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MS SB2768
Bill
AI Summary
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Creates the Recreational Vehicle Franchise Law governing relationships between recreational vehicle manufacturers/distributors and dealers, including definitions of dealers, manufacturers, distributors, and recreational vehicles (motor homes, travel trailers, fifth wheels, camping trailers, truck campers).
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Requires written manufacturer-dealer agreements with designated exclusive sales territories that cannot be changed within one year or without dealer consent, and prohibits manufacturers from contracting with competing dealers in the same territory.
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Establishes termination and nonrenewal procedures requiring 90 days' notice for good cause (with specified factors like market penetration, service quality, and operational compliance) or allowing either party to terminate without cause; reduces notice to 30 days for serious violations like felony conviction, business closure, or bankruptcy.
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Mandates manufacturers repurchase unsold inventory within 45 days of termination, including new untitled vehicles at 100% net invoice cost, accessories and proprietary parts at 105% of net price, and equipment at 100% of net cost plus freight.
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Allows dealer succession by family members upon death or incapacity unless manufacturer objects within 10 business days for specified reasons (felony conviction, bankruptcy, lack of credit, prior termination); establishes warranty compensation, mediation requirements for disputes, and civil court remedies with attorney's fees for violations.
Legislative Description
Recreational vehicle franchise law; create.
Last Action
Died In Committee
3/1/2011