McNeill’s early lease termination legislation passes PA House

Rep. Jeanne McNeill    October 2, 2023 | 3:50 PM

HARRISBURG, Oct. 2 – State Rep. Jeanne McNeill today announced her legislation that would prohibit financing companies and dealerships from charging early lease termination fees in cases where leases are terminated for medical reasons has passed the PA House of Representatives.

The bill, H.B. 540, would allow people to terminate vehicle leases early if the Pennsylvania Department of Transportation has recalled their license due to them being deemed unfit or unable to drive.

“Being diagnosed as medically unfit to drive is lifechanging. It is challenging and sometimes nearly impossible for those in this situation to pay the remaining balance owed or the termination fees that come with ending a lease on a vehicle they can no longer use,” said McNeill. “Passing this bill in the House today is a win for those that are currently in this situation or will find themselves in this situation in the future.”

McNeill said relief from early termination fees would only be available if a person’s license is recalled by PennDOT for medical reasons and would not apply if there is another member of the household who uses the vehicle.

House Bill 540 now heads to the state Senate for consideration.

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