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NC S295

Bill

Status

Passed

7/1/2025

Primary Sponsor

William Jackson

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Origin

Senate

2025-2026 Session

AI Summary

  • Prohibits manufacturers from terminating, canceling, or not renewing a dealer's franchise unless the manufacturer provided the dealer with sufficient vehicle inventory to meet performance criteria, and requires manufacturers to reimburse dealers and applicants for attorneys' fees if a rejected ownership transfer is later overturned

  • Expands RV dealer termination assistance by increasing the mileage threshold for manufacturer buyback of recreational vehicle motor homes from 1,500 to 2,500 miles and explicitly includes motorized/nonmotorized trailers, travel trailers, slide-in truck campers, and park models

  • Requires manufacturers selling over-the-air vehicle upgrades to provide dealers with itemized compensation schedules and, upon request, statements detailing sales volume and gross receipts from such products sold to the dealer's customers within the prior six months

  • Adds a comprehensive definition of "selling" to include activities such as taking deposits, setting retail prices, negotiating purchase/lease/finance terms, and transferring vehicle titles, while exempting manufacturers who promptly assign reservations to franchised dealers

  • Mandates full reimbursement to dealers for loaner/rental vehicle costs including taxes and third-party fees, allows claims to be submitted in 30-day increments during extended repairs, and requires manufacturers to compensate for defective airbag shipping, storage, and disposal costs

Legislative Description

Clarify Motor Vehicle Dealer Laws

Public

Last Action

Ch. SL 2025-41

7/1/2025

Committee Referrals

Rules and Operations of the Senate6/18/2025
Rules, Calendar, and Operations of the House6/11/2025
Transportation6/5/2025
Rules, Calendar, and Operations of the House5/6/2025
Rules and Operations of the Senate4/30/2025
Judiciary4/29/2025
Commerce and Insurance4/8/2025
Rules and Operations of the Senate3/17/2025

Full Bill Text

No bill text available