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2016 SESSION

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SB 709 Recalled motor vehicles; disclosures by and compensation of dealers.

Introduced by: Ryan T. McDougle | all patrons    ...    notes | add to my profiles | history

SUMMARY AS PASSED SENATE:

Recalled motor vehicles. Requires a manufacturer or distributor that establishes a program that prohibits dealers from selling used motor vehicles that have been issued a safety recall and remain unremedied to provide a remedy for each such vehicle or to compensate the dealer for costs when such program is enforced through penalty or loss of benefits. The bill requires a manufacturer or distributor to compensate dealers for recall repairs on the same basis as warranty repairs. Finally, the bill prohibits a manufacturer or distributor from using performance measurements to the detriment of a dealer when the dealer has vehicles it cannot deliver by law or by manufacturer or distributor program or directive. Violations of these provisions are subject to a civil penalty by the Motor Vehicle Dealer Board not to exceed $1,000 per violation. This bill is identical to HB 1232.

SUMMARY AS INTRODUCED:

Recalled motor vehicles. Requires a used motor vehicle dealer to disclose whether a used vehicle sold at retail has been recalled and, if the used vehicle is subject to a recall that remains unremedied at the time of sale, inform the buyer of the process for remediating the recall. The bill requires a manufacturer or distributor that establishes a program that prohibits dealers from selling used motor vehicles that have been issued a safety recall and remain unremedied to provide a remedy for each such vehicle or to compensate the dealer for costs when such program is enforced through penalty or loss of benefits. The bill requires a manufacturer or distributor to compensate dealers for recall repairs on the same basis as warranty repairs. Finally, the bill prohibits a manufacturer or distributor from using performance measurements to the detriment of a dealer when the dealer has vehicles it cannot deliver by law or by manufacturer or distributor program or directive. Violations of these provisions are subject to a civil penalty by the Motor Vehicle Dealer Board not to exceed $1,000 per violation.