Senate Bill 2739 Summary

• Manufacturers must compensate new motor vehicle dealers for all labor and parts required to perform federal safety and emissions recall repairs on used vehicles in dealer inventory.

• If recall parts or remedy are unavailable for 30 days or longer after a Stop-Sale or Do-Not-Drive order, manufacturers must pay dealers at least 1% of the vehicle's average trade-in value per month until parts become available or the vehicle is sold.

• Manufacturers are prohibited from reducing compensation owed to dealers solely because the dealer submitted a recall compensation claim.

• Amends Section 63-17-73 to prohibit manufacturers from requiring franchise renewal or extension based on substantial facility renovation before 7 years after the dealer completed the previous renovation.

• No state agency may promulgate rules prohibiting acts not prohibited by this section, and any conflicting prior regulations are repealed, effective July 1, 2018.