Florida Senate - 2025                        COMMITTEE AMENDMENT
       Bill No. SB 1820
       
       
       
       
       
       
                                Ì800490ÅÎ800490                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  03/26/2025           .                                
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       The Committee on Transportation (Leek) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Subsection (42) of section 320.64, Florida
    6  Statutes, is amended, and subsection (43) is added to that
    7  section, to read:
    8         320.64 Denial, suspension, or revocation of license;
    9  grounds.—A license of a licensee under s. 320.61 may be denied,
   10  suspended, or revoked within the entire state or at any specific
   11  location or locations within the state at which the applicant or
   12  licensee engages or proposes to engage in business, upon proof
   13  that the section was violated with sufficient frequency to
   14  establish a pattern of wrongdoing, and a licensee or applicant
   15  shall be liable for claims and remedies provided in ss. 320.695
   16  and 320.697 for any violation of any of the following
   17  provisions. A licensee is prohibited from committing the
   18  following acts:
   19         (42)(a) The applicant or licensee, or a common entity
   20  thereof, has established, implemented, or enforced criteria for
   21  measuring the sales or service performance of any of its
   22  franchised motor vehicle dealers in this state which have a
   23  material or adverse effect on any motor vehicle dealer and
   24  which:
   25         1. Are unfair, unreasonable, arbitrary, or inequitable; or
   26         2. Do not include all relevant and material local and
   27  regional criteria, data, and facts. Relevant and material
   28  criteria, data, or facts include, but are not limited to, those
   29  of motor vehicle dealerships of comparable size in comparable
   30  markets. If such performance measurement criteria are based, in
   31  whole or in part, on a survey, such survey must be based on a
   32  statistically significant and valid random sample.
   33         (b) The An applicant or, licensee, or a common entity
   34  thereof, has implemented or enforced criteria for measuring the
   35  sales or service performance of any of its franchised motor
   36  vehicle dealers in this state without first making available and
   37  readily accessible, before such implementation or enforcement, a
   38  written description to each such franchised, or an affiliate
   39  thereof, which enforces against any motor vehicle dealer any
   40  such performance measurement criteria shall, upon the request of
   41  the motor vehicle dealer, describe in writing to the motor
   42  vehicle dealer in this state which describes, in detail, how the
   43  performance measurement criteria were designed, calculated,
   44  established, and uniformly applied.
   45         (43) The applicant or licensee, or a common entity thereof,
   46  has engaged in an action, or implemented a policy, standard,
   47  rule, practice, or program, taken as retaliation against a motor
   48  vehicle dealer because the dealer invoked a statutory right
   49  created by ss. 320.60-320.70, asserted that the applicant,
   50  licensee, or common entity has acted in a manner that violates a
   51  provision of ss. 320.60-320.70, or has testified, assisted, or
   52  participated in any manner in an investigation, a proceeding, or
   53  a hearing that may directly affect the applicant, licensee, or
   54  common entity.
   55  
   56  A motor vehicle dealer who can demonstrate that a violation of,
   57  or failure to comply with, any of the preceding provisions by an
   58  applicant or licensee will or may adversely and pecuniarily
   59  affect the complaining dealer, shall be entitled to pursue all
   60  of the remedies, procedures, and rights of recovery available
   61  under ss. 320.695 and 320.697.
   62         Section 2. Subsection (3) of section 320.641, Florida
   63  Statutes, is amended to read:
   64         320.641 Discontinuations, cancellations, nonrenewals,
   65  modifications, and replacement of franchise agreements.—
   66         (3) Any motor vehicle dealer who receives a notice of
   67  intent to discontinue, cancel, not renew, modify, or replace
   68  may, within the 90-day notice period, file a petition or
   69  complaint for a determination of whether such action is an
   70  unfair or prohibited discontinuation, cancellation, nonrenewal,
   71  modification, or replacement. Agreements and certificates of
   72  appointment must shall continue in effect until final
   73  determination of the issues raised in such petition or complaint
   74  by the motor vehicle dealer. A discontinuation, cancellation, or
   75  nonrenewal of a franchise agreement is unfair if it is not
   76  clearly permitted by the franchise agreement; is not undertaken
   77  in good faith; is not undertaken for good cause; or is not based
   78  on a material and substantial an alleged breach of the franchise
   79  agreement by the motor vehicle dealer which is not in fact a
   80  material and substantial breach; or, if the grounds relied upon
   81  for termination, cancellation, or nonrenewal have not been
   82  applied in a uniform and consistent manner by the licensee. If
   83  the notice of discontinuation, cancellation, or nonrenewal
   84  relates to an alleged failure of the new motor vehicle dealer’s
   85  sales or service performance obligations under the franchise
   86  agreement, the new motor vehicle dealer must first be provided
   87  with at least 180 days to correct the alleged failure before a
   88  licensee may send the notice of discontinuation, cancellation,
   89  or nonrenewal. A modification or replacement is unfair if it is
   90  not clearly permitted by the franchise agreement; is not
   91  undertaken in good faith; or is not undertaken for good cause.
   92  The applicant or licensee has shall have the burden of proof
   93  that such discontinuation, cancellation, nonrenewal,
   94  modification, or replacement action is fair and not prohibited.
   95         Section 3. This act shall take effect July 1, 2025.
   96  
   97  ================= T I T L E  A M E N D M E N T ================
   98  And the title is amended as follows:
   99         Delete everything before the enacting clause
  100  and insert:
  101                        A bill to be entitled                      
  102         An act relating to motor vehicle manufacturers and
  103         franchised motor vehicle dealers; amending s. 320.64,
  104         F.S.; prohibiting an applicant or a licensee, or a
  105         common entity thereof, from establishing,
  106         implementing, or enforcing certain criteria for
  107         measuring the sales or service performance of its
  108         franchised motor vehicle dealers unless certain
  109         conditions are met; prohibiting an applicant or a
  110         licensee, or a common entity thereof, from engaging in
  111         an action that is taken as retaliation against a motor
  112         vehicle dealer under certain circumstances; amending
  113         s. 320.641, F.S.; revising the circumstances in which
  114         a discontinuation, cancellation, nonrenewal,
  115         modification, or replacement of a franchise agreement
  116         is deemed unfair; providing an effective date.