IL HB2508

Defines "motorcycle" as motor vehicles with a seat or saddle designed to travel on 3 or fewer wheels, excluding farm and lawn equipment but including off-highway vehicles.

Prohibits manufacturers, distributors, and wholesalers from requiring motorcycle franchisees to participate in retail financing plans, leasing plans, or consumer insurance plans.

Prohibits manufacturers and distributors from owning, operating, or controlling any motorcycle dealership in Illinois for longer than 2 years.

Requires repurchase of motorcycle dealer inventory upon franchise termination and establishes a security interest in repurchased inventory to secure payment, governed by the Uniform Commercial Code.

Prohibits manufacturers from requiring dealers to use manufacturer-approved fixtures for non-manufacturer products, purchase lighting fixtures only from approved vendors, or relocate to new facilities.