Bill > S06797

This bill aims to protect automobile dealers from unfair practices by manufacturers and franchisors by amending various sections of the vehicle and traffic law. Key provisions include requiring franchisors to disclose any interest an applicant's franchise entity has in a person or entity described in a specific section of the law, and clarifying that manufacturers of exclusively zero-emission vehicles may have certain exceptions regarding ownership of dealerships. The bill also prohibits franchisors from unfairly pressuring dealers to sell extended service contracts or similar products, and clarifies rules around facility renovations, requiring franchisors to provide reasonable support and limiting how often they can demand major changes. Furthermore, it modifies rules regarding the repurchase of dealer inventory upon termination, the compensation for facility upgrades when a manufacturer discontinues a vehicle line, and the conditions under which franchisors can charge back warranty or incentive payments to dealers, including establishing clearer timelines and dispute resolution processes. The bill also addresses the allocation of new vehicle inventory, preventing discriminatory or arbitrary systems and requiring franchisors to disclose their allocation methods. Finally, it adjusts the compensation for warranty parts and labor, ensuring dealers are paid reasonably and can establish their rates without undue burden, and clarifies that franchisors cannot charge back payments for sales incentives or warranty claims beyond a certain timeframe, except in cases of fraud.