Bill Text: FL S1484 | 2020 | Regular Session | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Motor Vehicle Manufacturers and Dealers

Spectrum: Slight Partisan Bill (? 2-1)

Status: (Failed) 2020-03-14 - Died in Rules [S1484 Detail]

Download: Florida-2020-S1484-Comm_Sub.html

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       Florida Senate - 2020                             CS for SB 1484
       
       
        
       By the Committee on Infrastructure and Security; and Senator
       Diaz
       
       
       
       
       596-03419-20                                          20201484c1
    1                        A bill to be entitled                      
    2         An act relating to motor vehicle manufacturers and
    3         dealers; amending s. 320.60, F.S.; redefining the term
    4         “line-make vehicle”; amending s. 320.605, F.S.;
    5         replacing legislative intent with legislative
    6         findings; amending s. 320.64, F.S.; revising a
    7         prohibition against certain applicants and licensees
    8         competing with franchised motor vehicle dealers in
    9         this state; defining the term “sale”; providing an
   10         effective date.
   11          
   12  Be It Enacted by the Legislature of the State of Florida:
   13  
   14         Section 1. Subsection (14) of section 320.60, Florida
   15  Statutes, is amended to read:
   16         320.60 Definitions for ss. 320.61-320.70.—Whenever used in
   17  ss. 320.61-320.70, unless the context otherwise requires, the
   18  following words and terms have the following meanings:
   19         (14) “Line-make vehicle” includes all models and types of
   20  motor vehicles, regardless of the kind of engine, power plant,
   21  or drive train they have; their design; or their intended use or
   22  classification, which are offered for retail sale, lease,
   23  license, subscription, or any other method of distribution under
   24  a common name, trademark, service mark, or brand name of the
   25  manufacturer of such vehicle. A line-make model or type that has
   26  been the subject of a franchise with a motor vehicle dealer in
   27  this state may not be sold or otherwise distributed or marketed
   28  in any way by an applicant or licensee other than through its
   29  franchised motor vehicle dealer, and, thereafter, may not be
   30  rebadged or otherwise marketed as a new line-make unless the
   31  manufacturer, importer, or distributor of such new line-make
   32  offers a franchise of that new line-make to every motor vehicle
   33  dealer that was franchised to sell that model or type before
   34  rebadging vehicles” are those motor vehicles which are offered
   35  for sale, lease, or distribution under a common name, trademark,
   36  service mark, or brand name of the manufacturer of same.
   37  However, motor vehicles sold or leased under multiple brand
   38  names or marks shall constitute a single line-make when they are
   39  included in a single franchise agreement and every motor vehicle
   40  dealer in this state authorized to sell or lease any such
   41  vehicles has been offered the right to sell or lease all of the
   42  multiple brand names or marks covered by the single franchise
   43  agreement. However Except, such multiple brand names or marks
   44  are shall be considered individual franchises for purposes of s.
   45  320.64(36).
   46         Section 2. Section 320.605, Florida Statutes, is amended to
   47  read:
   48         320.605 Legislative findings intent.—The Legislature finds
   49  and declares that the distribution, marketing, sale, leasing,
   50  rental, or otherwise providing title, use, or possession to
   51  consumers and other entities of motor vehicles, replacement
   52  parts, accessories, and the servicing and repair thereof in this
   53  state vitally affects the general economy of the state and the
   54  public safety and welfare of its residents. The Legislature
   55  further finds that the motor vehicle franchise system in this
   56  state operates within a defined and highly regulated statutory
   57  scheme; assures consumers of a well-organized distribution
   58  system that supports the availability of new motor vehicles;
   59  provides tens of thousands of jobs for the residents of this
   60  state; provides a network of quality warranty, repair, and
   61  recall facilities; and provides a cost-effective method for the
   62  state to police the system through licensing and regulation of
   63  the interactions between private sector franchisors and
   64  franchisees, and that such regulation is necessary to promote
   65  fair and harmonious relations between motor vehicle
   66  manufacturers, importers, distributors, and their dealers; to
   67  protect fair competition; to protect consumers; and to provide
   68  minorities with opportunities for participation as motor vehicle
   69  dealers It is the intent of the Legislature to protect the
   70  public health, safety, and welfare of the citizens of the state
   71  by regulating the licensing of motor vehicle dealers and
   72  manufacturers, maintaining competition, providing consumer
   73  protection and fair trade and providing minorities with
   74  opportunities for full participation as motor vehicle dealers.
   75         Section 3. Subsection (23) of section 320.64, Florida
   76  Statutes, is amended to read:
   77         320.64 Denial, suspension, or revocation of license;
   78  grounds.—A license of a licensee under s. 320.61 may be denied,
   79  suspended, or revoked within the entire state or at any specific
   80  location or locations within the state at which the applicant or
   81  licensee engages or proposes to engage in business, upon proof
   82  that the section was violated with sufficient frequency to
   83  establish a pattern of wrongdoing, and a licensee or applicant
   84  shall be liable for claims and remedies provided in ss. 320.695
   85  and 320.697 for any violation of any of the following
   86  provisions. A licensee is prohibited from committing the
   87  following acts:
   88         (23) The applicant or licensee has competed, or is
   89  competing, or has attempted to compete with one of its
   90  franchised motor vehicle dealers in the sale or service of
   91  vehicles; in the sale of replacement parts, accessories, or
   92  after-market products; in collision repair; or in any other
   93  motor vehicle dealer activity related to the line-make for which
   94  the motor vehicle dealer in this state is a party to a franchise
   95  agreement with the applicant or licensee, except as permitted in
   96  s. 320.645. As used in this subsection, the term “sale” includes
   97  the sale, leasing, rental, licensing, subscription, or any other
   98  transfer to a retail consumer, a wholesaler, or a broker of
   99  title, possession, or use of a motor vehicle, replacement parts,
  100  or accessories that are the subject of, or covered in the
  101  franchise agreement with, the motor vehicle dealer. Nothing
  102  contained in the foregoing shall prevent a common entity of an
  103  applicant or licensee from selling replacement parts,
  104  accessories, or after-market products under the common entity’s
  105  brand name with respect to any activity covered by the franchise
  106  agreement with a motor vehicle dealer of the same line-make
  107  located in this state with whom the applicant or licensee has
  108  entered into a franchise agreement, except as permitted in s.
  109  320.645.
  110  
  111  A motor vehicle dealer who can demonstrate that a violation of,
  112  or failure to comply with, any of the preceding provisions by an
  113  applicant or licensee will or may adversely and pecuniarily
  114  affect the complaining dealer, shall be entitled to pursue all
  115  of the remedies, procedures, and rights of recovery available
  116  under ss. 320.695 and 320.697.
  117         Section 4. This act shall take effect July 1, 2020.