Bill: SB 2279, 85(R) - 2017
Committee
Senate Business & Commerce
Vote Recommendation
| Vote Recommendation |
Economic Freedom |
Property Rights |
Personal Responsibility |
Limited Government |
Individual Liberty |
| Yes |
Positive |
Neutral |
Neutral |
Positive |
Neutral |
Author(s)
Kelly Hancock
Bill Caption
Relating to the ownership, control, or operation of a franchised or nonfranchised dealer or dealership by certain manufacturers.
Fiscal Notes
From the Legislative Budget Board: no significant fiscal implication to the state is anticipated.
Bill Analysis
Under current law, a manufacturer or distributor may not directly or indirectly own an interest in a franchised or non-franchised dealer or dealership, operate or control a franchised or non-franchised dealer or dealership, or act in the capacity of a franchised or non-franchised dealer.
SB 2279 would clarify that the prohibition only applies so that a manufacturer or distributor may not directly or indirectly own an interest in a franchised or non-franchised dealer or dealership that sells or services the same type of motor vehicle that it manufactures or distributes; operate or control a dealer or dealership franchised to sell or service the same type of motor vehicle that it manufactures or distributes or a non-franchised dealer or dealership; or act in the capacity of a dealer or dealership franchised to sell or service the same type of motor vehicle that it manufactures or distributes or a non-franchised dealer.
Vote Recommendation Notes
This bill enhances our free market and limited government principles by decreasing regulation on laws dealing with interests in dealers and dealerships by motor vehicle manufacturers and distributors, making it easier to earn a living. This bill could go much farther though in repealing all prohibitions against manufacturers being involved in the direct sale of their product or any other product to consumers. We support SB 2279.
