§ 47-25-1901. Short Title
This part shall be known and may be cited as the “Motorcycle and Off-Road Vehicle Dealer Fairness Act.”
§ 47-25-1902. Part Definitions
As used in this part, unless the context otherwise requires: “All-terrain vehicle” means a motorized vehicle with no less than four (4) non-highway tires, but no more than six (6) non-highway tires, that is limited in total dry weight to less than two thousand five hundred pounds (2,500 lbs.), and is eighty inches (80″) or […]
§ 47-25-1903. Retail Agreement Modifications for Good Cause
No supplier, directly or through an officer, agent or employee, may terminate, cancel, fail to renew or substantially change the competitive circumstances of a retail agreement without good cause. “Good cause” means failure by a dealer to comply with requirements imposed upon the dealer by the retail agreement if the requirements are not different from […]
§ 47-25-1904. Retailer’s Right to Have Inventory Repurchased
Whenever any dealer enters into a retail agreement with a supplier, evidenced by a written or oral contract, in which the dealer agrees to maintain an inventory of motorcycles, off-road vehicles, and attachments, inventory of parts and to provide service thereon, and the contract is terminated, then the supplier shall repurchase the inventory as provided […]
§ 47-25-1905. Prohibited Supplier Actions
No supplier shall: Coerce any dealer to accept delivery of inventory, parts or accessories that the dealer has not ordered voluntarily, except as required by any applicable law, or unless parts or accessories are safety parts or accessories required by the supplier; Condition the sale of additional inventory to a dealer upon a requirement that […]
§ 47-25-1906. Termination and Repurchase — Price and Associated Costs
A dealer who enters into a written retail agreement with a supplier to maintain a stock of motorcycles, off-road vehicles, or related parts and attachments has the following rights to payment upon repurchase, at the option of the dealer, if the retail agreement is terminated: The supplier shall repurchase, at one hundred percent (100%) of […]
§ 47-25-1907. Title to Repurchased Inventory — Account Adjustments
Upon payment of the repurchase amount to the dealer, the title and right of possession to the repurchased inventory shall transfer to the supplier. Annually, at the end of each calendar year, after termination or cancellation, the dealer’s reserve account for recourse, retail sale or lease contracts shall not be debited by a supplier or […]
§ 47-25-1908. Exceptions to Repurchase Requirement
This part does not require repurchase from a dealer of: Any repair part that, because of its condition, is not resalable as a new part; Any inventory for which the dealer is unable to furnish evidence of title and ownership in the dealer that is free and clear of all claims, liens and encumbrances to […]
§ 47-25-1909. Civil Liability for Failure to Repurchase — Remedies
If any supplier fails or refuses to repurchase and pay the dealer for any inventory covered under this part within sixty (60) days after shipment of the inventory, the supplier shall be civilly liable for one hundred percent (100%) of the current net price of the inventory, plus any freight charges paid by the dealer, […]
§ 47-25-1910. Death of Retailer or Major Stockholder — Repurchase Option of Heirs — Succession
In the event of the death of the dealer or the majority stockholder of a corporation operating as a dealer, the supplier shall, at the option of the heir or heirs, repurchase the inventory from the heir or heirs of the dealer or majority stockholder as if the supplier had terminated the contract. The heir […]
§ 47-25-1911. Security Interests Not Affected — Exemption From Bulk Sales Law — Inspection
This part shall not be construed to affect in any way any security interest that the supplier may have in the inventory of the dealer, and any repurchase under this part shall not be subject to the bulk sales law. The dealer and supplier shall furnish representatives to inspect all parts and certify their acceptability […]
§ 47-25-1912. Applicability
This part shall apply to all contracts and shall apply to all retail agreements in effect that have no expiration date and are a continuing contract, and shall apply to all other contracts entered into, amended, extended, ratified or renewed after January 1, 2007. This part shall apply to and be binding upon all suppliers, […]
§ 47-25-1913. Waiver — Severability
This part shall not be waivable in any contract, and any such attempted waiver shall be null and void. Any contractual term restricting the procedural or substantive rights of a dealer under this part, including a choice of law or choice of forum clause, is void. If any provision of this part or the application […]
§ 47-25-1914. Applicability of Franchise Provisions
Franchise agreements are included in the definition of retail agreements in this part. Although all franchise agreements are considered retail agreements, not every retail agreement constitutes a franchise. Where a relationship qualifies as a franchise under part 15 of this chapter, part 15 shall apply to such franchises. Part 15 of this chapter shall not […]