Legislation, Regulation & Litigation On Our Front Burner
There are two updates on important issues we’ve been covering over the last six months. In each case, this is far from the last word; we will remain focused on these issues in the months ahead.
New Hampshire Dealer Law: This past Monday, portions of the so-called “Dealer Bill of Rights”, became law in New Hampshire. We opposed this odd legislation, which declared most farm equipment to be a motor vehicle for the sole purpose of bringing equipment dealers under the same statutes as auto dealers in the state. Additionally, the law put into place some of the most one-sided protections for dealerships in the nation.
Three weeks ago Deere, CNH and AGCO filed suit to block portions of the law from going into effect. Last week, the New Hampshire Superior Court granted the three major tractor manufacturers a preliminary injunction halting enforcement as it would apply to the plaintiffs’ existing contracts with their New Hampshire dealers. The preliminary injunction states in part, “As to existing contracts between plaintiffs and its dealers, defendant State of New Hampshire is preliminarily enjoined from including farm and equipment manufacturers within the definition of motor vehicles of RSA 357-C as provided for under S.B. 126.”
In issuing the preliminary injunction against the State, the Court found that:
- the plaintiffs are likely to succeed on the merits of their legal claim,
- there is an immediate danger of irreparable harm,
- the plaintiffs have no adequate remedy at law, and
- the public interest would be served by granting the injunction.
The Court found the plaintiffs’ existing dealership agreements would likely be substantially impaired by the retroactive application of S.B. 126 to such contracts, in violation of the Contract Clause in the U.S. and New Hampshire Constitutions.
Our legal council, Trent Johnson, of Foley & Lardner LLP, is currently looking at the 32-page court order and will be addressing how the law and litigation could impact members during a special Breakout Session at our Indianapolis Fall Convention next month. The Session will be begin at 10:45 a.m., Thursday, October 24. Due to the importance of this issue and its ramifications, should similar legislation spread to other states, all active Association members will be admitted, regardless of registration status, to the Fall Convention. Members who are not registered, should contact Tricia Kidd at 314.878.2304 for a special, one-session-only badge.
Wisconsin State Restrictions On Farm Equipment: We have received a response from both the Governor’s office and Department of Transportation to our letter of concern regarding the Phase II report, which was issued last month, by the Department’s IoH Study Group. Last week, we received a DRAFT copy of the Phase II Addendum Report.
At first reading, it appears that many of the concerns we had with the IoH Study Report have been addressed:
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Separate definitions for IoH, whose primary use is off-highway and commercial motor vehicles used exclusively for ag operations.
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No height limit.
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No width limit for IoH, but lighting would be required if crossing center line.
- Width limit – 60’ (feet) for a single IoH and 100’ for combinations of two IoH. For combinations of three IoH the limit is 70’, but a three IoH combination may operate at lengths exceeding 70’ to a limit of 100’ at a speed no greater than 20 miles per hour.
Our concern that this was being looked at as the “model” for other states was well placed. While pulling back from last month’s proposals, in their comments that it, “must be advanced to the national level” and in their note that future solutions should involve those who have an interest in, “developing international or national standards” makes it clear where they would like to see the regulation come from.
We will have more information on this Wisconsin IoH Study Group, along with updates on the federal lighting rules during our Fall Convention. Representatives of AEM and ASABE will explain their positions, while several FEMA members and lobbyists will join the Thursday morning panel to discuss the regulation of farm equipment through standards and new state and federal regulations.
Fall Convention information and secured online registration is available on the Association website at, FarmEquip.org.