Mich. Admin. Code R. 125.1402 - Accounts and records; record of homes bought, sold, or exchanged; content; application for certificate of manufactured home ownership; purchase agreement; retention of additional records; consumer deposit records; accounts and records inspection; bond, cash, or security deposit records

Rule 402.

(1) In addition to accounts and records that are required by local ordinances, by other laws, or as prescribed elsewhere in these rules, a retailer shall maintain a record of all homes bought, sold, or exchanged for 4 years. The record shall include all of the following entries:
(a) The date each home is taken into inventory.
(b) The name and address of the person from whom the home was obtained.
(c) The purchase or stock number of the home.
(d) The identification number of the home.
(e) The manufacturer's trade name.
(f) The year of manufacture and model name or number of the home.
(g) The dates bought, sold, and exchanged,
(h) The name and address of the purchaser.
(2) If a retailer is selling or brokering the home, except to another retailer that will be holding the home for resale, the retailer or its authorized representative shall prepare and file an application for a certificate of manufactured home ownership, which shall include any lien held against the home. If a retailer is selling or brokering the sale of a home that it was holding for resale, except to another retailer that will be holding the home for resale, it shall also file the application for a certificate of manufactured home ownership. The application shall be on a form prescribed by the department.
(3) All sales of a home shall be executed by purchase agreement.
(4) A retailer shall retain all of the following documents for 4 years:
(a) A copy of the manufacturer's invoice for each new home.
(b) A copy of each purchase agreement, as defined in these rules, with any attachments needed to complete the purchase agreement for each home bought, sold, and exchanged.
(c) The retailer's copy of the validated application for a certificate of manufactured home ownership.
(d) Service records for each home sold. If the home is pre-owned, all records that the retailer may have knowledge of shall be retained.
(e) A list of all options purchased with a specific home, unless otherwise contained in the purchase agreement.
(f) A copy of the retail installment sales agreement for all retailer-arranged financing.
(5) A retailer that maintains an escrow account shall maintain a separate record of consumer deposits at its principal place of business for 4 years. The records shall consist of all of the following:
(a) A record that shows the chronological sequence in which consumer deposits are received and disbursed.
(b) For consumer deposits received, the record shall include all of the following information:
(i) The date of receipt.
(ii) The name of the individual who is giving the consumer deposit,
(iii) The name of the individual receiving the consumer deposit,
(iv) The amount.
(c) If the consumer deposit is in the form of collateral or security other than cash or a cash negotiable instrument, then the record shall specifically identify the collateral or security, and the cash value shall be the same as contained in the purchase agreement.
(d) For disbursements, the record shall include all of the following information:
(i) The date.
(ii) The payee.
(iii) The check number.
(iv) The amount.
(e) A running balance shall be shown after each entry of receipt and disbursement.
(6) A retailer who maintains a bond, cash, or security deposits in place of an escrow account shall maintain a record for 4 years consisting of the following:
(a) For consumer deposits received, the record shall include all of the following information:
(i) The date of receipt.
(ii) The name of the individual who is giving the consumer deposit,
(iii) The name of the individual receiving the consumer deposit,
(iv) The amount.
(b) If the consumer deposit is collateral or security other than cash or a cash negotiable instrument, then the record shall specifically identify the collateral or security, and the cash value shall be the same as contained in the purchase agreement.
(c) For disbursements, the record shall include all of the following information:
(i) The date.
(ii) The payee.
(iii) The check number.
(iv) The amount.
(7) The retail installment contract shall disclose all arrangements made between the retailer and the consumer regarding the consumer deposit, such as any of the following:
(a) Trade-ins.
(b) Rebates.
(c) Promissory notes.
(d) Cash.

Notes

Mich. Admin. Code R. 125.1402
1979 AC; 1991 AACS; 1998 AACS; 2003 AACS

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