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Proposed Non-OEM Crash Parts Customer Notification Language

 1345.81 Using non-original equipment manufacturer aftermarket crash parts.

(A) As used in this section:

(1) "Aftermarket crash part" means a replacement for any of the non-mechanical sheet metal or plastic parts that generally constitute the exterior of a motor vehicle, including inner and outer panels.

(2) "Non-original equipment manufacturer aftermarket crash part" or "non-OEM aftermarket crash part" means any aftermarket crash part that is not made by or for the manufacturer of the motor vehicle.

(3) "Repair facility" means any motor vehicle dealer, garage, body shop, or other commercial entity that undertakes the repair or replacement of those parts that generally constitute the exterior of a motor vehicle.

(4) "Installer" means any individual who actually performs the work of replacing or repairing parts of a motor vehicle.

(5) "Insurer" means any individual serving as an agent or authorized representative of an insurance company, involved with the coverage for repair of the motor vehicle in question.

(B) Any insurer who provides an estimate for the repair of a motor vehicle based in whole or in part upon the use of any non-OEM aftermarket crash part in the repair of the motor vehicle and any repair facility or installer who intends to use a non-OEM aftermarket crash part in the repair of a motor vehicle shall comply with the following provisions, as applicable:

(1) If the person requesting the repair chooses to receive a written estimate, the insurer, repair facility, or installer providing the estimate shall identify, clearly in the written estimate, each non-OEM aftermarket crash part and that estimate shall contain a written notice with the following language in ten-point or larger type: "This estimate has been prepared based upon the use of one or more aftermarket crash parts supplied by a source other than not made by or for the manufacturer of your motor vehicle. Warranties applicable to these aftermarket crash parts are provided by the parts manufacturer or distributor rather than by your own motor vehicle manufacturer. Your insurance policy may govern the use of crash parts.  Any questions about your insurance policy should be directed to your insurance company or your insurance agent.  Ohio law requires motor vehicle collision repair operators that perform five or more motor vehicle collision repairs must register with the Motor Vehicle Repair Board.  The failure of a motor vehicle repair operator to register with the Motor Vehicle Repair Board is an unfair and deceptive act or practice under section 4775.02 of the Revised Code, in violation of section 1345.02 of the Revised Code.  Under the Ohio Consumer Sales Practice Act a consumer may bring a private right of action against an unregistered motor vehicle collision repair operator and recover damages.  To determine if a motor vehicle collision repair operator is registered you can contact the Motor Vehicle Repair Board." Receipt and approval of the written estimate shall be acknowledged by the signature of the person requesting the repair at the bottom of the written estimate.

(2) If the person requesting the repair chooses to receive an oral estimate or no estimate at all, the insurer, repair facility, or installer providing the estimate or seeking the person's approval for repair work to commence shall furnish or read to the person a written notice as described in division (B)(1) of this section at the time that the oral estimate is given or when the person requesting the repair gives his or her approval for the repair work to commence. If the person has chosen to receive an oral estimate or no estimate, the written notice described in division (B)(1) of this section shall be provided with the final invoice for the repair.

(C) Any non-OEM aftermarket crash part manufactured after the effective date of this act shall have permanently affixed thereto, or inscribed thereon, prior to the installation of the part, the business name or logo of the manufacturer.

Whenever practical, the location of the affixed or inscribed information upon the part shall ensure that the information shall be accessible after installation.

(D) An insurer,  A repair facility, or installer may use a salvage motor vehicle part in the repair of a motor vehicle, if the salvage motor vehicle part is of a like kind and quality to the part in need of repair and is removed from a salvage motor vehicle by a salvage motor vehicle dealer licensed under Chapter 4738. of the Revised Code.

(E) (1)Any violation of this section in connection with a consumer transaction as defined in section 1345.01 of the Revised Code is an unfair and deceptive act or practice as defined by section 1345.02 of the Revised Code.

(2) In addition to any penalties or actions authorized under this section, failure to provide the complete disclosures in division (B) of this section in a written or oral estimate is subject to penalty under division (C) of section 4775.99 of the Revised Code.

4775.99 Penalties

(C) After conducting an investigation and upon establishing that a written or oral disclosure as required under division (B) of section 1345.81 did not contain the complete written notice required under division (B)(1) of section 1345.81, the motor vehicle repair board, in addition to any other action it may take or any other penalty imposed pursuant to this chapter, or in addition to any penalty or action available under the revised code, may impose an administrative fine on the person or entity that failed to provide the complete written notice required under division (B)(1) of section 1345.81 of the revised code in an amount of not more than two thousand dollars on a first offense.  On each subsequent offense, the board may impose an administrative fine of not less than one thousand dollars nor more than seven thousand five hundred dollars.  If the administrative fine is not paid, the attorney general, upon the board’s request, shall commence a civil action to collect the administrative fine.  The pendency or disposition of any action authorized under division (B)(2) of section 1345 shall have no effect on the determination of the motor vehicle repair board under this division or any action of the attorney general.

 

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