Terms Used In Michigan Laws > Chapter 566 > Act 305 of 1939 - Motor Vehicle Installment Sales Contracts

• buyer: means a person who buys or agrees to buy a motor vehicle, or any legal successor in interest of such person. See Michigan Laws 566.301
• cash price: means the price measured in dollars agreed upon in good faith by the parties as the consideration for the sale of a motor vehicle which is the subject matter of any retail installment sale, exclusive of all financing or other charges incident to such sale. See Michigan Laws 566.301
• contract: refers to and includes any transfer, conveyance, assignment or sale of a motor vehicle to any person other than a registered dealer in motor vehicles whose place of business is located in the state of Michigan or any other dealer in motor vehicles whose place of business is located outside of the state of Michigan when such transfer, conveyance, assignment or sale is made in the ordinary course of the seller's business. See Michigan Laws 566.301
• Finance charge: The total cost of credit a customer must pay on a consumer loan, including interest. The Truth in Lending Act requires disclosure of the finance charge. ^{Source: OCC}
• finance charge: means any consideration which the retail buyer contracts to pay the retail seller for the privilege of paying the principal balance in installments over a period of time. See Michigan Laws 566.301
• Mortgagee: The person to whom property is mortgaged and who has loaned the money.
• motor vehicle: means every self-propelled device in, upon or by which any person or property is or may be transported or drawn upon a public highway, excepting devices used exclusively upon stationary rails or tracks and excepting also motorcycles, motor bicycles, farm tractors, road rollers and other machinery not designed primarily for highway transportation, but which may incidentally transport persons or property on the highway. See Michigan Laws 566.301
• person: includes an individual, partnership, corporation and any other association. See Michigan Laws 566.301
• retail installment contract: means any written instrument which is executed in connection with any retail installment sale and includes conditional sales contracts, purchase money chattel mortgages and bailment leases retaining a security interest in the seller. See Michigan Laws 566.301
• retail installment sale: means and includes every retail contract to sell a motor vehicle and every retail sale of a motor vehicle to any person (1) in which the cash price of the motor vehicle may be paid in installments over a period of time, and (2) in which the seller has taken or retained a security interest in the motor vehicle thereby contracted to be sold. See Michigan Laws 566.301
• security interest: means a property interest in a motor vehicle which is the subject matter of a retail installment sale limited in extent to securing performance of some obligation of the retail buyer or of some third person to the retail seller and includes the interest of a mortgagee of a motor vehicle; the interest of the seller who retains title to a motor vehicle, whether or not expressed to be absolute, whenever such title is in substance retained for security only; and the interest of a bailor or lessor of a motor vehicle under any contract of bailment or leasing, by which the bailee or lessee contracts to pay as compensation a sum substantially equivalent to the value of the motor vehicle and by which it is agreed that the bailee or lessee is bound to become or has the option of becoming the owner of such motor vehicle upon full compliance with the terms of the contract. See Michigan Laws 566.301
• seller: means a person, who sells or agrees to sell a motor vehicle, or any legal successor in interest of such person. See Michigan Laws 566.301