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ND HB1515
Bill
Status
4/11/2025
Primary Sponsor
Dan Ruby
Click for details
AI Summary
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Motor vehicle manufacturers and distributors must compensate dealers at their average retail labor rates and parts markup for warranty-related services, including predelivery preparation, diagnostic work, recalls, extended warranties, certified preowned warranties, and service contracts
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Dealers establish compensation rates by submitting 100 sequential nonwarranty repair orders or 90 consecutive days of repair orders to the manufacturer, with rates taking effect 30 days after submission unless contested in writing
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Manufacturers must approve or disapprove dealer reimbursement claims within 30 days, pay approved claims within 30 days, and provide detailed written explanations for any disapprovals; unanswered claims are automatically approved
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Manufacturers are prohibited from taking adverse action against dealers seeking compensation, influencing dealer retail pricing, creating special part numbers to reduce compensation, or recovering compliance costs through surcharges on dealers
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Dealers who prevail in court disputes over rate calculations may recover attorney fees and expenses, with treble damages available if the manufacturer's violation was willful
Legislative Description
Motor vehicle warranty work compensation.
Last Action
Filed with Secretary Of State 04/11
4/14/2025