Bill > H5590

This bill extends certain protocols and regulations that previously applied only to motor vehicle manufacturers to now include their distributors and factory branches as well, with a particular focus on updating warranty reimbursement and recall obligation policies. Specifically, the bill modifies multiple sections of existing law to include distributors and factory branches in various provisions, such as dealership succession rights, establishing new dealerships, delivery obligations, warranty agreements, and promotional activities. Key changes include requiring manufacturers, distributors, and factory branches to compensate dealers fairly for warranty and recall repairs, allowing dealers at least 180 days to submit warranty claims, establishing clear guidelines for calculating labor and parts reimbursement rates, and mandating specific timelines for claim approvals and payments. The bill also introduces new protections for dealers during recall situations, such as compensation for vehicles under "Stop-Sale" orders when recall parts are unavailable. These modifications aim to create more equitable and transparent business practices between motor vehicle manufacturers, distributors, factory branches, and their dealers. The act will take effect immediately upon passage.

Business and Industry

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