Learn About The Law
Get help with your legal needs
FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
Current as of March 28, 2024 | Updated by Findlaw Staff
(a) A motor vehicle dealer may fill in the blanks on standardized forms in connection with the sale or lease of a new or a used motor vehicle if the motor vehicle dealer does not charge for the service of filling in the blanks or otherwise charge for preparing documents.
(b)(1) A motor vehicle dealer may charge a service and handling fee in connection with the sale or lease of a new or a used motor vehicle for:
(A) The handling, processing, and storage of documents; and
(B) Other administrative and clerical services.
(2)(A) The service and handling fee may be charged to allow cost recovery for motor vehicle dealers.
(B) A portion of the service and handling fee may result in profit to the motor vehicle dealer.
(c)(1) The Arkansas Motor Vehicle Commission shall determine by rule the amount of the service and handling fee that may be charged by a motor vehicle dealer. The service and handling fee shall be no less than zero dollars ($0.00) and no more than one hundred twenty-nine dollars ($129).
(2) If a service and handling fee is charged under this section, the service and handling fee shall be:
(A) Charged to all retail customers; and
(B) Disclosed on the retail buyer's order form as a separate itemized charge.
(3) If a service and handling fee is charged under this section, the service and handling fee is not required to be charged to all fleet sales.
(4) If a service and handling fee is charged under this section:
(A) A motor vehicle dealer may charge a purchaser of a motor vehicle a different service and handling fee if the purchaser utilizes:
(i) A manufacturer's sales plan or program; or
(ii) Financing through a finance company that caps a service and handling fee;
(B) The service and handling fee charged under this section shall be consistent with the service and handling fee authorized under:
(i) The manufacturer's sales plan or program;
(ii) The finance company policy; or
(iii) The laws of a foreign state with subject-matter jurisdiction.
(d) A preliminary worksheet on which a sale price is computed and that is shown to the purchaser, a retail buyer's order form from the purchaser, or a retail installment contract shall include in reasonable proximity to the place on the document where the service and handling fee authorized by this section is disclosed:
(1) The amount of the service and handling fee; and
(2) The following notice in type that is bold-faced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material:
“A SERVICE AND HANDLING FEE IS NOT AN OFFICIAL FEE. A SERVICE AND HANDLING FEE IS NOT REQUIRED BY LAW BUT MAY BE CHARGED TO THE CUSTOMER FOR PERFORMING SERVICES AND HANDLING DOCUMENTS RELATING TO THE CLOSING OF A SALE OR LEASE. THE SERVICE AND HANDLING FEE MAY RESULT IN PROFIT TO THE DEALER. THE SERVICE AND HANDLING FEE DOES NOT INCLUDE PAYMENT FOR THE PREPARATION OF LEGAL DOCUMENTS. THIS NOTICE IS REQUIRED BY LAW.”
(e) The Arkansas Motor Vehicle Commission may promulgate rules to implement, enforce, and administer this section.
Cite this article: FindLaw.com - Arkansas Code Title 23. Public Utilities and Regulated Industries § 23-112-317. Motor vehicle dealer service and handling fees - last updated March 28, 2024 | https://codes.findlaw.com/ar/title-23-public-utilities-and-regulated-industries/ar-code-sect-23-112-317/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.
A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.
Get help with your legal needs
FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
Search our directory by legal issue
Enter information in one or both fields (Required)