SB 363 Summary

• Establishes the "Recreational Vehicle Franchise Act" to regulate relationships between recreational vehicle manufacturers, wholesalers, warrantors, and dealers, effective December 1, 2009.

• Requires manufacturers to have signed dealer agreements with dealers specifying exclusive sales territories, prohibits manufacturers from changing territories or adding competitors in the same area during the agreement term, and protects dealers' rights to sell outside their territory under specified conditions.

• Prohibits manufacturers from terminating or refusing to renew dealer agreements without "good cause" (including felony conviction, business abandonment, license suspension, or material violations) and requires 90-day notice with opportunity to cure deficiencies within 30 days.

• Mandates warrantors compensate dealers for warranty work at reasonable rates, reimburse parts at actual wholesale cost plus 30% handling charge, and approve or deny warranty claims within 30 days; requires dealers to perform warranty service on transient customers' vehicles without refusing for unjustified reasons.

• Establishes civil remedies for violations including actual damages and attorney's fees, requires mandatory mediation before litigation, and allows court-ordered injunctive relief for violations.