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HIGHLIGHTS
10
Restriction Against Unreasonable Denial of
Relocation – 463(2)(dd)
•
Requires franchisors to approve or deny a dealer
relocation request within 60 days, or it is approved.
•
Prohibits a franchisor from unreasonably denying a
dealer’s request to relocate his or her dealership location
within his or her RMA.
Reimbursement for Loaner Vehicles
– 463(2)(ee)
•
Requires franchisors to reimburse a dealer the average
cost in a dealer’s region for rental vehicles similar to the
vehicle that is being serviced if the franchisor requires
its dealers to provide a loaner.
Unilateral Modification of Franchise
– 463(2)(ff)
•
Limits a franchisor from substantially adversely
altering the rights and obligations of a dealer under the
franchise.
•
Requires franchisors to provide 90 days written notice
of proposed modifications as well as the specific
grounds for the modification.
•
Provides dealers with the right to protest a modification,
and that upon such a protest any modification will be
stayed.
Arbitrary Sales or Performance Standards
Prohibited – 463(2)(gg)
•
Prohibits franchisors from using any unreasonable,
arbitrary or unfair sales or performance standards.
•
Requires franchisors to provide a clear and concise
written description of their sales or performance
standards.
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