§ 23-112-1001. Title
This subchapter shall be known and may be cited as the “Recreational Vehicle Franchise Act”.
§ 23-112-1002. Legislative findings
The General Assembly finds that: (1) The distribution and sale of recreational vehicles vitally affects the general economy, the public interest, and the public welfare; and (2) It is necessary, in the exercise of the General Assembly’s police power, to regulate and to license recreational vehicle manufacturers, factory branches and divisions, distributors, distributor branches and […]
§ 23-112-1003. Definitions
As used in this subchapter: (1) “Area of sales responsibility” means the geographical area agreed to by the dealer and the manufacturer or distributor in a dealer agreement where the dealer has the exclusive right to display or sell the manufacturer or distributor’s new recreational vehicles of a particular line-make to the retail public; (2) […]
§ 23-112-1004. License requirements and application fees
(a) The following acts are unlawful: (1) The violation of any of the provisions of this subchapter; (2) Engaging in the business as, serving in the capacity of, or acting as a new recreational vehicle dealer, recreational vehicle salesperson, recreational vehicle manufacturer, recreational vehicle distributor, recreational vehicle factory representative, or recreational vehicle manufacturer representative in […]
§ 23-112-1005. Application for license
(a) An application for a license required under this subchapter shall: (1) Be verified by the oath or affirmation of the applicant; (2) Be on a form prescribed by the Arkansas Motor Vehicle Commission and furnished to the applicant; and (3) Contain such information as the commission deems necessary to enable it to fully determine […]
§ 23-112-1006. Issuance of license — Change of location — Change of business or corporate name, structure, or DBA name — Dealers, manufacturers, and distributors
(a) The license issued to each recreational vehicle dealer, manufacturer, or distributor shall specify the location of the factory, office, branch, or division of the recreational vehicle dealer, manufacturer, or distributor. (b) In case the location is changed, the Arkansas Motor Vehicle Commission shall endorse the change of location on the license without charge if […]
§ 23-112-1007. Display of license — Change of employer — Factory representative and distributor representative
(a) A recreational vehicle factory representative shall have his or her license upon his or her person when engaged in his or her business and shall display the license upon request. (b) (1) The name of the employer of the factory representative shall be stated on the license. (2) In case of a change of […]
§ 23-112-1008. Display of license — Change of employer — Salesperson
(a) (1) Except as provided in this section, a recreational vehicle salesperson shall have his or her license upon his or her person or displayed at his or her place of employment when engaged in his or her business and shall display the license upon request. (2) The name and address of the applicant shall […]
§ 23-112-1009. Expiration of license
Unless the Arkansas Motor Vehicle Commission by rule provides to the contrary, all licenses issued to: (1) Recreational vehicle manufacturers, distributors, and their representatives expire June 30 following the date of issue; and (2) Recreational vehicle dealers and salespersons expire December 31 following the date of issue.
§ 23-112-1010. Area of sales responsibility
(a) The following conditions shall apply to the area of sales responsibility of a dealer included in a dealer agreement: (1) The manufacturer shall designate in the dealer agreement the area of sales responsibility exclusively assigned to the dealer; (2) The manufacturer shall not change the area of sales responsibility of a dealer or establish […]
§ 23-112-1011. Renewal of dealer agreement
In a renewal of a dealer agreement, the manufacturer shall not impose on the dealer stocking requirements or retail sales targets that are inconsistent with market growth or contraction in the area of sales responsibility of the dealer.
§ 23-112-1012. Termination, cancellation, or nonrenewal of dealer agreement
(a) (1) A manufacturer or distributor, directly or through any authorized officer, agent, or employee, may terminate, cancel, or fail to renew a dealer agreement with or without good cause. (2) If the manufacturer or distributor terminates, cancels, or fails to renew the dealer agreement without good cause, the manufacturer or distributor shall comply with […]
§ 23-112-1013. Repurchase of inventory
If the dealer agreement is terminated, canceled, or not renewed by the manufacturer or distributor without good cause under § 23-112-1011 or by the dealer for good cause as defined in § 23-112-1011 and the manufacturer fails to cure the claimed deficiencies under § 23-112-1011, the manufacturer, at the election of the dealer and within […]
§ 23-112-1014. Sale of remaining inventory after termination
(a) A dealer is not prohibited from selling the remaining in-stock inventory of a particular line-make after a dealer agreement has been terminated or not renewed under § 23-112-1012. (b) If recreational vehicles of a line-make are not returned or required to be returned to the manufacturer or distributor, the dealer may continue to sell […]
§ 23-112-1015. Change of ownership of dealer — Family succession
(a) The following conditions apply to a proposed sale of the business assets, transfer of the stock, or other transaction that will result in a change of ownership of a dealer, except a transaction described in subsection (b) of this section: (1) The dealer shall: (A) Provide written notice to the manufacturer within sixty (60) […]
§ 23-112-1016. Warranty obligation
(a) Each warrantor shall: (1) Specify in writing to each of its dealers the obligations for preparation, delivery, and warranty service on its products; (2) Compensate the dealer for warranty service required of the dealer by the warrantor; (3) (A) Provide the dealer: (i) The schedule of compensation to be paid; and (ii) The time […]
§ 23-112-1017. Damage to recreational vehicles before arrival at dealership
(a) All the following apply if a new recreational vehicle is damaged before transit to the dealer or is damaged in transit to the dealer when the carrier or means of transportation has been selected by the manufacturer or distributor: (1) The dealer shall notify the manufacturer or distributor of the damage within the time […]
§ 23-112-1018. Prohibited activity of manufacturer or distributor — Coercion
(a) A manufacturer or distributor shall not coerce or attempt to coerce a dealer to: (1) Purchase a product that the dealer did not order; (2) Enter into an agreement with the manufacturer or distributor; or (3) Enter into an agreement that requires the dealer to submit its disputes to binding arbitration or otherwise waive […]
§ 23-112-1019. License — Denial, revocation, and suspension
(a) For any of the following reasons, the Arkansas Motor Vehicle Commission may deny an application for a license required by this subchapter or revoke or suspend a license after it has been granted: (1) (A) Selling or soliciting sales of a recreational vehicle without a license issued by the commission. (B) The unlawful sale […]
§ 23-112-1020. Monetary penalty in lieu of suspension or revocation of license — Civil penalty
(a) For a monetary penalty in lieu of suspension or revocation of a license, the following apply: (1) (A) If after alternative proceedings or notice and hearing the Arkansas Motor Vehicle Commission finds that a person holding a license under this subchapter is guilty of a violation of this subchapter or rules promulgated under this […]