MI HB6198

Amends Michigan's motor vehicle dealer regulation law (1981 PA 118) to modify definitions of "distributor," "established place of business," "factory branch," "new motor vehicle," and "person" to clarify geographic scope and entity types.

Adds definition of "former dealer" to mean a new motor vehicle dealer whose agreement with a predecessor manufacturer was terminated, canceled, not renewed, or otherwise ended.

Adds definition of "successor manufacturer" to include any manufacturer acquiring or assuming business of another manufacturer on or after January 1, 2009 through ownership change, asset sale, merger, business cessation, product line discontinuance, or distribution system change.

Creates 10-year right of first refusal for former dealers: successor manufacturers cannot enter new dealer agreements or permit dealer relocations in the relevant market area of a former dealer's business for the same vehicle line make without first offering the agreement to the former dealer at no cost or paying fair compensation.

Establishes exception allowing successor manufacturers to bypass former dealer protections only by proving in circuit court that the former dealer lacks sufficient training, experience, financial capital, or has poor character or performance history.