Loading chat...
MO HB2198
Bill
Status
6/22/2010
Primary Sponsor
Mike Parson
Click for details
AI Summary
-
Expands the Motor Vehicle Franchise Practices Act (MVFP Act) to include detailed definitions of key terms and establishes comprehensive protections for motor vehicle franchisees against franchisor misconduct.
-
Increases "relevant market area" radius for new dealer protections from 6 to 8 miles in counties with populations over 100,000 and from 10 to 15 miles in smaller counties, with enhanced notice and hearing procedures before franchisors can establish competing dealerships.
-
Establishes successor manufacturer obligations to offer franchise redemption to former franchisees within two years of acquiring a predecessor manufacturer's line-make, with fair market value compensation calculated on the highest value date.
-
Expands unlawful franchisor practices to 42 enumerated violations including restrictions on capital structure changes, ownership transfers, multi-line operations, and imposes affirmative duties for fair compensation on warranty work, parts, and facility maintenance.
-
Strengthens franchisee remedies by establishing mandatory administrative hearing procedures, allowing prevailing franchisees to recover damages plus litigation expenses and attorney fees, and prohibiting mandatory arbitration, jury trial waivers, and out-of-state dispute resolution in franchise agreements.
Legislative Description
Changes the laws regarding the Motor Vehicle Franchise Practices Act
Last Action
Delivered to Secretary of State (G)
6/22/2010