If a manufacturer has established or participates in an informal dispute settlement procedure, the provisions of this act shall not apply to any consumer who has not first resorted to such procedure, if such procedure does all of the following:
  (a) Complies with the Magnuson-Moss warranty—federal trade commission improvement act, Public Law 93-637, 88 Stat. 2183, and 16 C.F.R. § 703 (1975). An informal dispute settlement procedure which the federal trade commission rules does not comply with 16 C.F.R. § 703 (1975) shall be considered as not meeting the requirements of this subdivision.

Terms Used In Michigan Laws 257.1405

  • Consumer: means 1 or more of the following:
  (i) A person who purchases or leases a new motor vehicle for personal, family, or household use and not for the purpose of selling or leasing the new motor vehicle to another person. See Michigan Laws 257.1401
  • Manufacturer: means a person who manufactures, assembles, or is a distributor of new motor vehicles and includes an agent of a manufacturer but does not include a new motor vehicle dealer. See Michigan Laws 257.1401
  • Public law: A public bill or joint resolution that has passed both chambers and been enacted into law. Public laws have general applicability nationwide.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • shall not apply: means that the pertinent provision is not operative as to certain persons or things or in conjunction with a particular date or dates. See Michigan Laws 8.4c
  •   (b) Requires that the manufacturer is bound by any decision reached if the consumer agrees to it.
      (c) Provides that the consumer is not obligated to accept the decision and may pursue the remedies provided for under this act.
      (d) Requires the manufacturer to initiate the process necessary to implement any final settlement not more than 30 days after the settlement has been reached.