LD 1294
pg. 3
Page 2 of 11 PUBLIC Law Chapter 356 Page 4 of 11
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LR 1735
Item 1

 
manufacturer, distributor, distributor branch or division,
factory branch or division or wholesale branch or division
and that dealer or by threatening or attempting to modify a
franchise during the term of the franchise or upon its
renewal, if the modification substantially and adversely
affects the motor vehicle dealer's rights, obligations,
investment or return on investment, without giving 60 90
days' written notice by certified mail of the proposed

 
modification to the motor vehicle dealer, unless the
modification is required by law or court board order.
Within the 60-day 90-day notice period, the motor vehicle
dealer may file with the Superior Court in the county where
the dealership is located board and serve notice upon the
manufacturer a protest requesting a determination of whether
there is good cause for permitting the proposed
modification. The manufacturer has the burden of proving
good cause. The court board shall promptly schedule a
hearing and decide the matter within 180 days from the date
the protest is filed. Multiple protests pertaining to the
same proposed modification must be consolidated for hearing.
The proposed modification may not take effect pending the
determination of the matter. In determining whether there
is good cause for permitting a proposed modification, any
relevant factors must be considered, including, but not
limited to:

 
(1) The reasons for the proposed modification;

 
(2) Whether the proposed modification is applied to or
affects all motor vehicle dealers in a
nondiscriminatory manner;

 
(3) Whether the proposed modification will have a
substantial and adverse effect upon the motor vehicle
dealer's investment or return on investment;

 
(4) Whether the proposed modification is in the public
interest;

 
(5) Whether the proposed modification is necessary to
the orderly and profitable distribution; and

 
(6) Whether the proposed modification is offset by
other modifications beneficial to the motor vehicle
dealer.

 
Notice in good faith to a motor vehicle dealer of that
dealer's violation of the terms or provisions of the
franchise or contractual agreement does not constitute a
violation of this chapter;


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