Florida Senate - 2026 COMMITTEE AMENDMENT
Bill No. SB 1562
Ì287160ÉÎ287160
LEGISLATIVE ACTION
Senate . House
Comm: FAV .
02/11/2026 .
.
.
.
—————————————————————————————————————————————————————————————————
—————————————————————————————————————————————————————————————————
The Committee on Commerce and Tourism (Trumbull) recommended the
following:
1 Senate Amendment (with title amendment)
2
3 Delete everything after the enacting clause
4 and insert:
5 Section 1. Subsection (16) and paragraph (a) of subsection
6 (36) of section 320.64, Florida Statutes, are amended, and
7 subsection (44) is added to that 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 (16)(a) Notwithstanding the terms of any franchise
20 agreement, the applicant or licensee prevents or refuses to
21 accept the succession to any interest in a franchise agreement
22 by any legal heir or devisee under the will of a motor vehicle
23 dealer or under the laws of descent and distribution of this
24 state; provided, the applicant or licensee is not required to
25 accept a succession:
26 1. When where such heir or devisee does not meet licensee’s
27 written, reasonable, and uniformly applied minimal standard
28 qualifications for dealer applicants;
29 2. or Which, after notice and administrative hearing
30 pursuant to chapter 120, is demonstrated to be detrimental to
31 the public interest or to the representation of the applicant or
32 licensee; or
33 3. When the direct result of such succession will cause the
34 applicant or licensee to be in violation of subsection (44).
35 (b) This subsection does not Nothing contained herein,
36 however, shall prevent a motor vehicle dealer, during his or her
37 lifetime, from designating any person as his or her successor in
38 interest by written instrument filed with and accepted by the
39 applicant or licensee. A licensee who rejects the successor
40 transferee under this subsection shall have the burden of
41 establishing in any proceeding where such rejection is in issue
42 that the rejection of the successor transferee complies with
43 this subsection.
44 (36)(a) Notwithstanding the terms of any franchise
45 agreement, in addition to any other statutory or contractual
46 rights of recovery after the voluntary or involuntary
47 termination, cancellation, or nonrenewal of a franchise, failing
48 to pay the motor vehicle dealer, as provided in paragraph (d),
49 the following amounts:
50 1. The net cost paid by the dealer for each new motor
51 vehicle other than motorcycles car or truck in the dealer’s
52 inventory with mileage of 2,000 miles or less, or each new a
53 motorcycle in the dealer’s inventory with mileage of 100 miles
54 or less, exclusive of mileage placed on the motor vehicle before
55 it was delivered to the dealer.
56 2. The current price charged for each new, unused,
57 undamaged, or unsold part or accessory that:
58 a. Is in the current parts catalog and is still in the
59 original, resalable merchandising package and in an unbroken
60 lot, except that sheet metal may be in a comparable substitute
61 for the original package; and
62 b. Was purchased by the dealer directly from the
63 manufacturer or distributor or from an outgoing authorized
64 dealer as a part of the dealer’s initial inventory.
65 3. The fair market value of each undamaged sign owned by
66 the dealer which bears a trademark or trade name used or claimed
67 by the applicant or licensee or its representative which was
68 purchased from or at the request of the applicant or licensee or
69 its representative.
70 4. The fair market value of all special tools, data
71 processing equipment, and automotive service equipment owned by
72 the dealer which:
73 a. Were recommended in writing by the applicant or licensee
74 or its representative and designated as special tools and
75 equipment;
76 b. Were purchased from or at the request of the applicant
77 or licensee or its representative; and
78 c. Are in usable and good condition except for reasonable
79 wear and tear.
80 5. The cost of transporting, handling, packing, storing,
81 and loading any property subject to repurchase under this
82 section.
83 (44)(a) The applicant or licensee has directly or
84 indirectly distributed 1,000 or more motor vehicles of a
85 particular line-make to motor vehicle dealers in this state
86 during any 12-month period and has directly or indirectly
87 distributed more than 33.33 percent of those same line-make
88 motor vehicles during that 12-month period to one motor vehicle
89 dealer or to multiple motor vehicle dealers that share common
90 ownership or control. For purposes of this subsection, a motor
91 vehicle dealer shares common ownership or control with another
92 motor vehicle dealer if:
93 1. It is directly or indirectly controlled by or has more
94 than 30 percent of its equity interest directly or indirectly
95 owned by another motor vehicle dealer; or
96 2. It has more than 30 percent of its equity interest
97 directly or indirectly controlled or owned by one or more
98 persons who also directly or indirectly control or own more than
99 30 percent of the equity interests of another motor vehicle
100 dealer.
101 (b) This subsection does not apply to any line-make of
102 motor vehicle for which there exists a licensed franchised
103 dealer in this state as of January 1, 2026, or to an applicant
104 or licensee who is not prohibited by s. 320.645 from owning or
105 operating a motor vehicle dealership.
106
107 A motor vehicle dealer who can demonstrate that a violation of,
108 or failure to comply with, any of the preceding provisions by an
109 applicant or licensee will or may adversely and pecuniarily
110 affect the complaining dealer, shall be entitled to pursue all
111 of the remedies, procedures, and rights of recovery available
112 under ss. 320.695 and 320.697.
113 Section 2. Subsections (1) and (2) of section 320.643,
114 Florida Statutes, are amended to read:
115 320.643 Transfer, assignment, or sale of franchise
116 agreements.—
117 (1)(a) Notwithstanding the terms of any franchise
118 agreement, a licensee may shall not, by contract or otherwise,
119 fail or refuse to give effect to, prevent, prohibit, or penalize
120 or attempt to refuse to give effect to, prohibit, or penalize
121 any motor vehicle dealer from selling, assigning, transferring,
122 alienating, or otherwise disposing of its franchise agreement to
123 any other person or persons, including a corporation established
124 or existing for the purpose of owning or holding a franchise
125 agreement, unless the licensee proves at a hearing pursuant to a
126 complaint filed by a motor vehicle dealer under this section
127 that the sale, transfer, alienation, or other disposition:
128 1. Is to a person who is not, or whose controlling
129 executive management is not, of good moral character;
130 2. Is to a person who or does not meet the written,
131 reasonable, and uniformly applied standards or qualifications of
132 the licensee relating to financial qualifications of the
133 transferee and business experience of the transferee or the
134 transferee’s executive management; or
135 3. Would directly cause the licensee to be in violation of
136 s. 320.64(44).
137 (b) A motor vehicle dealer who desires to sell, assign,
138 transfer, alienate, or otherwise dispose of a franchise shall
139 notify, or cause the proposed transferee to notify, the
140 licensee, in writing, setting forth the prospective transferee’s
141 name, address, financial qualifications, and business experience
142 during the previous 5 years. A licensee who receives such notice
143 may, within 60 days following such receipt, notify the motor
144 vehicle dealer, in writing, that the proposed transferee is not
145 a person qualified to be a transferee under this section and
146 setting forth the material reasons for such rejection. Failure
147 of the licensee to notify the motor vehicle dealer within the
148 60-day period of such rejection shall be deemed an approval of
149 the transfer. No such transfer, assignment, or sale shall be
150 valid unless the transferee agrees in writing to comply with all
151 requirements of the franchise then in effect, but with the
152 ownership changed to the transferee.
153 (c)(b) A motor vehicle dealer whose proposed sale is
154 rejected may, within 60 days following such receipt of such
155 rejection, file with the department a complaint for a
156 determination that the proposed transferee has been rejected in
157 violation of this section. The licensee has the burden of proof
158 with respect to all issues raised by the complaint. The
159 department shall determine, and enter an order providing, that
160 the proposed transferee is either qualified or is not and cannot
161 be qualified for specified reasons, or the order may provide the
162 conditions under which a proposed transferee would be qualified.
163 If the licensee fails to file such a response to the motor
164 vehicle dealer’s complaint within 30 days after receipt of the
165 complaint, unless the parties agree in writing to an extension,
166 or if the department, after a hearing, renders a decision other
167 than one disqualifying the proposed transferee, the franchise
168 agreement between the motor vehicle dealer and the licensee is
169 deemed amended to incorporate such transfer or amended in
170 accordance with the determination and order rendered, effective
171 upon compliance by the proposed transferee with any conditions
172 set forth in the determination or order.
173 (2)(a) Notwithstanding the terms of any franchise
174 agreement, a licensee may shall not, by contract or otherwise,
175 fail or refuse to give effect to, prevent, prohibit, or
176 penalize, or attempt to refuse to give effect to, prevent,
177 prohibit, or penalize, any motor vehicle dealer or any
178 proprietor, partner, stockholder, owner, or other person who
179 holds or otherwise owns an interest therein from selling,
180 assigning, transferring, alienating, or otherwise disposing of,
181 in whole or in part, the equity interest of any of them in such
182 motor vehicle dealer to any other person or persons, including a
183 corporation established or existing for the purpose of owning or
184 holding the stock or ownership interests of other entities,
185 unless the licensee proves at a hearing pursuant to a complaint
186 filed by a motor vehicle dealer under this section that the
187 sale, transfer, alienation, or other disposition:
188 1. Is to a person who is not, or whose controlling
189 executive management is not, of good moral character; or
190 2. Would directly cause the licensee to be in violation of
191 s. 320.64(44).
192 (b) A motor vehicle dealer, or any proprietor, partner,
193 stockholder, owner, or other person who holds or otherwise owns
194 an interest in the motor vehicle dealer, who desires to sell,
195 assign, transfer, alienate, or otherwise dispose of any interest
196 in such motor vehicle dealer shall notify, or cause the proposed
197 transferee to so notify, the licensee, in writing, of the
198 identity and address of the proposed transferee. A licensee who
199 receives such notice may, within 60 days following such receipt,
200 notify the motor vehicle dealer in writing that the proposed
201 transferee is not a person qualified to be a transferee under
202 this section and setting forth the material reasons for such
203 rejection. Failure of the licensee to notify the motor vehicle
204 dealer within the 60-day period of such rejection shall be
205 deemed an approval of the transfer. Any person whose proposed
206 sale of stock is rejected may file within 60 days of receipt of
207 such rejection a complaint with the department alleging that the
208 rejection was in violation of the law or the franchise
209 agreement. The licensee has the burden of proof with respect to
210 all issues raised by such complaint. The department shall
211 determine, and enter an order providing, that the proposed
212 transferee either is qualified or is not and cannot be qualified
213 for specified reasons; or the order may provide the conditions
214 under which a proposed transferee would be qualified. If the
215 licensee fails to file a response to the motor vehicle dealer’s
216 complaint within 30 days of receipt of the complaint, unless the
217 parties agree in writing to an extension, or if the department,
218 after a hearing, renders a decision on the complaint other than
219 one disqualifying the proposed transferee, the transfer shall be
220 deemed approved in accordance with the determination and order
221 rendered, effective upon compliance by the proposed transferee
222 with any conditions set forth in the determination or order.
223 (c)(b) Notwithstanding paragraph (a), a licensee may not
224 reject a proposed transfer of a legal, equitable, or beneficial
225 interest in a motor vehicle dealer to a trust or other entity,
226 or to any beneficiary thereof, which is established by an owner
227 of any interest in a motor vehicle dealer for purposes of estate
228 planning, if the controlling person of the trust or entity, or
229 the beneficiary, is of good moral character.
230 Section 3. This act shall take effect July 1, 2026.
231
232 ================= T I T L E A M E N D M E N T ================
233 And the title is amended as follows:
234 Delete everything before the enacting clause
235 and insert:
236 A bill to be entitled
237 An act relating to motor vehicle manufacturers,
238 importers, and distributors and franchised motor
239 vehicle dealers; amending s. 320.64, F.S.; authorizing
240 licensees to reject the succession to interest in a
241 franchise agreement of a motor vehicle dealer under
242 certain circumstances; clarifying the motor vehicles
243 for which a licensee must pay certain costs to a motor
244 vehicle dealer under certain circumstances;
245 prohibiting a licensee from distributing more than a
246 specified percentage of a specified number of motor
247 vehicles of a particular line-make during a certain
248 period to one motor vehicle dealer or dealers that
249 share common ownership or control; providing
250 applicability; amending s. 320.643, F.S.; authorizing
251 a licensee to reject a sale, transfer, alienation, or
252 other disposition of a franchise agreement or an
253 equity interest in a motor vehicle dealer under
254 certain circumstances; providing an effective date.