Montana

In 1999, members who later formed the NHSCA worked with the SCIC to pass a South Dakota style exemption law. HB 100 became law to clearly and broadly exempt home service contracts then codified at 33-1-102. In early 2007, an odd bill, HB 248, was introduced as an apparent result of a legislator's personal frustrating delay with a retail service contract on a refrigerator. The bill would have required all providers to estimate repair times and subject providers to large penalties if repairs exceeded those estimates. The bill was flawed and unworkable by any measure. NHSCA and SCIC worked to resolve the legislators issue and respond with other options to the bill. HB 248 died in committee. HB 724 was substituted and was signed by the Governor on April 6, 2007. HB 724, now codified at 30-14-1301, simply requires much of the model disclosures and the model financial responsibility options. The definition of service contracts is that already contained in 33-1-102 (10)(b)  SEE BELOW.  The act simply makes such requirements "subject to examination" and administration by the Montana Department of Justice. The effective date is January 1, 2008

FOR DIRECT LINK TO 30-14-1301 CLICK HERE

See also:
33-1-102.  Compliance required -- exceptions -- health service corporations -- health maintenance organizations -- governmental insurance programs -- service contracts.

(b) A "service contract" means a contract or agreement for a separately stated consideration for a specific duration to perform the repair, replacement, or maintenance of property or to indemnify for the repair, replacement, or maintenance of property if an operational or structural failure is due to a defect in materials or manufacturing or to normal wear and tear, with or without an additional provision for incidental payment or indemnity under limited circumstances, including but not limited to towing, rental, and emergency road service. A service contract may provide for the repair, replacement, or maintenance of property for damage resulting from power surges or accidental damage from handling. A service contract does not include motor club service as defined in 61-12-301 .

History: En. Sec. 9, Ch. 286, L. 1959; Sec. 40-2609, R.C.M. 1947; (2)En. Sec. 10, Ch. 286, L. 1959; Sec. 40-2610, R.C.M. 1947; (3)En. Sec. 11, Ch. 286, L. 1959; Sec. 40-2611, R.C.M. 1947; R.C.M. 1947, 40-2609, 40-2610, 40-2611; amd. Sec. 31, Ch. 457, L. 1987; amd. Sec. 1, Ch. 502, L. 1987; amd. Sec. 1, Ch. 558, L. 1987; amd. Sec. 52, Ch. 613, L. 1989; amd. Sec. 22, Ch. 4, Sp. L. May 1990; amd. Sec. 2, Ch. 727, L. 1991; amd. Sec. 12, Ch. 502, L. 1995; amd. Sec. 1, Ch. 590, L. 1995; amd. Sec. 1, Ch. 577, L. 1999; amd. Sec. 2, Ch. 13, L. 2001; amd. Sec. 8, Ch. 227, L. 2001.

None at this time

Download Compliance Chart

Download Tax Tips