Section 201 – Agreement requirement — Terms of agreements.

• (1) A person may not act as a motorboat dealer in this state without entering into an agreement.

• (2) An agreement shall include:
  • (a) each working capital standard, inventory standard, facility standard, equipment standard, and tool standard, if any, including each agreed upon minimum product stocking requirement;
  • (b) provisions for termination or nonrenewal of the agreement;
  • (c) the designation of a successor motorboat dealer in the event of the motorboat dealer’s death or disability;
  • (d) the obligations of the manufacturer, distributor, and motorboat dealer in the preparation and delivery of, and warranty service on, new motorboats and new motorboat motors;
  • (e) the obligations of the manufacturer, distributor, and new motorboat dealer upon termination of the agreement, including obligations in relation to:
    • (i) inventory of new motorboats;
    • (ii) inventory of new motorboat motors;
    • (iii) inventory of parts;
    • (iv) equipment;
    • (v) furnishings;
    • (vi) special tools; and
    • (vii) required signs;
  • (f) each standard for maintenance of:
    • (i) a dedicated or self-funded line of credit, if any; and
    • (ii) a trade-in line of credit or self-funded trade-in line of credit, if any; and
  • (g) dispute resolution procedures.

Enacted by Chapter 185, 2021 General Session