IL HB5197

Prohibits manufacturers, distributors, and wholesalers from selling new motor vehicles directly to consumers or circumventing franchise distribution obligations under the Motor Vehicle Franchise Act

Bars manufacturers, common entities, and distributors from owning or operating dealerships or selling new vehicles directly in Illinois, unless they were lawfully licensed to do so before January 1, 2022

Makes it a violation for any manufacturer with an established franchise dealer network to sell, lease, or service new motor vehicles in ways that bypass or compete with their existing franchisee network

Defines "common entity" as any person directly or indirectly controlled by a manufacturer, importer, or distributor, or who shares common management creating operational control over policies

Adds directly or indirectly competing with franchisees in the sale, lease, or warranty service of new motor vehicles to the list of prohibited unfair practices