Bill > HB1914

This bill modifies existing law regarding warranty service obligations between franchisors and franchisees in Missouri, primarily focusing on how franchisors compensate franchisees for warranty repairs and parts. The bill requires franchisors to specify in writing the franchisee's warranty service obligations and provide fair compensation for parts and labor, with compensation determined primarily by the rates the franchisee charges retail customers for non-warranty work. The legislation establishes detailed guidelines for calculating reasonable compensation, including specific provisions for labor time calculations, diagnostic work, and documentation requirements. The bill also sets strict timelines for claim submissions and approvals, mandating that franchisors must approve or disapprove warranty claims within 30 days, and pay approved claims within 15 days. Additionally, the bill limits the time period during which franchisors can audit and challenge warranty claims (generally 12 months, or 24 months for suspected fraud) and provides franchisees with a mechanism to file complaints with the administrative hearing commission if they disagree with a franchisor's decision. The overall intent is to create more transparent and equitable processes for warranty service reimbursement in franchise relationships.

https://house.mo.gov/Bill.aspx?bill=HB1914&year=2026&code=R