Legislative Update

Below are some of the bills that we are following in various states this year.

Kentucky: We are watching HB 295 which a mends various sections of state law to define “terminate” or “termination”; clarify the existence of consent in retail agreement contracts; declare public policy standing; establish applicable effective dates. This bill has been passed by the House and sent to the Senate.

Maine: SB 144 provides that, when a supplier reimburses a dealer for equipment, repair parts or labor because of the prohibition on coercion and interference, the supplier is prohibited from recovering the supplier’s costs of that reimbursement. This bill is supported by the Northeast Equipment Dealers Association has been assigned to committee in both the Senate and House.

Pennsylvania: HB 346 known as the Pennsylvania Fair Dealership Law, this bill further providing for definitions, for termination of dealer agreement, for death or incapacitation of dealer and for repurchase of unused specialized repair tools; repealing provisions relating to coercion; and providing for violations of act, for warranty, for remedies and enforcement and for waiver. The bill has been assigned to committee in the House.

Texas: HB 963 attempts to include commissioned sales and installers into the definition of “Dealer”. This bill is not supported by the SouthWestern Dealer Association and we do not expect passage.

Vermont: H.B. 58 An Act Relating to the Warranty Obligations of Suppliers and Machinery Dealerships. Assigned to Committee in House.

New Hampshire: SB 126 is the first bill of the 2013 legislative session to earn our outright opposition. The bill attempts to consolidate the laws for the auto industry dealers with equipment dealers of several types, including farm equipment. In the process it defines almost everything our members manufacturer as a “motor vehicle” which brings up an entire list of titling, registration and tax issues. This bill is supported by the Northeast Equipment Dealers Association and has been assigned to committee in the Senate.

If you would like additional information on any of the above bills or have legislation in your state you believe we should be tracking, please give Vernon Schmidt a call in the Association office.