HB 1236 IN

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Became Law

Specifies the amount of compensation by a manufacturer or distributor to a dealer for a part. Provides the requirements for a remedy procedure or parts required to be provided to a dealer by a manufacturer or distributor to repair a used motor vehicle that is subject to a stop sale directive. Provides that a manufacturer or distributor shall compensate a dealer for assistance requested by a customer whose vehicle is subject to an over-the-air or a remote repair, or an update to a part, system, accessory, or function by a manufacturer or distributor that is performed at a dealership. Provides that a manufacturer or distributor may not require a dealer to purchase a product or service from a vendor designated by the manufacturer or distributor if the dealer selects a vendor that provides products or services that are substantially similar to that of the vendor designated by the manufacturer or distributor, meets reasonable program standards or requirements of the manufacturer or distributor, and is subject to the approval of the manufacturer or distributor. Provides that a franchisor is not considered to be competing unfairly if operating a business for less than one year. (Current law says for less than two years.) Provides for conditions a manufacturer or distributor may not place on a dealer, as a condition of granting or continuing a franchise, approving the transfer of ownership or assets of a new motor vehicle dealer, or approving a successor to a new motor vehicle dealer. For provisions concerning unfair practices for a manufacturer, distributor, officer, or agent, makes the effective date effective upon passage. Provides that a manufacturer or distributor may not coerce or require a dealer to make improvements to the dealer's facilities or install signs or other franchisor image elements that would result in replacing or substantially altering improvements or image elements that the dealer made or installed during the immediately preceding 10 years. (Current law provides that a manufacturer or distributor may not require a dealer to make changes in the immediately preceding seven years.) Provides that it is an unfair practice for a manufacturer or distributor to: (1) require a dealer to; or (2) coerce a dealer into; selling or offering for sale certain products not approved, endorsed, sponsored, or offered by the manufacturer, distributor, affiliate, or captive finance source. Provides that it is an unfair practice to consider sale or offer of sale of certain products not approved, endorsed, sponsored, or offered by the manufacturer, distributor, affiliate, or captive finance source when determining eligibility to purchase products from, volume of purchases from, and pricing from the manufacturer or distributor. Provides that it is not an unfair practice for a manufacturer, distributor, affiliate, or captive finance source to: (1) offer discounts, rebates, or other incentives to a dealer who voluntarily sells or offers to sell certain products approved, endorsed, sponsored, or offered by the manufacturer, distributor, affiliate, or captive finance source; or (2) require a dealer to disclose the sale of certain products not approved, endorsed, sponsored, or offered by the manufacturer, distributor, affiliate, or captive finance source.

• Jim Pressel Republican · author
• Aaron Freeman Republican · sponsor
• Chris Garten Republican · sponsor
• David Niezgodski Democratic · sponsor

1. Jan 10, 2023 Coauthored by Representative McNamara · lower
2. Jan 10, 2023 Authored by Representative Pressel · lower
3. Jan 10, 2023 First reading: referred to Committee on Roads and Transportation · lower
4. Feb 21, 2023 Committee report: amend do pass, adopted · lower
5. Feb 21, 2023 Representative Lauer added as coauthor · lower
6. Feb 22, 2023 Representative Harris added as coauthor · lower
7. Feb 23, 2023 Second reading: ordered engrossed · lower
8. Feb 27, 2023 Third reading: passed; Roll Call 240: yeas 90, nays 5 · lower
9. Feb 27, 2023 Senate sponsors: Senators Freeman, Garten, Niezgodski · lower
10. Feb 28, 2023 Referred to the Senate · lower
11. Mar 6, 2023 First reading: referred to Committee on Homeland Security and Transportation · upper
12. Mar 9, 2023 Senator Messmer added as cosponsor · upper
13. Apr 11, 2023 Committee report: amend do pass, adopted · upper
14. Apr 13, 2023 Second reading: ordered engrossed · upper
15. Apr 17, 2023 Third reading: passed; Roll Call 423: yeas 49, nays 0 · upper
16. Apr 18, 2023 Returned to the House with amendments · upper
17. Apr 19, 2023 Motion to concur filed · lower
18. Apr 20, 2023 House concurred in Senate amendments; Roll Call 472: yeas 87, nays 3 · lower
19. Apr 24, 2023 Signed by the Speaker · lower
20. Apr 25, 2023 Signed by the President Pro Tempore · upper
21. Apr 26, 2023 Signed by the President of the Senate · upper
22. May 1, 2023 Signed by the Governor · executive
23. May 1, 2023 Public Law 134 · lower

The published texts of this bill as it moves through the legislature. Each links to the official document on the state legislature site. Data from OpenStates.

• Enrolled House Bill (H) · Apr 20, 2023 · PDF
• Introduced House Bill (H) · Jan 10, 2023 · PDF
• House Bill (H) · Feb 21, 2023 · PDF
• House Bill (S) · Apr 11, 2023 · PDF