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H 1139

An Act relative to motor vehicle service contracts

194th Legislature (2025-2026) Introduced by Dan Donahue and 1 co-sponsor

Bill H 1139 updates motor vehicle service contracts in Massachusetts, enhancing consumer protections and clarifying obligations for manufacturers and dealers.

Accompanied H1084
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WeVote Research Nonpartisan
Bill Summary · H 1139

Summary of Bill H 1139: An Act Relative to Motor Vehicle Service Contracts

Bill Information:
- Bill Number: H 1139
- Title: An Act relative to motor vehicle service contracts
- Introduced: February 27, 2025
- Status: Accompanied H1084
- Presented By: Daniel M. Donahue, Jacob R. Oliveira
- Committee: Financial Services

Purpose and Intent

Bill H 1139 aims to amend existing laws regarding motor vehicle service contracts in the Commonwealth of Massachusetts. The intent is to clarify definitions, update regulatory requirements, and ensure consumer protection in the realm of service contracts related to motor vehicles and consumer products.

Key Provisions

The bill proposes several amendments to Chapter 175 of the General Laws, specifically Section 149M and related sections:

  1. Definitions:

    • Consumer Product: Expanded to include any tangible personal property used for personal, family, or household purposes.
    • Maintenance Agreement: Defined as a contract for regular maintenance of a consumer product.
    • Motor Vehicle Manufacturer: Clearly defined to include various entities involved in the production and distribution of motor vehicles.

  2. Service Contract Definition:

    • Revised to specify that a service contract is a contract for a stated consideration and duration, covering services such as repair, replacement, or maintenance of consumer products, including motor vehicles. It also includes provisions for specific repairs like tire damage from road hazards and windshield repairs.

  3. Exemptions:

    • Certain warranties and service contracts are exempt from the new regulations, including those provided by public utilities, mechanical breakdown insurance policies, and warranties from licensed motor vehicle dealers.

  4. Regulatory Compliance:

    • Motor vehicle manufacturers offering service contracts on their products will have specific compliance requirements and will be exempt from certain licensure requirements.

Impact

  • Consumers: The bill aims to enhance consumer protection by providing clearer definitions and ensuring that service contracts cover a broader range of services and repairs.
  • Motor Vehicle Manufacturers and Dealers: The bill clarifies the obligations and exemptions for manufacturers and dealers, potentially simplifying compliance with state regulations.
  • Public Utilities: Exemptions for public utilities ensure that existing service agreements remain unaffected by the new regulations.

Procedural Aspects

  • Hearing Scheduled: A hearing for the bill is set for May 13, 2025, from 10:00 AM to 1:00 PM in Room A-2.
  • Legislative Actions: The bill was referred to the Financial Services Committee on February 27, 2025, and has since been accompanied by H1084.

Conclusion

Bill H 1139 seeks to modernize and clarify the regulations surrounding motor vehicle service contracts in Massachusetts, enhancing consumer protections while providing necessary exemptions for certain entities. The bill is currently progressing through the legislative process, with a hearing scheduled to discuss its implications further.

Compiled from official sources — confirm details with the bill’s official record.

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