H447 - Clarify Motor Vehicle Dealer Laws. (SL 2023-116)

S.L. 2023-116 makes the following changes to North Carolina laws related to motor vehicle dealers and manufacturers:

• Provides additional requirements and prohibitions for manufacturers regarding availability of vehicles and parts to dealers and dealer control over sales and business decisions.
• Prohibits manufacturers from unreasonably interfering with dealer websites and prohibits manufacturers from using their websites to negotiate directly with customers or in a way that provides unequal visibility to its dealers.
• Provides additional requirements for manufacturers with regard to allocation of vehicles to dealers.
• Regulates sales of add-on products by manufacturers to retail customers.
• Clarifies provision regarding retail rates for warranty work reimbursed by manufacturers.
• Extends existing grandfather provisions allowing certain manufacturer incentive programs.
• Requires the Division of Motor Vehicles to determine whether entering settlement agreements or consent orders with dealer and manufacturer licensees for violations of licensing laws would promote interests of justice and administrative efficiency.
• For conditionally delivered vehicles, requires the purchaser to notify the insurer that financing has been approved and clarifies that the purchaser is solely responsible for obtaining insurance on the vehicle.
• Requires publication of notice of a manufacturer's application for a dealer license in the North Carolina Register and that the hearing determining whether the manufacturer qualifies for a license be held no earlier than 30 days from the date of publication.

This act has various effective dates. Please see the full summary for more details.