Michigan § 445.1578 - Liability for damage to new motor vehicles; rejection of new motor vehicle by dealer; credit.
Full text of Michigan Michigan Compiled Laws § 445.1578 — Liability for damage to new motor vehicles; rejection of new motor vehicle by dealer; credit., with citation guidance and answers to common questions.
§ 445.1578. Liability for damage to new motor vehicles; rejection of new motor vehicle by dealer; credit.
Notwithstanding the terms, provisions, or conditions of any agreement, a new motor vehicle dealer is solely liable for damages to new motor vehicles after acceptance from the carrier and before delivery to the ultimate purchaser. Acceptance by the new motor vehicle dealer shall occur when the new motor vehicle dealer signs a delivery receipt for any motor vehicle.
Notwithstanding the terms, provisions, or conditions of any agreement, the manufacturer or distributor is liable for all damages to motor vehicles before delivery to a carrier or transporter.
The new motor vehicle dealer is liable for damages to new motor vehicles after delivery to the carrier only if the dealer selects the method of transportation, mode of transportation, and the carrier. In all other instances, the manufacturer or distributor is liable for new motor vehicle damage.
If the new motor vehicle dealer rejects a new motor vehicle pursuant to this section, the manufacturer or distributor shall credit the dealer's account within 10 business days after receipt of the notice of rejection.
Source: official Michigan text · Last verified 2026-08-27
Frequently Asked Questions About Michigan § 445.1578
What does Michigan Compiled Laws § 445.1578 cover?
Section 445.1578 ("Liability for damage to new motor vehicles; rejection of new motor vehicle by dealer; credit.") is part of the Michigan Compiled Laws, the codified statutory law of Michigan. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Michigan § 445.1578?
A common citation format is "Michigan Compiled Laws § 445.1578" (Michigan). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Michigan law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Michigan official source linked on this page or consult a licensed Michigan attorney.
How does Michigan § 445.1578 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Michigan can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Michigan.