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