Vt. Stat. Ann. tit. 09, § 2351 (2026)

§ 2351. Definitions

As used in this chapter only, unless the context otherwise requires:

(1) “Motor vehicle” means and is limited to the following:

(A) all vehicles propelled or drawn by power other than muscular power, except when two or more such vehicles are purchased at the same time;

(B) trailers and semi-trailers, as defined in 23 V.S.A. § 4(40), except when two or more such trailers or semi-trailers are purchased at the same time; and

(C) mobile home as defined in 10 V.S.A. § 6201.

(2) “Retail buyer” or “buyer” means a person who agrees to buy or buys a motor vehicle other than principally for the purpose of resale, or other than principally for a commercial purpose, from a retail seller in a retail installment transaction.

(3) “Retail seller” or “seller” means a person engaged in the business of selling motor vehicles to retail buyers in retail installment transactions and includes an owner of a mobile home park who sells mobile homes to residents of the park, whether or not the sales are the principal business of the park owner.

(4) “Retail installment transaction” or “transaction” means any transaction in which a retail buyer purchases a motor vehicle from a retail seller under a retail installment contract for a time sale price consisting of a cash sale price and other amounts as limited by this chapter and agrees to pay part or all of the price in one or more deferred installments. The term shall include every transaction wherein the promise or agreement to pay the deferred balance of such price is made by the retail buyer to the retail seller notwithstanding the existence or occurrence of any one or more of the following events:

(A) that the retail seller has arranged or arranges to sell, transfer, or assign the retail buyer’s obligation;

(B) that the amount of the finance charge is determined by reference to charts or information furnished by a financing institution;

(C) that the forms of instruments used to evidence the retail installment transaction are furnished by a financing institution; and

(D) that the credit standing of the retail buyer is or has been evaluated by a financing institution.

(5) “Retail installment contract” or “contract” means a contract entered into in this State evidencing a retail installment transaction under which the title to or a lien or security in the motor vehicle, which is the subject matter of the transaction, is retained or taken to secure the retail buyer’s obligations. The term includes a chattel mortgage, conditional sale contract, and a contract in the form of a bailment or a lease if the bailee or lessee contracts to pay as compensation for use a sum substantially equivalent to or in excess of the value of the motor vehicle sold, and it is agreed that the bailee or lessee is bound to become or, for no further or a merely nominal consideration, has the option of becoming the owner of the motor vehicle upon full compliance with the provisions of the bailment or lease. The term shall also include any amendment of the retail installment contract in which the parties agree to renew, restate, or reschedule the unpaid balance thereof, or to extend the scheduled due date of all or any part of any installment or installments.

(6) “Cash price” means the minimum price for which the motor vehicle, including accessories, subject to the retail installment contract or another motor vehicle of like kind and quality, including similar accessories, may be purchased for cash from the seller by the buyer.

(7) “Official fees” means the amount of the fees prescribed by law for filing, recording, or otherwise perfecting a retained title, lien, or other security interests created in a retail installment transaction.

(8) “Principal balance” means the cash sale price of the motor vehicle plus the amounts, if any, included in the retail installment contract, if a separate identified charge is stated therein, for insurance and other benefits and official fees, less the amount of the buyer’s down payment, if any, in money or goods, or both.

(9) “Finance charge” means the estimated amount to be added to the principal balance to determine the balance of the buyer’s indebtedness to be paid under a retail installment contract.

(10) “Sales finance company” means a person engaged in the business of purchasing or otherwise acquiring from one or more sellers retail installment contracts.

(11) “Holder” means the retail seller of the motor vehicle or the sales finance company or other assignee if the retail installment contract is purchased or otherwise acquired by a sales finance company or other assignee.

(12) “Administrator” means the Commissioner of Financial Regulation.

(13) “Person” means an individual, partnership, joint venture, corporation, banking organization, association, or any other group however organized.

(14) Words of the masculine gender include the feminine and the neuter, and when the sense so indicates, words of the neuter gender may refer to any gender.

(15) “Commercial purpose” means a purpose related to the production, exhibition, marketing, transportation, processing, or manufacture of goods or services by any person, where the cash price of the motor vehicle, exclusive of any finance charges, exceeds the sum of $20,000.00.

(16) “Commercial lease” means a transfer of the right to possession and use of a motor vehicle for a term in return for consideration, including leases intended as security, and where the vehicle is to be used by the lessee primarily for commercial, industrial, or agricultural use and not for personal, family, or household use. (Added 1961, No. 227, § 1, eff. Jan. 1, 1962; amended 1979, No. 20, §§ 1, 2, eff. April 10, 1979; 1989, No. 122, §§ 2, 3, eff. June 30, 1989; 1989, 1989, No. 225 (Adj. Sess.), § 25(b); 1995, No. 180 (Adj. Sess.), § 38(a); 2003, No. 104 (Adj. Sess.), § 2.)