Florida Senate - 2020 CS for CS for SB 1484
By the Committees on Judiciary; and Infrastructure and Security;
and Senator Diaz
590-03950-20 20201484c2
1 A bill to be entitled
2 An act relating to motor vehicle manufacturers and
3 dealers; amending s. 320.60, F.S.; redefining the term
4 “line-make vehicle”; amending s. 320.605, F.S.;
5 replacing legislative intent with legislative
6 findings; amending s. 320.64, F.S.; revising a
7 prohibition against certain applicants and licensees
8 competing with franchised motor vehicle dealers in
9 this state; defining the term “sale”; providing an
10 effective date.
11
12 Be It Enacted by the Legislature of the State of Florida:
13
14 Section 1. Subsection (14) of section 320.60, Florida
15 Statutes, is amended to read:
16 320.60 Definitions for ss. 320.61-320.70.—Whenever used in
17 ss. 320.61-320.70, unless the context otherwise requires, the
18 following words and terms have the following meanings:
19 (14) “Line-make vehicle” includes all models and types of
20 motor vehicles, regardless of the kind of engine, power plant,
21 or drive train they have; their design; or their intended use or
22 classification, which are offered for retail sale, lease,
23 license, subscription, or any other method of distribution under
24 a common name, trademark, service mark, or brand name of the
25 manufacturer of such vehicle. A line-make model or type that has
26 been the subject of a franchise with a motor vehicle dealer in
27 this state may not be sold or otherwise distributed or marketed
28 in any way by an applicant or licensee other than through its
29 franchised motor vehicle dealer, and, thereafter, may not be
30 rebadged or otherwise marketed as a new line-make unless the
31 manufacturer, importer, or distributor of such new line-make
32 offers a franchise of that new line-make to every motor vehicle
33 dealer that was franchised to sell that model or type before
34 rebadging vehicles” are those motor vehicles which are offered
35 for sale, lease, or distribution under a common name, trademark,
36 service mark, or brand name of the manufacturer of same.
37 However, motor vehicles sold or leased under multiple brand
38 names or marks shall constitute a single line-make when they are
39 included in a single franchise agreement and every motor vehicle
40 dealer in this state authorized to sell or lease any such
41 vehicles has been offered the right to sell or lease all of the
42 multiple brand names or marks covered by the single franchise
43 agreement. However Except, such multiple brand names or marks
44 are shall be considered individual franchises for purposes of s.
45 320.64(36).
46 Section 2. Section 320.605, Florida Statutes, is amended to
47 read:
48 320.605 Legislative findings intent.—The Legislature finds
49 and declares that the marketing and servicing of motor vehicles
50 in this state vitally affects the general economy and the public
51 health, safety, and welfare of its residents. The Legislature
52 further finds and declares that a well-regulated motor vehicle
53 franchise system in this state maintains fair competition;
54 provides consumers with an organized and localized sales and
55 service dealership network; provides tens of thousands of jobs
56 for the residents of this state; protects consumers; provides
57 consumers with quality warranty, repair, and recall facilities;
58 allows the state to further, through licensing and regulation,
59 the public’s interest in maintaining fair and harmonious
60 relations between motor vehicle manufacturers, importers,
61 distributors, and dealers; and provides minorities with
62 opportunities for participation as motor vehicle dealers It is
63 the intent of the Legislature to protect the public health,
64 safety, and welfare of the citizens of the state by regulating
65 the licensing of motor vehicle dealers and manufacturers,
66 maintaining competition, providing consumer protection and fair
67 trade and providing minorities with opportunities for full
68 participation as motor vehicle dealers.
69 Section 3. Subsection (23) of section 320.64, Florida
70 Statutes, is amended to read:
71 320.64 Denial, suspension, or revocation of license;
72 grounds.—A license of a licensee under s. 320.61 may be denied,
73 suspended, or revoked within the entire state or at any specific
74 location or locations within the state at which the applicant or
75 licensee engages or proposes to engage in business, upon proof
76 that the section was violated with sufficient frequency to
77 establish a pattern of wrongdoing, and a licensee or applicant
78 shall be liable for claims and remedies provided in ss. 320.695
79 and 320.697 for any violation of any of the following
80 provisions. A licensee is prohibited from committing the
81 following acts:
82 (23) The applicant or licensee has competed, or is
83 competing, or has attempted to compete with one of its
84 franchised motor vehicle dealers in the sale or service of
85 vehicles; in the sale of replacement parts, accessories, or
86 after-market products; in collision repair; or in any other
87 motor vehicle dealer activity related to the line-make for which
88 the motor vehicle dealer in this state is a party to a franchise
89 agreement with the applicant or licensee, except as permitted in
90 s. 320.645. As used in this subsection, the term “sale” includes
91 the sale, leasing, rental, licensing, subscription, or any other
92 transfer to a retail consumer, a wholesaler, or a broker of
93 title, possession, or use of a motor vehicle, replacement parts,
94 or accessories that are the subject of, or covered in the
95 franchise agreement with, the motor vehicle dealer. Nothing
96 contained in the foregoing shall prevent a common entity of an
97 applicant or licensee from selling replacement parts,
98 accessories, or after-market products under the common entity’s
99 brand name with respect to any activity covered by the franchise
100 agreement with a motor vehicle dealer of the same line-make
101 located in this state with whom the applicant or licensee has
102 entered into a franchise agreement, except as permitted in s.
103 320.645.
104
105 A motor vehicle dealer who can demonstrate that a violation of,
106 or failure to comply with, any of the preceding provisions by an
107 applicant or licensee will or may adversely and pecuniarily
108 affect the complaining dealer, shall be entitled to pursue all
109 of the remedies, procedures, and rights of recovery available
110 under ss. 320.695 and 320.697.
111 Section 4. This act shall take effect July 1, 2020.