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NC S384

Bill

Status

Passed

7/19/2019

Primary Sponsor

William Jackson

Click for details

Origin

Senate

2019-2020 Session

AI Summary

Senate Bill 384 Summary

  • Adds definition of "special tool or essential tool" designed and required by manufacturers for vehicle service repairs, and allows dealers selling fewer than 250 vehicles annually to request manufacturer approval for tool loaner agreements with other dealers under specified conditions

  • Prohibits manufacturers from requiring dealers to purchase specific dealer management computer systems or unnecessary promotional materials, and allows small dealers to share special tools if certain requirements are met, including $2,000 minimum tool cost and 40-mile radius limit with maximum five participating dealers

  • Expands dealer rights regarding area of responsibility by allowing dealers to request territory elimination from their franchise area if unreasonable, with mediation and Commissioner hearing options available within specified timeframes

  • Protects dealer data ownership and restricts manufacturer/vendor access to dealer management computer systems, requiring express written consent for data sharing and prohibiting unreasonable fees or restrictions on dealer data use

  • Increases truck dealer cost reimbursement from $900 to $1,500 per vehicle with gross vehicle weight rating of 16,000 pounds or more sold to non-dealer entities, and limits audits to one per 12-month period except for cause-based audits

Legislative Description

Clarify Motor Vehicle Dealer Laws

Last Action

Ch. SL 2019-125

7/19/2019

Committee Referrals

Rules, Calendar, and Operations of the House6/25/2019
Transportation6/13/2019
Rules, Calendar, and Operations of the House5/9/2019
Commerce and Insurance5/2/2019
Judiciary4/25/2019
Rules and Operations of the Senate3/28/2019

Full Bill Text

No bill text available