Bill > A08773

This bill amends the vehicle and traffic law to enhance protections for franchised motor vehicle dealers by requiring franchisors (car manufacturers) to more comprehensively fulfill warranty agreements and compensate dealers for warranty-related work. Specifically, the bill mandates that franchisors, including their affiliates and subsidiaries, must compensate dealers for all warranty parts and labor, covering a wide range of repair scenarios such as extended warranty repairs, recalls, diagnostics, and voluntary stop-sell repairs. The bill establishes detailed guidelines for determining "reasonable compensation," which includes using retail labor time guides, manufacturer time allowances, or actual time spent on repairs. It also requires franchisors to pay warranty claims within 30 days, compensate dealers for parts at their standard markup, and provide transparent explanations if they reject a dealer's reimbursement claim. Additionally, the bill ensures that dealers are compensated for parts provided by the franchisor at no or reduced cost, calculating compensation based on the wholesale value of the part. This legislation aims to create more equitable and transparent reimbursement practices between car manufacturers and their franchised dealerships.

Transportation and Infrastructure

https://www.nysenate.gov/legislation/bills/2025/A8773