N.Y. General Business Law § 396-qq: New and used motor vehicles; sales and leases

§ 396-qq. New and used motor vehicles; sales and leases. 1.

Definitions. The following terms when used in this section, shall be

deemed to mean and include:

a. "Dealer" as defined in section four hundred fifteen of the vehicle

and traffic law.

b. "Motor vehicle" as defined in section one hundred twenty-five of

the vehicle and traffic law and excluding class A, B and C limited use

motorcycles as defined in section one hundred twenty-one-b of the

vehicle and traffic law.

2. Whenever a dealer provides to a purchaser or lessee of a motor

vehicle the service of securing a registration and/or certificate of

title for such vehicle from the commissioner of motor vehicles or his

issuing agent, the dealer shall either calculate the actual registration

and/or certificate of title charges due, or make a good faith estimate

in each transaction of the amount of such charges on the sales contract

or lease agreement. If such charges are estimated, the dealer shall set

forth on such sales contract or lease agreement or on a separate

document to be initialled by the purchaser or lessee in conspicuous

boldface type, the following disclosure: "THE AMOUNT INDICATED ON THIS

SALES CONTRACT OR LEASE AGREEMENT FOR REGISTRATION AND TITLE FEES IS AN

ESTIMATE. IN SOME INSTANCES, IT MAY EXCEED THE ACTUAL FEES DUE THE

COMMISSIONER OF MOTOR VEHICLES. THE DEALER WILL AUTOMATICALLY, AND

WITHIN SIXTY DAYS OF SECURING SUCH REGISTRATION AND TITLE, REFUND ANY

AMOUNT OVERPAID FOR SUCH FEES." If such charges are estimated, the

dealer shall, within sixty days of securing such registration and title,

refund to the purchaser or lessee the difference between the estimated

amount collected from such purchaser or lessee by the dealer and the

actual fees paid to the commissioner of motor vehicles by the dealer.

3. Where a violation of this section is alleged to have occurred, the

attorney general may apply in the name of the people of the state of New

York to the supreme court of the state of New York within the judicial

district in which such violation is alleged to have occurred, on notice

of five days, for an order enjoining or restraining the continuance of

such violation. In any such proceeding the court may impose a civil

penalty in an amount not to exceed five hundred dollars and order

restitution to aggrieved consumers.