Bill Text: IN HB1171 | 2012 | Regular Session | Introduced
Bill Title: Relocation of new motor vehicle dealers.
Spectrum: Slight Partisan Bill (Republican 2-1)
Status: (Enrolled - Dead) 2012-03-19 - Signed by the Governor [HB1171 Detail]
Download: Indiana-2012-HB1171-Introduced.html
Citations Affected: IC 9-23-3-24.
Synopsis: Relocation of new motor vehicle dealers. Provides that
certain restrictions pertaining to the relocation of new motor vehicle
dealers do not apply to a new motor vehicle dealer located in a county
of over 100,000 inhabitants under certain circumstances.
Effective: Upon passage.
January 9, 2012, read first time and referred to Committee on Commerce, Small Business
and Economic Development.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
A BILL FOR AN ACT to amend the Indiana Code concerning
motor vehicles.
(1) relocation of a new motor vehicle dealer to a location that is not more than two (2) miles from its established place of business; or
(b) This section does not apply to a new motor vehicle dealer located in a county having a population of more than one hundred thousand (100,000) if:
(1) the new motor vehicle dealer relocates to a site that is located at a distance greater than the existing distance of
another new motor vehicle dealer of the same line make
before the relocation; and
(2) the site of the relocation is outside an area that is within a
radius of four (4) miles from another new motor vehicle
dealer of the same line make.
(c) Before a franchisor enters into a franchise establishing or
relocating a new motor vehicle dealer within a relevant market area
where the same line make is represented, the franchisor shall give
written notice to each new motor vehicle dealer of the same line make
in the relevant market area of the franchisor's intention to establish an
additional dealer or to relocate an existing dealer within that relevant
market area.
(d) Not later than thirty (30) days after:
(1) receiving the notice provided for in subsection (c); or
(2) the end of any appeal procedure provided by the franchisor;
a new motor vehicle dealer may bring a declaratory judgment action in
the circuit court for the county in which the new motor vehicle dealer
is located to determine whether good cause exists for the establishing
or relocating of a proposed new motor vehicle dealer. If an action is
filed, the franchisor may not establish or relocate the proposed new
motor vehicle dealer until the circuit court has rendered a decision on
the matter. An action brought under this section shall be given
precedence over all other civil matters on the court's docket.
(e) In determining whether good cause exists for establishing or
relocating an additional new motor vehicle dealer for the same line
make, the court shall take into consideration the existing
circumstances, including the following:
(1) Permanency of the investment.
(2) Effect on the retail new motor vehicle business and the
consuming public in the relevant market area.
(3) Whether it is injurious or beneficial to the public welfare.
(4) Whether the new motor vehicle dealers of the same line make
in that relevant market area are providing adequate competition
and convenient consumer care for the motor vehicles of that line
make in the market area, including the adequacy of motor vehicle
sales and qualified service personnel.
(5) Whether the establishment or relocation of the new motor
vehicle dealer would promote competition.
(6) Growth or decline of the population and the number of new
motor vehicle registrations in the relevant market area.
(7) The effect on the relocating dealer of a denial of its relocation
into the relevant market area.
(f) This subsection expires December 31, 2014. Subsection (b) applies to:
(1) a new motor vehicle dealer that before the effective date of subsection (b) has been engaged in the process of relocating but has not physically relocated to the new intended site by the effective date of subsection (b); and
(2) a new motor vehicle dealer that begins engaging in the process of relocating on or after the effective date of subsection (b).
