§ 198-a. Warranties. (a) As used in this section:\n (1) "Consumer" means the purchaser, lessee or transferee, other than\nfor purposes of resale, of a motor vehicle which is used primarily for\npersonal, family or household purposes and any other person entitled by\nthe terms of the manufacturer's warranty to enforce the obligations of\nsuch warranty;\n (2) "Motor vehicle" means a motor vehicle excluding off-road vehicles,\nwhich was subject to a manufacturer's express warranty at the time of\noriginal delivery and either (i) was purchased, leased or transferred in\nthis state within either the first eighteen thousand miles of operation\nor two years from the date of original delivery, whichever is earlier,\nor (ii) is registered in this state;\n (3) "Manufacturer's express warranty" or "warranty" means the written\nwarranty, so labeled, of the manufacturer of a new motor vehicle,\nincluding any terms or conditions precedent to the enforcement of\nobligations under that warranty.\n (4) "Mileage deduction formula" means the mileage which is in excess\nof twelve thousand miles times the purchase price, or the lease price if\napplicable, of the vehicle divided by one hundred thousand miles.\n (5) "Lessee" means any consumer who leases a motor vehicle pursuant to\na written lease agreement which provides that the lessee is responsible\nfor repairs to such motor vehicle.\n (6) "Lease price" means the aggregate of:\n (i) the lessor's actual purchase cost;\n (ii) the freight cost, if applicable;\n (iii) the cost for accessories, if applicable;\n (iv) any fee paid to another to obtain the lease; and\n (v) an amount equal to five percent of the lessor's actual purchase\ncost as prescribed in subparagraph (i) of this paragraph.\n (7) "Service fees" means the portion of a lease payment attributable\nto:\n (i) an amount for earned interest calculated on the rental payments\npreviously paid to the lessor for the leased vehicle at an annual rate\nequal to two points above the prime rate in effect on the date of the\nexecution of the lease; and\n (ii) any insurance or other costs expended by the lessor for the\nbenefit of the lessee.\n (8) "Capitalized cost" means the aggregate deposit and rental payments\npreviously paid to the lessor for the leased vehicle less service fees.\n (b) (1) If a new motor vehicle which is sold and registered in this\nstate does not conform to all express warranties during the first\neighteen thousand miles of operation or during the period of two years\nfollowing the date of original delivery of the motor vehicle to such\nconsumer, whichever is the earlier date, the consumer shall during such\nperiod report the nonconformity, defect or condition to the\nmanufacturer, its agent or its authorized dealer. If the notification is\nreceived by the manufacturer's agent or authorized dealer, the agent or\ndealer shall within seven days forward written notice thereof to the\nmanufacturer by certified mail, return receipt requested, and shall\ninclude in such notice a statement indicating whether or not such\nrepairs have been undertaken. The manufacturer, its agent or its\nauthorized dealer shall correct said nonconformity, defect or condition\nat no charge to the consumer, notwithstanding the fact that such repairs\nare made after the expiration of such period of operation or such two\nyear period.\n (2) If a manufacturer's agent or authorized dealer refuses to\nundertake repairs within seven days of receipt of the notice by a\nconsumer of a nonconformity, defect or condition pursuant to paragraph\none of this subdivision, the consumer may immediately forward written\nnotice of such refusal to the manufacturer by certified mail, return\nreceipt requested. The manufacturer or its authorized agent shall have\ntwenty days from receipt of such notice of refusal to commence such\nrepairs. If within such twenty day period, the manufacturer or its\nauthorized agent fails to commence such repairs, the manufact
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