RI H7479

Extends existing regulatory obligations and restrictions that apply to motor vehicle manufacturers to also cover their distributors and factory branches, including prohibitions on coercion, unfair discrimination, franchise termination requirements, and repurchase obligations upon franchise cancellation.

Adds a new definition of "common entity" to capture persons or entities where more than 30% of equity interest is directly or indirectly owned or controlled by a manufacturer, distributor, factory branch, or their affiliates, thereby broadening the scope of entities subject to the chapter's regulations.

Adds a comprehensive definition of "sell," "selling," "sold," "exchange," "retail sales," and "leases" to include activities such as accepting deposits or reservations, setting retail prices, negotiating terms or trade-in values, arranging delivery, displaying vehicles or coordinating test drives, and transferring title to retail consumers.

Prohibits manufacturers, distributors, and factory branches from selling new motor vehicles directly or indirectly to retail consumers in the state except through a franchised new motor vehicle dealer, with limited exceptions for employee sales, marketing information, and promotional displays; effectively bars entities licensed after January 1, 2020 from direct-to-consumer sales.

Requires that performance criteria used to evaluate dealers for potential franchise termination must account for actual vehicle allocation offered by the manufacturer/distributor, may not be unfair or arbitrary, and must consider relevant local and regional economic conditions affecting dealer performance.