MS SB2611

Requires manufacturers or distributors to pay motor vehicle dealers reasonable compensation upon termination, cancellation, or refusal to renew franchises, including net cost of unsold inventory vehicles and parts, plus 5% handling charge and shipping costs, with payment due within 90 days.

Mandates additional compensation including 12 months of facility rent or fair market value, equipment leases, signage, tools, and fair market value of the franchise itself if a line-make is discontinued, with certain exceptions for sales of dealership assets or termination for good cause.

Prohibits manufacturers from conditioning franchise renewal or incentives on site control agreements, arbitrarily changing dealer market areas, establishing unfair performance standards, or requiring dealers to provide customer lists without valid business purposes.

Prohibits dealers from selling extended service contracts not offered by manufacturers without written disclosure that the product is not manufacturer-supported, and prohibits manufacturers from coercing dealers to sell or exclusively offer manufacturer-sponsored extended warranties.

Protects dealer financing independence by prohibiting manufacturers from requiring loans through specific financial institutions, and allows dealers to submit amended claims for incentive compensation within 60 days of original submission date.