Bill Text: MS SB2801 | 2013 | Regular Session | Introduced
Bill Title: Motor homes; revise definition and remove exemption for return of upon nonrenewal of a franchise.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Failed) 2013-02-05 - Died In Committee [SB2801 Detail]
Download: Mississippi-2013-SB2801-Introduced.html
MISSISSIPPI LEGISLATURE
2013 Regular Session
To: Accountability, Efficiency, Transparency; Finance
By: Senator(s) Harkins
Senate Bill 2801
AN ACT TO AMEND SECTION 63-17-55, MISSISSIPPI CODE OF 1972, TO REVISE THE DEFINITION OF “MOTOR HOME” WITHIN THE MISSISSIPPI MOTOR VEHICLE COMMISSION LAW TO INCLUDE ALL TYPES OF RECREATIONAL VEHICLES MOST COMMONLY KNOWN AS TRAVEL TRAILERS, FIFTH WHEELS, CAMPING TRAILERS AND TRUCK CAMPERS THAT ARE MOUNTED ON OR TOWED BY A MOTOR VEHICLE AND THAT DO NOT REQUIRE A SPECIAL PERMIT TO BE TOWED ON THE HIGHWAYS, INTERSTATES OR ROADS OF THE STATE OF MISSISSIPPI; TO AMEND SECTION 63-17-141, MISSISSIPPI CODE OF 1972, TO DELETE THE PROVISION OF LAW WITHIN THE MISSISSIPPI MOTOR VEHICLE COMMISSION LAW THAT EXEMPTS MOTOR HOMES FROM CERTAIN PROVISIONS REGARDING THE RETURN OF CERTAIN PROPERTY TO THE MANUFACTURER OR DISTRIBUTOR AFTER THE TERMINATION OR NONRENEWAL OF A FRANCHISE; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 63-17-55, Mississippi Code of 1972, is amended as follows:
63-17-55. The following words, terms and phrases, when used in the Mississippi Motor Vehicle Commission Law, shall have the meanings respectively ascribed to them in this section, except where the context clearly indicates a different meaning:
(a) "Motor vehicle" means any motor-driven vehicle of the sort and kind required to have a Mississippi road or bridge privilege license, and shall include, but not be limited to, motorcycles. "Motor vehicle" shall also mean an engine, transmission, or rear axle manufactured for installation in a vehicle having as its primary purpose the transport of person or persons or property on a public highway and having a gross vehicle weight rating of more than sixteen thousand (16,000) pounds, whether or not attached to a vehicle chassis.
(b) "Motor vehicle dealer" means any person, firm, partnership, copartnership, association, corporation, trust or legal entity, not excluded by paragraph (c) of this section, who holds a bona fide contract or franchise in effect with a manufacturer, distributor or wholesaler of new motor vehicles, and a license under the provisions of the Mississippi Motor Vehicle Commission Law, and such duly franchised and licensed motor vehicle dealers shall be the sole and only persons, firms, partnerships, copartnerships, associations, corporations, trusts or legal entities entitled to sell and publicly or otherwise solicit and advertise for sale new motor vehicles as such.
(c) The term "motor vehicle dealer" does not include:
(i) Receivers, trustees, administrators, executors, guardians or other persons appointed by or acting under judgment, decree or order of any court;
(ii) Public officers while performing their duties as such officers;
(iii) Employees of persons, corporations or associations enumerated in paragraph (c)(i) of this section when engaged in the specific performance of their duties as such employees; or
(iv) A motor vehicle manufacturer operating a project as defined in Section 57-75-5(f)(iv)1 or Section 57-75-5(f)(xxi); and the provisions of the Mississippi Motor Vehicle Commission Law shall not apply to:
1. a. Any lease by such a motor vehicle manufacturer of three (3) or fewer motor vehicles at any one time and related vehicle maintenance, of any line of vehicle produced by the manufacturer or its subsidiaries, to any one (1) employee of the motor vehicle manufacturer on a direct basis; or
b. Any sale or other disposition of such motor vehicles by the motor vehicle manufacturer at the end of a lease through direct sales to employees of the manufacturer or through an open auction or auction limited to dealers of the manufacturer's vehicle line or its subsidiaries' vehicle lines; or
2. Any sale or other disposition by such a motor vehicle manufacturer of motor vehicles for which the manufacturer obtained distinguishing number tags under Section 27-19-309(8).
(d) "New motor vehicle" means a motor vehicle which has not been previously sold to any person except a distributor or wholesaler or motor vehicle dealer for resale.
(e) "Ultimate purchaser" means, with respect to any new motor vehicle, the first person, other than a motor vehicle dealer purchasing in his capacity as such dealer, who in good faith purchases such new motor vehicle for purposes other than for resale.
(f) "Retail sale" or "sale at retail" means the act or attempted act of selling, bartering, exchanging or otherwise disposing of a new motor vehicle to an ultimate purchaser for use as a consumer.
(g) "Motor vehicle salesman" means any person who is employed as a salesman by a motor vehicle dealer whose duties include the selling or offering for sale of new motor vehicles.
(h) "Commission" means the Mississippi Motor Vehicle Commission.
(i) "Manufacturer" means any person, firm, association, corporation or trust, resident or nonresident, who manufactures or assembles new motor vehicles.
(j) "Distributor" or "wholesaler" means any person, firm, association, corporation or trust, resident or nonresident, who in whole or in part sells or distributes new motor vehicles to motor vehicle dealers, or who maintains distributor representatives.
(k) "Factory branch" means a branch or division office maintained by a person, firm, association, corporation or trust who manufactures or assembles new motor vehicles for sale to distributors or wholesalers, to motor vehicle dealers, or for directing or supervising, in whole or in part, its representatives.
(l) "Distributor branch" means a branch or division office similarly maintained by a distributor or wholesaler for the same purposes a factory branch or division is maintained.
(m) "Factory representative" means a representative employed by a person, firm, association, corporation or trust who manufactures or assembles new motor vehicles, or by a factory branch, for the purpose of making or promoting the sale of his, its or their new motor vehicles, or for supervising or contacting his, its or their dealers or prospective dealers.
(n) "Distributor representative" means a representative similarly employed by a distributor, distributor branch or wholesaler.
(o) "Person" means and includes, individually and collectively, individuals, firms, partnerships, copartnerships, associations, corporations and trusts, or any other forms of business enterprise, or any legal entity.
(p) "Good faith" means the duty of each party to any franchise, and all officers, employees or agents thereof, to act in a fair and equitable manner toward each other so as to guarantee the one party freedom from coercion, intimidation or threats of coercion or intimidation from the other party. However, recommendation, endorsement, exposition, persuasion, urging or argument shall not be deemed to constitute a lack of good faith.
(q) "Coerce" means the failure to act in good faith in performing or complying with any terms or provisions of the franchise or agreement. However, recommendation, exposition, persuasion, urging or argument shall not be deemed to constitute a lack of good faith.
(r) "Special tools" are those which a dealer was required to purchase by the manufacturer or distributor for service on that manufacturer's product.
(s) "Motor vehicle lessor" means any person, not excluded by paragraph (c) of this section, engaged in the motor vehicle leasing or rental business.
(t) "Specialty vehicle" means a motor vehicle manufactured by a second stage manufacturer by purchasing motor vehicle components, e.g. frame and drive train, and completing the manufacturer of finished motor vehicles for the purpose of resale with the primary manufacturer warranty unimpaired, to a limited commercial market rather than the consuming public. Specialty vehicles include garbage trucks, ambulances, fire trucks, buses, limousines, hearses and other similar limited purpose vehicles as the commission may by regulation provide.
(u) "Auto auction" means (i) any person who provides a place of business or facilities for the wholesale exchange of motor vehicles by and between duly licensed motor vehicle dealers, (ii) any motor vehicle dealer licensed to sell used motor vehicles selling motor vehicles using an auction format but not on consignment, or (iii) any person who provides the facilities for or is in the business of selling in an auction format motor vehicles.
(v) "Motor home" means a motor vehicle that is designed and constructed primarily to provide temporary living quarters for recreational, camping or travel use and also includes all types of recreational vehicles most commonly known as travel trailers, fifth wheels, camping trailers and truck campers that are mounted on or towed by a motor vehicle and that do not require a special permit to be towed on the highways, interstates or roads of the State of Mississippi.
(w) "Dealer-operator" means the individual designated in the franchise agreement as the operator of the motor vehicle dealership.
(x) "Franchise" or "franchise agreement" means a written contract or agreement between a motor vehicle dealer and a manufacturer or its distributor or factory branch by which the motor vehicle dealer is authorized to engage in the business of selling or leasing the specific makes, models or classifications of new motor vehicles marketed or leased by the manufacturer and designated in the agreement or any addendum to such agreement.
SECTION 2. Section 63-17-141, Mississippi Code of 1972, is amended as follows:
63-17-141. (1) A new motor vehicle dealer shall return property, including, but not limited to, vehicle inventory, parts, equipment, tools and signs as permitted under this section or as set forth in the franchise agreement to the manufacturer or distributor within ninety (90) days of the effective date of any termination or nonrenewal of a franchise. The manufacturer or distributor shall supply the new vehicle dealer with instructions on the method by which the new vehicle dealer must return the property to the manufacturer or distributor. Within sixty (60) days of tender of the property to the manufacturer or distributor, the manufacturer or distributor shall repurchase from the new vehicle dealer and remit payment to the new vehicle dealer for the following:
(a) Any new, undamaged and unsold motor vehicle inventory of the current or prior model year, that has been acquired from the manufacturer or distributor, including up to five (5) dealer transfers acquired prior to notification of termination or nonrenewal of a franchise.
(b) All new, unused, undamaged parts listed in the current price catalog and in the original, resalable merchandising packages and in unbroken lots acquired from a manufacturer or distributor or a source approved or recommended by the manufacturer or distributor at the prices listed in the current parts catalog less applicable allowances plus five percent (5%) of the catalog value of the part for the cost of packing and returning the parts to the manufacturer or distributor. Reconditioned or core parts shall be valued at their core value, price listed in the current parts catalog, or the amount paid for expedited return of core parts, whichever is higher.
(c) Any special tools offered for sale during the four (4) years preceding termination, and each trademark or trade name bearing signs which were recommended or required by the manufacturer or distributor at fair market value at the time the notice of termination or nonrenewal is given.
(2) The dealer shall provide evidence of good clear title upon return of the inventory. Any payment owed the dealer is subject to offset of any obligations owed by the dealer to the manufacturer.
(3) The Mississippi Motor Vehicle Commission shall have the authority to enforce the provisions of this section when disputes between new motor vehicle dealers and manufacturers or distributors arise under this section.
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SECTION 3. This act shall take effect and be in force from and after July 1, 2013.
