LANSING – In a move to ease the financial burden on military families, State Representative Marie Donigan (D-Royal Oak) today voted for a plan that will make it easier for servicemembers who are called to active duty to terminate auto leases without having to pay penalties.
"Our soldiers shouldn't have to worry about the financial hardship of paying a car lease while serving our country," said Donigan. "By passing this legislation, we will ease the financial burden for our servicemembers and their families."
Under the plan that passed the House with overwhelming support, servicemembers called to active duty for 180 days or more and their spouses would be allowed to terminate their auto lease without having to pay penalties. Auto leasing agents who charge penalties would face a fine of $1,000 for each violation. All fines would be deposited into the Military Family Relief Fund.
The Military Family Relief Fund provides up to $2,000 a year for the families of Michigan servicemembers who are on active duty or who have suffered an illness or disability on active duty. The Military Family Relief Fund, administered by the Department of Military and Veterans Affairs, distributes the money to struggling families for clothing, food, housing, utilities, medical services or prescriptions, vehicle payments or other necessities.
"Allowing our servicemembers to cancel their auto leases is one way of showing how grateful we are for the strength and courage of our armed forces," said Donigan. "We must continue to fight on their behalf at home as they continue to fight for us abroad."