SB 377 Summary

• Amends the Fair Practices of Equipment Manufacturers, Distributors, Wholesalers and Dealers Act by revising definitions including "current net parts price," "equipment," "single-line dealer," and "threshold amount" with updated thresholds indexed annually to inflation.

• Modifies prohibited supplier actions to clarify restrictions on coercion regarding competing product lines and to allow separate facilities for major competing lines if a dealer purchases 80% of new equipment from supplier with over $40 million annual sales volume.

• Changes supplier termination procedures requiring at least 180 days' prior written notice for non-single-line dealers with 60-day cure period for deficiencies, except for certain grounds which require 2 years' notice before effective date.

• Establishes 60-day approval/denial timeline for supplier requests to transfer dealer ownership or equity interests, with deemed approval if supplier does not respond; suppliers may only withhold consent for good cause and must prove denial was reasonable.

• Effective date November 1, 2025.