Yates v. General Motors Acceptance Corp.

• Citation: 356 Mass. 529,254 N.E.2d 785
• Parties: Walter R. YATES v. GENERAL MOTORS ACCEPTANCE CORPORATION.
• Decision Date: 24 December 1969
• Court: United States State Supreme Judicial Court of Massachusetts

Page 785

254 N.E.2d 785

356 Mass. 529

Walter R. YATES v. GENERAL MOTORS ACCEPTANCE CORPORATION.

Supreme Judicial Court of Massachusetts, Suffolk.

Argued Dec. 3, 1969.

Decided Dec. 24, 1969.

Norman C. Ross, II, Brookline, for plaintiff.

Thomas G. Jones, Boston, for defendant.

Before SPALDING, CUTTER, KIRK, SPIEGEL and QUIRICO, JJ.

SPALDING, Justice.

This case presents the question of the retroactive application of a statute regulating instalment sales of motor vehicles. By St. 1958, c. 674, a new chapter (255B) entitled, Retail Instalment Sales of Motor Vehicles, was added to the General Laws. The statute was amended by St. 1966, c. 284, § 3, which inserted a new § 20A, effective November 1, 1966. We are concerned here with subsections B and E of § 20A.

Subsection B provides that 'Within five days after the motor vehicle is repossessed, the holder ¹ shall deliver to the buyer personally, or send to him by registered or certified mail to his last known address, a written notice stating briefly (1) that the motor vehicle, including a general description thereof, has been repossessed; (2) the buyer's right to redeem and the amount payable therefor; (3) the buyer's rights as to a resale and his liability for a deficiency; and (4) the exact address where any payment is to be made or notice delivered.'

Subsection E of § 20A reads: 'Repossession without complying with the requirements of subsection B shall subject the holder to a penalty to the buyer of an amount equal to fifty per cent of the fair market value of the collateral at time of repossession and in addition the buyer may sue the holder for conversion of the collateral.'

Based on an alleged failure to send the notice required by subsection B, the plaintiff brought an action to recover the penalty and damages provided by subsection E. The declaration is in two counts. Allegations common to both counts are these: The defendant is the holder of a conditional sale contract for the purchase of a 1966 Pontiac. The contract was executed on November 16, 1965. On December 4, 1967, the defendant repossessed the automobile, which was parked in front of the plaintiff's house. At no time thereafter did the defendant either deliver or mail to the plaintiff the written notice required by subsection B of § 20A.

In the first count the plaintiff seeks to recover the penalty 'equal to fifty per cent of the fair market value' of the automobile. The second count differs from the first only in that it is for the conversion of the automobile, the additional remedy afforded by subsection E. The defendant demurred to the declaration and the demurrer was sustained. On report to the Appellate Division the report was dismissed. The plaintiff appealed.

The issue raised by the demurrer is whether subsections B and E of § 20A are applicable where, as here, the conditional sale contract was made prior to the date when § 20A became effective. As noted above, the contract was made on November 16, 1965. Section 20A became effective on November 1, 1966, slightly less than a year later.

The rule concerning the retroactivity of statutes was clearly and ably stated by Chief Justice Rugg in the leading case of Hanscom v. Malden & Melrose Gas Light Co., 220 Mass. 1, 3, 107 N.E. 426, 427--428: 'The general rule of interpretation is that all statutes are prospective in their operation, unless an intention that ...