CS/CS/HB 1457

1	A bill to be entitled
2	An act relating to recreational vehicle manufacturers,
3	distributors, dealers, and importers; creating s.
4	320.3201, F.S.; providing legislative intent; creating s.
5	320.3202, F.S.; providing definitions; creating s.
6	320.3203, F.S.; providing requirements for a
7	manufacturer/dealer agreement; requiring designation of
8	the area of sales responsibility; providing conditions for
9	sales outside the dealer's area of sales responsibility;
10	creating s. 320.3205, F.S.; providing requirements and
11	procedures for termination, cancellation, or nonrenewal of
12	a manufacturer/dealer agreement by a manufacturer or a
13	dealer; providing for the repurchase by the manufacturer
14	of vehicles, accessories, parts and equipment, tools,
15	signage, and machinery; requiring notification of a
16	manufacturer when a dealer takes on an additional line-
17	make; creating s. 320.3206, F.S.; providing for change in
18	ownership by a dealer; requiring notice to the
19	manufacturer; providing requirements for objection by the
20	manufacturer; providing for a dealer to name a family
21	member as a successor in case of retirement,
22	incapacitation, or death of the dealer; providing
23	requirements for objection to the successor by the
24	manufacturer; creating s. 320.3207, F.S.; providing
25	requirements for warrantors, manufacturers, and dealers
26	with respect to warranty obligations; providing
27	requirements for compensation of the dealer; authorizing
28	warranty audits by the warrantor; requiring cause for
29	denial of compensation; providing for disposition of
30	warranty claims; prohibiting certain acts by the warrantor
31	and the dealer; requiring notice of certain pending suits;
32	creating s. 320.3208, F.S.; providing for inspection and
33	rejection of a recreational vehicle upon delivery to a
34	dealer; creating s. 320.3209, F.S.; prohibiting a
35	manufacturer or distributor from coercing a dealer to
36	perform certain acts; creating s. 320.3210, F.S.;
37	providing for resolution when a dealer, manufacturer,
38	distributor, or warrantor is injured by another party's
39	violation; authorizing civil action; providing for
40	mediation; providing for remedies; creating s. 320.3211,
41	F.S.; providing administrative and criminal penalties for
42	violations; providing for an administrative hearing to
43	contest a penalty imposed by the department; amending s.
44	320.8225, F.S.; providing licensure requirements for
45	distributors and importers; providing for severability;
46	providing an effective date.
47
48	Be It Enacted by the Legislature of the State of Florida:
49
50	Section 1.  Section 320.3201, Florida Statutes, is created
51	to read:
52	320.3201  Legislative intent.--
53	(1)  It is the intent of the Legislature to protect the
54	public health, safety, and welfare of the residents of the state
55	by regulating the relationship between recreational vehicle
56	dealers and manufacturers, maintaining competition, and
57	providing consumer protection and fair trade.
58	(2)  It is the intent of the Legislature that the
59	provisions of ss. 320.3201-320.3211 be applied to
60	manufacturer/dealer agreements entered into on or after October
61	1, 2007.
62	Section 2.  Section 320.3202, Florida Statutes, is created
63	to read:
64	320.3202  Definitions.--As used in ss. 320.3201-320.3211,
65	the term:
66	(1)  "Area of sales responsibility" means the geographical
67	area agreed to by the dealer and the manufacturer in the
68	manufacturer/dealer agreement within which the dealer has the
69	exclusive right to display or sell the manufacturer's new
70	recreational vehicles of a particular line-make.
71	(2)  "Dealer" means any person, firm, corporation, or
72	business entity licensed or required to be licensed under s.
73	320.771.
74	(3)  "Distributor" means any person, firm, corporation, or
75	business entity that purchases new recreational vehicles for
76	resale to dealers.
77	(4)  "Factory campaign" means an effort on the part of a
78	warrantor to contact recreational vehicle owners or dealers in
79	order to address a part or equipment issue.
80	(5)  "Family member" means a spouse, child, grandchild,
81	parent, sibling, niece, or nephew, or the spouse thereof.
82	(6)  "Line-make" means a specific series of recreational
83	vehicle products that:
84	(a)  Are identified by a common series trade name or
85	trademark;
86	(b)  Are targeted to a particular market segment, as
87	determined by their decor, features, equipment, size, weight,
88	and price range;
89	(c)  Have lengths and interior floor plans that distinguish
90	the recreational vehicles from other recreational vehicles with
91	substantially the same decor, equipment, features, price, and
92	weight; and
93	(d)  Belong to a single, distinct classification of
94	recreational vehicle product type having a substantial degree of
95	commonality in the construction of the chassis, frame, and body.
96	(7)  "Manufacturer" means any person, firm, corporation, or
97	business entity that engages in the manufacturing of
98	recreational vehicles.
99	(8)  "Manufacturer/dealer agreement" means a written
100	agreement or contract entered into between a manufacturer and a
101	dealer that fixes the rights and responsibilities of the parties
102	and pursuant to which the dealer sells new recreational
103	vehicles.
104	(9)  "Proprietary part" means any part manufactured by or
105	for and sold exclusively by the manufacturer.
106	(10)  "Recreational vehicle" means the category of motor
107	vehicle described in s. 320.01(1)(b).
108	(11)  "Transient customer" means a customer who is
109	temporarily traveling through a dealer's area of sales
110	responsibility.
111	(12)  "Warrantor" means any person, firm, corporation, or
112	business entity that gives a warranty in connection with a new
113	recreational vehicle or parts, accessories, or components
114	thereof. The term does not include service contracts, mechanical
115	or other insurance, or extended warranties sold for separate
116	consideration by a dealer or other person not controlled by a
117	manufacturer.
118	Section 3.  Section 320.3203, Florida Statutes, is created
119	to read:
120	320.3203  Requirement for a written manufacturer/dealer
121	agreement; area of sales responsibility.--
122	(1)  A manufacturer or distributor may not sell a
123	recreational vehicle in this state to or through a dealer
124	without having first entered into a manufacturer/dealer
125	agreement with a dealer which has been signed by both parties.
126	(2)  The manufacturer shall designate the area of sales
127	responsibility exclusively assigned to a dealer in the
128	manufacturer/dealer agreement and may not change such area or
129	contract with another dealer for sale of the same line-make in
130	the designated area during the duration of the agreement.
131	(3)  The area of sales responsibility may not be reviewed
132	or changed until 1 year after the execution of the
133	manufacturer/dealer agreement.
134	(4)  A motor vehicle dealer may not sell a new recreational
135	vehicle in this state without having first entered into a
136	manufacturer/dealer agreement with a manufacturer or distributor
137	and may not sell outside of the area of sales responsibility
138	designated in the agreement.
139	(5)  Notwithstanding subsection (4), a dealer may sell
140	outside of its designated area of sales responsibility if the
141	dealer obtains a supplemental license pursuant to s. 320.771(7)
142	and meets any one of the following conditions:
143	(a)  For sales of the same line-make within another
144	dealer's designated area of sales responsibility, the dealer
145	must obtain in advance of the off-premise sale a written
146	agreement signed by the dealer, the manufacturer of the
147	recreational vehicles to be sold at the off-premise sale, and
148	the dealer in whose designated area of sales responsibility the
149	off-premise sale will occur which:
150	1.  Designates the line-make of the recreational vehicles
151	to be sold;
152	2.  Sets forth the time period for the off-premise sale;
153	and
154	3.  Affirmatively authorizes the sale of the same line-make
155	of the recreational vehicles.
156	(b)  The off-premise sale is not located within any
157	dealer's designated area of sales responsibility and is in
158	conjunction with a public vehicle show.
159	(c)  The off-premise sale is in conjunction with a public
160	vehicle show in which more than 35 dealers are participating and
161	the show is predominantly funded by manufacturers. For the
162	purposes of this subsection, the term "public vehicle show"
163	means an event sponsored by an organization approved under s.
164	501(c)(6) of the Internal Revenue Code which has the purpose of
165	promoting the welfare of the recreational vehicle industry and
166	is located at a site that:
167	1.  Will be used to display and sell recreational vehicles;
168	2.  Is not used for off-premise sales for more than 10 days
169	in a calendar year; and
170	3.  Is not the location set forth on any dealer's license
171	as its place of business.
172	Section 4.  Section 320.3205, Florida Statutes, is created
173	to read:
174	320.3205  Termination, cancellation, and nonrenewal of a
175	manufacturer/dealer agreement.--
176	(1)  A manufacturer or distributor, directly or through any
177	officer, agent, or employee, may not terminate, cancel, or fail
178	to renew a manufacturer/dealer agreement without good cause,
179	and, upon renewal, may not require additional inventory stocking
180	requirements or increased retail sales targets in excess of the
181	market growth in the dealer's area of sales responsibility.
182	(a)  The manufacturer or distributor has the burden of
183	showing good cause for terminating, canceling, or failing to
184	renew a manufacturer/dealer agreement with a dealer. For
185	purposes of determining whether there is good cause for the
186	proposed action, any of the following factors may be considered:
187	1.  The extent of the affected dealer's penetration in the
188	relevant market area.
189	2.  The nature and extent of the dealer's investment in its
190	business.
191	3.  The adequacy of the dealer's service facilities,
192	equipment, parts, supplies, and personnel.
193	4.  The effect of the proposed action on the community.
194	5.  The extent and quality of the dealer's service under
195	recreational vehicle warranties.
196	6.  The failure to follow agreed-upon procedures or
197	standards related to the overall operation of the dealership.
198	7.  The dealer's performance under the terms of its
199	manufacturer/dealer agreement.
200	(b)  Except as otherwise provided in this section, a
201	manufacturer or distributor shall provide a dealer with at least
202	120 days' prior written notice of termination, cancellation, or
203	nonrenewal of the manufacturer/dealer agreement.
204	1.  The notice must state all reasons for the proposed
205	termination, cancellation, or nonrenewal and must further state
206	that if, within 30 days following receipt of the notice, the
207	dealer provides to the manufacturer or distributor a written
208	notice of intent to cure all claimed deficiencies, the dealer
209	will then have 120 days following receipt of the notice to
210	rectify the deficiencies. If the deficiencies are rectified
211	within 120 days, the manufacturer's or distributor's notice is
212	voided. If the dealer fails to provide the notice of intent to
213	cure the deficiencies in the prescribed time period, the
214	termination, cancellation, or nonrenewal takes effect 30 days
215	after the dealer's receipt of the notice unless the dealer has
216	new and untitled inventory on hand that may be disposed of
217	pursuant to subsection (3).
218	2.  The notice period may be reduced to 30 days if the
219	grounds for termination, cancellation, or nonrenewal are due to:
220	a.  A dealer or one of its owners being convicted of, or
221	entering a plea of nolo contendere to, a felony;
222	b.  The abandonment or closing of the business operations
223	of the dealer for 10 consecutive business days unless the
224	closing is due to an act of God, strike, labor difficulty, or
225	other cause over which the dealer has no control;
226	c.  A significant misrepresentation by the dealer
227	materially affecting the business relationship; or
228	d.  A suspension or revocation of the dealer's license, or
229	refusal to renew the dealer's license, by the department.
230	3.  The notice provisions of this paragraph do not apply if
231	the reason for termination, cancellation, or nonrenewal is
232	insolvency, the occurrence of an assignment for the benefit of
233	creditors, or bankruptcy.
234	(2)  A dealer may terminate, cancel, or not renew its
235	manufacturer/dealer agreement with a manufacturer or distributor
236	with or without cause at any time by giving 30 days' written
237	notice to the manufacturer. If the termination, cancellation, or
238	nonrenewal is for cause, the dealer has the burden of showing
239	good cause. Any of the following items shall be deemed good
240	cause for the proposed action by a dealer:
241	(a)  A manufacturer being convicted of, or entering a plea
242	of nolo contendere to, a felony.
243	(b)  The business operations of the manufacturer have been
244	abandoned or closed for 10 consecutive business days, unless the
245	closing is due to an act of God, strike, labor difficulty, or
246	other cause over which the manufacturer has no control.
247	(c)  A significant misrepresentation by the manufacturer
248	materially affecting the business relationship.
249	(d)  A material violation of ss. 320.3201-320.3211 which is
250	not cured within 30 days after written notice by the dealer.
251	(e)  A declaration by the manufacturer of bankruptcy,
252	insolvency, or the occurrence of an assignment for the benefit
253	of creditors or bankruptcy.
254	(3)  If the manufacturer/dealer agreement is terminated,
255	canceled, or not renewed by the manufacturer or distributor
256	without cause or by the dealer for cause, the manufacturer
257	shall, at the election of the dealer and within 45 days after
258	termination, cancellation, or nonrenewal, repurchase:
259	(a)  All recreational vehicles that are classified as "new"
260	for titling purposes under s. 319.001(8), that were acquired
261	from the manufacturer or distributor, that have not been used,
262	except for demonstration purposes, and that have not been
263	altered or damaged, at 100 percent of the net invoice cost,
264	including transportation, less applicable rebates and discounts
265	to the dealer. If any of the vehicles repurchased is damaged,
266	the amount due to the dealer shall be reduced by the cost to
267	repair the damaged vehicle. Damage prior to delivery to the
268	dealer will not disqualify repurchase under this subsection;
269	(b)  All undamaged accessories and proprietary parts sold
270	to the dealer for resale within the 12 months prior to
271	termination, cancellation, or nonrenewal, if accompanied by the
272	original invoice, at 105 percent of the original net price paid
273	to the manufacturer or distributor to compensate the dealer for
274	handling, packing, and shipping the parts; and
275	(c)  Any properly functioning diagnostic equipment, special
276	tools, current signage, and other equipment and machinery at 100
277	percent of the dealer's net cost plus freight, destination,
278	delivery, and distribution charges and sales taxes, if any, if
279	it was purchased by the dealer within 5 years before
280	termination, cancellation, or nonrenewal and upon the
281	manufacturer's or distributor's request and can no longer be
282	used in the normal course of the dealer's ongoing business.
283
284	The manufacturer or distributor shall pay the dealer within 30
285	days after receipt of the returned items.
286	(4)  When taking on an additional line-make of recreational
287	vehicle, a dealer shall notify in writing any manufacturer with
288	whom the dealer has a manufacturer/dealer agreement of the same
289	line-make at least 30 days prior to entering into a
290	manufacturer/dealer agreement with the manufacturer of the
291	additional line-make.
292	Section 5.  Section 320.3206, Florida Statutes, is created
293	to read:
294	320.3206  Transfer of ownership; family succession.--
295	(1)  If a dealer desires to make a change in ownership by
296	the sale of the business assets, stock transfer, or otherwise,
297	the dealer shall give the manufacturer or distributor written
298	notice at least 10 business days before the closing, including
299	all supporting documentation as may be reasonably required by
300	the manufacturer or distributor to determine if an objection to
301	the sale may be made. In the absence of a breach by the selling
302	dealer of its dealer agreement or this chapter, the manufacturer
303	or distributor shall not object to the proposed change in
304	ownership unless the prospective transferee:
305	(a)  Has previously been terminated by the manufacturer for
306	breach of its dealer agreement;
307	(b)  Has been convicted of a felony or any crime of fraud,
308	deceit, or moral turpitude;
309	(c)  Lacks any license required by law;
310	(d)  Does not have an active line of credit sufficient to
311	purchase a manufacturer's product; or
312	(e)  Has undergone in the last 10 years bankruptcy,
313	insolvency, a general assignment for the benefit of creditors,
314	or the appointment of a receiver, trustee, or conservator to
315	take possession of the transferee's business or property.
316	(2)  If the manufacturer or distributor objects to a
317	proposed change of ownership, the manufacturer or distributor
318	shall give written notice of its reasons to the dealer within 7
319	business days after receipt of the dealer's notification and
320	complete documentation. The manufacturer or distributor has the
321	burden of proof with regard to its objection. If the
322	manufacturer or distributor does not give timely notice of its
323	objection, the change or sale shall be deemed approved.
324	(3)(a)  It is unlawful for a manufacturer or distributor to
325	fail to provide a dealer an opportunity to designate, in
326	writing, a family member as a successor to the dealership in the
327	event of the death, incapacity, or retirement of the dealer. It
328	is unlawful to prevent or refuse to honor the succession to a
329	dealership by a family member of the deceased, incapacitated, or
330	retired dealer unless the manufacturer or distributor has
331	provided to the dealer written notice of its objections within
332	30 days after receipt of the dealer's modification of the
333	dealer's succession plan. In the absence of a breach of the
334	dealer agreement, the manufacturer may object to the succession
335	for the following reasons only:
336	1.  Conviction of the successor of a felony or any crime of
337	fraud, deceit, or moral turpitude;
338	2.  Bankruptcy or insolvency of the successor during the
339	past 10 years;
340	3.  Prior termination by the manufacturer of the successor
341	for breach of a dealer agreement;
342	4.  The lack of an active line of credit for the successor
343	sufficient to purchase the manufacturer's product; or
344	5.  The lack of any license for the successor required by
345	law.
346	(b)  The manufacturer or distributor has the burden of
347	proof regarding its objection. However, a family member may not
348	succeed to a dealership if the succession involves, without the
349	manufacturer's or distributor's consent, a relocation of the
350	business or an alteration of the terms and conditions of the
351	manufacturer/dealer agreement.
352	Section 6.  Section 320.3207, Florida Statutes, is created
353	to read:
354	320.3207  Warranty obligations.--
355	(1)  Each warrantor shall:
356	(a)  Specify in writing to each of its dealer obligations,
357	if any, for preparation, delivery, and warranty service on its
358	products;
359	(b)  Compensate the dealer for warranty service required of
360	the dealer by the warrantor; and
361	(c)  Provide the dealer the schedule of compensation to be
362	paid and the time allowances for the performance of any work and
363	service.
364
365	The schedule of compensation must include reasonable
366	compensation for diagnostic work as well as warranty labor.
367	(2)  Time allowances for the diagnosis and performance of
368	warranty labor must be reasonable for the work to be performed.
369	The compensation of a dealer for warranty labor may not be less
370	than the lowest retail labor rates actually charged by the
371	dealer for like nonwarranty labor as long as such rates are
372	reasonable.
373	(3)  The warrantor shall reimburse the dealer for warranty
374	parts at actual wholesale cost plus a minimum 30-percent
375	handling charge and the cost, if any, of freight to return
376	warranty parts to the warrantor.
377	(4)  Warranty audits of dealer records may be conducted by
378	the warrantor on a reasonable basis, and dealer claims for
379	warranty compensation may not be denied except for cause, such
380	as performance of nonwarranty repairs, material noncompliance
381	with the warrantor's published policies and procedures, lack of
382	material documentation, fraud, or misrepresentation.
383	(5)  The dealer shall submit warranty claims within 45 days
384	after completing work.
385	(6)  The dealer shall notify the warrantor verbally or in
386	writing if the dealer is unable to perform material or
387	repetitive warranty repairs as soon as is reasonably possible.
388	(7)  The warrantor shall disapprove warranty claims in
389	writing within 45 days after the date of submission by the
390	dealer in the manner and form prescribed by the warrantor.
391	Claims not specifically disapproved in writing within 45 days
392	shall be construed to be approved and must be paid within 60
393	days.
394	(8)  It is a violation of ss. 320.3201-320.3211 for any
395	warrantor to:
396	(a)  Fail to perform any of its warranty obligations with
397	respect to its warranted products;
398	(b)  Fail to include, in written notices of factory
399	campaigns to recreational vehicle owners and dealers, the
400	expected date by which necessary parts and equipment, including
401	tires and chassis or chassis parts, will be available to dealers
402	to perform the campaign work. The warrantor may ship parts to
403	the dealer to effect the campaign work, and, if such parts are
404	in excess of the dealer's requirements, the dealer may return
405	unused parts to the warrantor for credit after completion of the
406	campaign;
407	(c)  Fail to compensate any of its dealers for authorized
408	repairs effected by the dealer of merchandise damaged in
409	manufacture or transit to the dealer, if the carrier is
410	designated by the warrantor, factory branch, distributor, or
411	distributor branch;
412	(d)  Fail to compensate any of its dealers for authorized
413	warranty service in accordance with the schedule of compensation
414	provided to the dealer pursuant to this section if performed in
415	a timely and competent manner;
416	(e)  Intentionally misrepresent in any way to purchasers of
417	recreational vehicles that warranties with respect to the
418	manufacture, performance, or design of the vehicle are made by
419	the dealer as warrantor or cowarrantor; or
420	(f)  Require the dealer to make warranties to customers in
421	any manner related to the manufacture of the recreational
422	vehicle.
423	(9)  It is a violation of ss. 320.3201-320.3211 for any
424	dealer to:
425	(a)  Fail to perform predelivery inspection functions, as
426	specified by the warrantor, in a competent and timely manner;
427	(b)  Fail to perform warranty service work authorized by
428	the warrantor in a reasonably competent and timely manner on any
429	transient customer's vehicle of the same line-make; or
430	(c)  Misrepresent the terms of any warranty.
431	(10)  Notwithstanding the terms of any manufacturer/dealer
432	agreement, it is a violation of ss. 320.3201-320.3211 for:
433	(a)  A warrantor to fail to indemnify and hold harmless its
434	dealer against any losses or damages to the extent such losses
435	or damages are caused by the negligence or willful misconduct of
436	the warrantor. The dealer may not be denied indemnification for
437	failing to discover, disclose, or remedy a defect in the design
438	or manufacturing of the recreational vehicle. The dealer shall
439	provide to the warrantor a copy of any suit in which allegations
440	are made that come within this subsection within 10 days after
441	receiving such suit.
442	(b)  A dealer to fail to indemnify and hold harmless its
443	warrantor against any losses or damages to the extent such
444	losses or damages are caused by the negligence or willful
445	misconduct of the dealer. The warrantor shall provide to the
446	dealer a copy of any suit in which allegations are made that
447	come within this subsection within 10 days after receiving such
448	suit.
449	Section 7.  Section 320.3208, Florida Statutes, is created
450	to read:
451	320.3208  Inspection and rejection by the dealer.--
452	(1)  Whenever a new recreational vehicle is damaged prior
453	to transit to the dealer or is damaged in transit to the dealer
454	when the carrier or means of transportation has been selected by
455	the manufacturer or distributor, the dealer shall notify the
456	manufacturer or distributor of the damage within the timeframe
457	specified in the manufacturer/dealer agreement and:
458	(a)  Request from the manufacturer or distributor
459	authorization to replace the components, parts, and accessories
460	damaged or otherwise correct the damage; or
461	(b)  Reject the vehicle within the timeframe set forth in
462	subsection (3).
463
464	If the manufacturer or distributor refuses or fails to authorize
465	repair of such damage within 10 days after receipt of
466	notification or if the dealer rejects the recreational vehicle
467	because of damage, ownership of the new recreational vehicle
468	reverts to the manufacturer or distributor.
469	(2)  The dealer shall exercise due care in custody of the
470	damaged recreational vehicle, but the dealer shall have no other
471	obligations, financial or otherwise, with respect to that
472	recreational vehicle.
473	(3)  The timeframe for inspection and rejection by the
474	dealer must be part of the manufacturer/dealer agreement and may
475	not be less than 2 business days after the physical delivery of
476	the recreational vehicle.
477	(4)  Any recreational vehicle that has, at the time of
478	delivery to the dealer, an unreasonable amount of miles on its
479	odometer, as determined by the dealer, may be subject to
480	rejection by the dealer and reversion of the vehicle to the
481	manufacturer or distributor. In no instance shall a dealer deem
482	an amount less than the distance between the dealer and the
483	manufacturer's factory or a distributor's point of distribution,
484	plus 100 miles, as unreasonable.
485	Section 8.  Section 320.3209, Florida Statutes, is created
486	to read:
487	320.3209  Coercion of dealer prohibited.--
488	(1)  A manufacturer or distributor may not coerce or
489	attempt to coerce a dealer to:
490	(a)  Purchase a product that the dealer did not order;
491	(b)  Enter into an agreement with the manufacturer or
492	distributor;
493	(c)  Take any action that is unfair or unreasonable to the
494	dealer; or
495	(d)  Enter into an agreement that requires the dealer to
496	submit its disputes to binding arbitration or otherwise waive
497	rights or responsibilities provided under ss. 320.3201-320.3211.
498	(2)  As used in this section, the term "coerce" includes,
499	but is not limited to, threatening to terminate, cancel, or not
500	renew a manufacturer/dealer agreement without good cause or
501	threatening to withhold product lines or delay product delivery
502	as an inducement to amending the manufacturer/dealer agreement.
503	Section 9.  Section 320.3210, Florida Statutes, is created
504	to read:
505	320.3210  Civil dispute resolution; mediation; relief.--
506	(1)  A dealer, manufacturer, distributor, or warrantor
507	injured by another party's violation of ss. 320.3201-320.3211
508	may bring a civil action in circuit court to recover actual
509	damages. The court shall award attorney's fees and costs to the
510	prevailing party in such action. Venue for any civil action
511	authorized by this section must exclusively be in the county in
512	which the dealership is located. In an action involving more
513	than one dealer, venue may be in any county in which a dealer
514	who is party to the action is located.
515	(2)  Before bringing suit under this section, the party
516	bringing suit for an alleged violation shall serve a written
517	demand for mediation upon the offending party.
518	(a)  The demand for mediation shall be served upon the
519	offending party via certified mail at the address stated within
520	the agreement between the parties. In the event of a civil
521	action between two dealers, the demand must be mailed to the
522	address on the dealer's license filed with the department.
523	(b)  The demand for mediation must contain a brief
524	statement of the dispute and the relief sought by the party
525	filing the demand.
526	(c)  Within 20 days after the date a demand for mediation
527	is served, the parties shall mutually select an independent
528	certified mediator and meet with the mediator for the purpose of
529	attempting to resolve the dispute. The meeting place must be in
530	this state in a location selected by the mediator. The mediator
531	may extend the date of the meeting for good cause shown by
532	either party or upon stipulation of both parties.
533	(d)  The service of a demand for mediation under this
534	subsection stays the time for the filing of any complaint,
535	petition, protest, or action under ss. 320.3201-320.3211 until
536	representatives of both parties have met with a mutually
537	selected mediator for the purpose of attempting to resolve the
538	dispute. If a complaint, petition, protest, or action is filed
539	before that meeting, the court shall enter an order suspending
540	the proceeding or action until the meeting has occurred and may,
541	upon written stipulation of all parties to the proceeding or
542	action that they wish to continue to mediate under this
543	subsection, enter an order suspending the proceeding or action
544	for as long a period as the court considers appropriate. A
545	suspension order issued under this paragraph may be revoked by
546	the court.
547	(e)  The parties to the mediation shall bear their own
548	costs for attorney's fees and divide equally the cost of the
549	mediator.
550	(3)  In addition to the remedies provided in this section
551	and notwithstanding the existence of any additional remedy at
552	law, a dealer or manufacturer may apply to a circuit court for
553	the grant, upon a hearing and for cause shown, of a temporary or
554	permanent injunction, or both, restraining any person from
555	acting as a dealer, manufacturer, distributor, or importer
556	without being properly licensed pursuant to this chapter, from
557	violating or continuing to violate any of the provisions of ss.
558	320.3201-320.3211, or from failing or refusing to comply with
559	the requirements of ss. 320.3201-320.3211. Such injunction shall
560	be issued without bond. A single act in violation of s. 320.3203
561	is sufficient to authorize the issuance of an injunction.
562	Section 10.  Section 320.3211, Florida Statutes, is created
563	to read:
564	320.3211  Penalties.--
565	(1)  The department may suspend or revoke any license
566	issued under s. 320.771 upon a finding that the dealer,
567	manufacturer, distributor, or importer violated any provision of
568	ss. 320.3201-320.3211. The department may impose, levy, and
569	collect by legal process fines, in an amount not to exceed
570	$1,000 for each violation, against any person if it finds that
571	such person has violated any provision of ss. 320.3201-320.3211.
572	Such person is entitled to an administrative hearing pursuant to
573	chapter 120 to contest the action or fine levied, or about to be
574	levied, against the person.
575	(2)  In addition to the civil and administrative remedies,
576	a person who violates any provision of ss. 320.3201-320.3211
577	commits a misdemeanor of the second degree, punishable as
578	provided in s. 775.082 or s. 775.083.
579	Section 11.  Section 320.8225, Florida Statutes, is amended
580	to read:
581	320.8225  Mobile home and recreational vehicle
582	manufacturer, distributor, and importer license manufacturer's
583	license.--
584	(1)  LICENSE REQUIRED.--Any person who engages in the
585	business of a mobile home manufacturer or a recreational vehicle
586	manufacturer, distributor, or importer in this state, or who
587	manufactures mobile homes or recreational vehicles out of state
588	which are ultimately offered for sale in this state, shall
589	obtain annually a license for each factory location in this
590	state and for each factory location out of state which
591	manufactures mobile homes or recreational vehicles for sale in
592	this state, prior to distributing or importing mobile homes or
593	recreational vehicles for sale in this state.
594	(2)  APPLICATION.--The application for a license must shall
595	be in the form prescribed by the department and shall contain
596	sufficient information to disclose the identity, location, and
597	responsibility of the applicant. The application must shall also
598	include a copy of the warranty and a complete statement of any
599	service agreement or policy to be utilized by the applicant, any
600	information relating to the applicant's solvency and financial
601	standing, and any other pertinent matter commensurate with
602	safeguarding the public.  The department may prescribe an
603	abbreviated application for renewal of a license if the licensee
604	has had previously filed an initial application pursuant to this
605	section. The application for renewal must shall include any
606	information necessary to make bring current the information
607	required in the initial application.
608	(3)  FEES.--Upon submitting an making initial application,
609	the applicant shall pay to the department a fee of $300. Upon
610	submitting a making renewal application, the applicant shall pay
611	to the department a fee of $100. Any applicant for renewal who
612	fails has failed to submit his or her renewal application by
613	October 1 shall pay a renewal application fee equal to the
614	original application fee. No fee is refundable. All fees must
615	shall be deposited into the General Revenue Fund.
616	(4)  NONRESIDENT.--Any person applying for a license who is
617	not a resident of this state must designate shall have
618	designated an agent for service of process pursuant to s.
619	48.181.
620	(5)  REQUIREMENT OF ASSURANCE.--
621	(a)  Annually, prior to the receipt of a license to
622	manufacture mobile homes, the applicant or licensee shall submit
623	a surety bond, cash bond, or letter of credit from a financial
624	institution, or a proper continuation certificate, sufficient to
625	assure satisfaction of claims against the licensee for failure
626	to comply with appropriate code standards, failure to provide
627	warranty service, or violation of any provisions of this
628	section. The amount of the surety bond, cash bond, or letter of
629	credit must shall be $50,000. Only one surety bond, cash bond,
630	or letter of credit shall be required for each manufacturer,
631	regardless of the number of factory locations. The surety bond,
632	cash bond, or letter of credit must shall be to the department,
633	in favor of any retail customer who suffers a shall suffer loss
634	arising out of noncompliance with code standards or failure to
635	honor or provide warranty service. The department may shall have
636	the right to disapprove any bond or letter of credit that does
637	not provide assurance as provided in this section.
638	(b)  Annually, prior to the receipt of a license to
639	manufacture, distribute, or import recreational vehicles, the
640	applicant or licensee shall submit a surety bond, or a proper
641	continuation certificate, sufficient to assure satisfaction of
642	claims against the licensee for failure to comply with
643	appropriate code standards, failure to provide warranty service,
644	or violation of any provisions of this section. The amount of
645	the surety bond must shall be $10,000 per year. The surety bond
646	must shall be to the department, in favor of any retail customer
647	who suffers shall suffer loss arising out of noncompliance with
648	code standards or failure to honor or provide warranty service.
649	The department may shall have the right to disapprove any bond
650	that which does not provide assurance as provided in this
651	section.
652	(c)  The department shall adopt rules pursuant to chapter
653	120 relating to consistent with this section in providing
654	assurance of satisfaction of claims under this section.
655	(d)  The department shall, upon denial, suspension, or
656	revocation of any license, notify the surety company of the
657	licensee, in writing, that the license has been denied,
658	suspended, or revoked and shall state the reason for such
659	denial, suspension, or revocation.
660	(e)  Any surety company that which pays any claim against
661	the bond of any licensee shall notify the department, in
662	writing, that it has paid such a claim and shall state the
663	amount of the claim.
664	(f)  Any surety company that which cancels the bond of any
665	licensee shall notify the department, in writing, of such
666	cancellation, giving reason for the cancellation.
667	(6)  LICENSE YEAR.--A license issued to a mobile home
668	manufacturer or a recreational vehicle manufacturer,
669	distributor, or importer entitles the licensee to conduct the
670	business of a mobile home or recreational vehicle manufacturer
671	for a period of 1 year from October 1 preceding the date of
672	issuance.
673	(7)  DENIAL OF LICENSE.--The department may deny a mobile
674	home manufacturer or a recreational vehicle manufacturer,
675	distributor, or importer manufacturer's license on the ground
676	that:
677	(a)  The applicant has made a material misstatement in his
678	or her application for a license.
679	(b)  The applicant has failed to comply with any applicable
680	provision of this chapter.
681	(c)  The applicant has failed to provide warranty service.
682	(d)  The applicant or one or more of his or her principals
683	or agents has violated any law, rule, or regulation relating to
684	the manufacture or sale of mobile homes or recreational
685	vehicles.
686	(e)  The department has proof of the unfitness of the
687	applicant.
688	(f)  The applicant or licensee has engaged in previous
689	conduct in any state which would have been a ground for
690	revocation or suspension of a license in this state.
691	(g)  The applicant or licensee has violated any provision
692	of the provisions of the National Mobile Home Construction and
693	Safety Standards Act of 1974 or any related rule or regulation
694	adopted by of the Department of Housing and Urban Development
695	promulgated thereunder.
696
697	Upon denial of a license, the department shall notify the
698	applicant within 10 days, stating in writing its grounds for
699	denial. The applicant is entitled to an administrative a public
700	hearing and may request that such hearing be held within 45 days
701	of denial of the license. All proceedings must shall be pursuant
702	to chapter 120.
703	(8)  REVOCATION OR SUSPENSION OF LICENSE.--The department
704	shall suspend or, in the case of a subsequent offense, shall
705	revoke any license upon a finding that the licensee violated any
706	provision of this chapter or any other law of this state
707	regarding the manufacture, warranty, or sale of mobile homes or
708	recreational vehicles. The department may reinstate the license
709	if it When any license has been revoked or suspended by the
710	department, it may be reinstated if the department finds that
711	the former licensee has complied with all applicable
712	requirements of this chapter and an application for a license is
713	refiled pursuant to this section.
714	(9)  CIVIL PENALTIES; PROCEDURE.--In addition to the
715	exercise of other powers provided in this section, The
716	department is authorized to assess, impose, levy, and collect by
717	legal process a civil penalty, in an amount not to exceed $1,000
718	for each violation, against any licensee if it finds that a
719	licensee has violated any provision of this section or has
720	violated any other law of this state having to do with dealing
721	in motor vehicles. A Any licensee is shall be entitled to a
722	hearing pursuant to chapter 120 should the licensee wish to
723	contest the fine levied, or about to be levied, upon him or her.
724	Section 12.  If any provision of this act or the
725	application thereof to any person or circumstance is held
726	invalid, the invalidity does not affect other provisions or
727	applications of the act which can be given effect without the
728	invalid provision or application and, to this end, the
729	provisions of this act are severable.
730	Section 13.  This act shall take effect October 1, 2007.

CODING: Words stricken are deletions; words underlined are additions.