Substitute Senate Bill No. 1185
         Substitute Senate Bill No. 1185

               PUBLIC ACT NO. 97-51


AN  ACT  PERMITTING NEW CAR DEALERS TO ISSUE MOTOR
VEHICLE  REGISTRATIONS  TO  PURCHASERS  OF  LEASED
MOTOR VEHICLES.


    Be  it  enacted  by  the  Senate  and House of
Representatives in General Assembly convened:
    Section   1.  Section  14-62  of  the  general
statutes  is  repealed  and   the   following   is
substituted in lieu thereof:
    (a)  Each  sale shall be evidenced by an order
properly signed by both the buyer  and  seller,  a
copy of which shall be furnished to the buyer when
executed, and an  invoice  upon  delivery  of  the
motor  vehicle,  both  of  which shall contain the
following information: (1) Make  of  vehicle;  (2)
year of model, whether sold as new or used, and on
invoice the identification  number;  (3)  deposit,
and  (A)  if  the  deposit  is not refundable, the
words "No Refund of Deposit" shall appear at  this
point,  and  (B)  if  the deposit is conditionally
refundable,  the  words  "Conditional  Refund   of
Deposit" shall appear at this point, followed by a
statement giving the conditions  for  refund,  and
(C)  if the deposit is unconditionally refundable,
the words "Unconditional Refund" shall  appear  at
this  point;  (4)  cash selling price; (5) finance
charges, and (A) if these charges do  not  include
insurance,  the  words "No Insurance" shall appear
at this point, and (B) if  these  charges  include
insurance,  a statement shall appear at this point
giving the exact type of coverage;  (6)  allowance
on   motor   vehicle   traded   in,  if  any,  and
description of the same; (7) stamped or printed in
a  size  equal  to at least ten-point bold type on
the face of both order  and  invoice  one  of  the
following  forms:  (A)  "This  motor  vehicle  not
guaranteed",  or  (B)  "This  motor   vehicle   is
guaranteed",  followed  by  a  statement as to the
terms of such guarantee, which statement shall not
apply to household furnishings of any trailer; (8)
if the motor vehicle is new but has  been  subject
to use by the seller or use in connection with his
business as  a  dealer,  the  word  "demonstrator"
shall  be  clearly  displayed  on the face of both
order and invoice.
    (b)  No  dealer  shall  include in the selling
price a dealer preparation charge for any item  or
service   for   which  he  is  reimbursed  by  the
manufacturer  or   any   item   or   service   not
specifically  ordered by the buyer and itemized on
the invoice.
    (c)  No  [used  car] dealer licensed under the
provisions of section 14-52 shall  sell  any  used
motor  vehicle without furnishing to the buyer, at
the time of sale, a valid  certificate  of  title,
the  assignment  and  warranty  of  title  by such
dealer  or  other  evidence  of  title  issued  by
another   state   or  country,  where  applicable,
disclosing the existence  of  any  lien,  security
interest in or other encumbrance on the vehicle.
    (d) THE PROVISIONS  OF  SUBSECTION (c) OF THIS
SECTION SHALL NOT  APPLY  TO  THE SALE OF ANY USED
MOTOR VEHICLE BY  A  NEW  CAR  DEALER TO A PERSON,
FIRM OR CORPORATION  WHICH,  PURSUANT  TO  A LEASE
CONTRACT OPTION, PURCHASES SUCH VEHICLE AT THE END
OF THE LEASE  TERM  PROVIDED  (1)  SUCH VEHICLE IS
REGISTERED IN THIS  STATE  IN  ACCORDANCE WITH THE
PROVISIONS OF SECTION  14-12,  (2) THE CERTIFICATE
OF TITLE FOR  SUCH VEHICLE IS IN THE POSSESSION OF
A LESSOR LICENSED  UNDER THE PROVISIONS OF SECTION
14-15, (3) SUBSEQUENT  TO  SUCH SALE, SUCH VEHICLE
IS REGISTERED IN  THE NAME OF THE PRIOR LESSEE AND
(4) SUCH DEALER  OBTAINS  THE CERTIFICATE OF TITLE
FROM  SUCH  LESSOR  AND  TRANSMITS  ALL  NECESSARY
DOCUMENTS AND FEES  TO  THE COMMISSIONER NOT LATER
THAN FIVE DAYS  FOLLOWING  THE ISSUANCE OF A MOTOR
VEHICLE REGISTRATION FOR SUCH VEHICLE.
    Sec.  2.  This  act shall take effect from its
passage.

Approved May 14, 1997