE IS FIT FOR THE
 PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION TO THE
 CONSUMER AND THAT A PERSON ENGAGED IN THE BUSINESS OF SELLING USED MOTOR
 VEHICLES WHO SELLS A VEHICLE "AS IS" MAY NOT DISCLAIM THE IMPLIED WARRANTY
 THAT A MOTOR VEHICLE OFFERED FOR SALE OR SOLD TO A CONSUMER IS FIT FOR THE
 PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION TO THE
 CONSUMER, TO PROVIDE FOR DISCLAIMING THE IMPLIED WARRANTY, DEFECTS, AND
 CONDITIONS IN WRITING BEFORE THE SALE OF THE USED MOTOR VEHICLE, TO PROVIDE
 THAT A PERSON ENGAGED IN THE BUSINESS OF SELLING USED MOTOR VEHICLES IS LIABLE
 TO A CONSUMER WHO PURCHASES THE VEHICLE FOR ACTUAL DAMAGES ARISING FROM ANY
 BREACH OF THE IMPLIED WARRANTY THAT THE USED VEHICLE IS FIT FOR THE PURPOSE OF
 PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION AS WELL AS FOR ACTUAL
 AND PUNITIVE DAMAGES RESULTING FROM ANY MISREPRESENTATION, NONDISCLOSURE, OR
 THE PRACTICE OF ANY DECEPTION RELATING TO DEFECTS, CONDITIONS, AND FITNESS OF
 THE USED MOTOR VEHICLE FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND
 SAFE TRANSPORTATION.

   02/13/01  House  Introduced and read first time HJ-8
   02/13/01  House  Referred to Committee on Labor, Commerce and
                     Industry HJ-9

TO AMEND CHAPTER 5, TITLE 37, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REMEDIES UNDER THE UNIFORM CONSUMER PROTECTION CODE, BY ADDING SECTION 37-5-116 SO AS TO PROVIDE THAT IN EVERY SALE OF A USED MOTOR VEHICLE TO A CONSUMER THERE IS AN IMPLIED WARRANTY THAT THE VEHICLE IS FIT FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION TO THE CONSUMER AND THAT A PERSON ENGAGED IN THE BUSINESS OF SELLING USED MOTOR VEHICLES WHO SELLS A VEHICLE "AS IS" MAY NOT DISCLAIM THE IMPLIED WARRANTY THAT A MOTOR VEHICLE OFFERED FOR SALE OR SOLD TO A CONSUMER IS FIT FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION TO THE CONSUMER, TO PROVIDE FOR DISCLAIMING THE IMPLIED WARRANTY, DEFECTS, AND CONDITIONS IN WRITING BEFORE THE SALE OF THE USED MOTOR VEHICLE, TO PROVIDE THAT A PERSON ENGAGED IN THE BUSINESS OF SELLING USED MOTOR VEHICLES IS LIABLE TO A CONSUMER WHO PURCHASES THE VEHICLE FOR ACTUAL DAMAGES ARISING FROM ANY BREACH OF THE IMPLIED WARRANTY THAT THE USED VEHICLE IS FIT FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION AS WELL AS FOR ACTUAL AND PUNITIVE DAMAGES RESULTING FROM ANY MISREPRESENTATION, NONDISCLOSURE, OR THE PRACTICE OF ANY DECEPTION RELATING TO DEFECTS, CONDITIONS, AND FITNESS OF THE USED MOTOR VEHICLE FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1.    Chapter 5, Title 37 of the 1976 Code is amended by adding:

    "Section 37-5-116.    (A)    Notwithstanding any other provision of law, in every sale of a used motor vehicle by a person engaged in the business of selling used motor vehicles to a consumer there is an implied warranty that the vehicle is fit for the purpose of providing reasonably reliable and safe transportation to the consumer without breakdown from a defect or condition existing in the vehicle at the time of the sale.

    (B)    Except as provided in this section, a person engaged in the business of selling used motor vehicles who sells a vehicle 'as is' to a consumer may not disclaim defects or the implied warranty that a motor vehicle offered for sale or sold to a consumer is fit for the purpose of providing reasonably reliable and safe transportation to the consumer. A person engaged in the business of selling used motor vehicles may sell a vehicle 'as is' and disclaim the implied warranty that the motor vehicle offered for sale or sold to a consumer is fit for the purpose of providing reasonably reliable and safe transportation to the consumer only by disclaiming the implied warranty in writing that identifies the vehicle and states in large bold capital letters, 'WARNING! THIS VEHICLE IS NOT FIT FOR THE PURPOSE OF PROVIDING REASONABLY RELIABLE AND SAFE TRANSPORTATION TO A CONSUMER.'

    (C)    A person engaged in the business of selling used motor vehicles is liable to the purchasing consumer for any known defect or condition existing in the vehicle at the time of sale unless the specific defect or condition is acknowledged to exist and disclaimed in writing to the consumer prior to the sale of the vehicle to the consumer. For purposes of this subsection, a 'known defect or condition existing in the vehicle at the time of sale' includes all defects and conditions existing in the vehicle at the time of sale that could have been discovered by inspection by a mechanic who is competent to determine whether the vehicle is fit for the purpose of providing reasonably reliable and safe transportation without breaking down from a condition existing in the vehicle at the time of sale.

    (D)    A person engaged in the business of selling used motor vehicles who sells a used motor vehicle to a consumer is liable to the purchasing consumer for actual damages arising from any breach of the implied warranty that the used vehicle is fit for the purpose of providing reasonably reliable and safe transportation, and for actual and punitive damages arising from misrepresentation, nondisclosure, or the practice of any deception upon the consumer relating to defects, conditions, and fitness of the used motor vehicle for the purpose of providing reasonably reliable and safe transportation to the consumer.

    (E)    The provisions of this section are cumulative and in addition to all other remedies provided by law or in equity."

SECTION    2.    This act takes effect upon approval by the Governor.