Title 10, Chapter 1, Section 622
( 10-1-622)
As used in this article, the term: (1) "Dealer" means any person engaged in the business of selling,
offering to sell, soliciting, or advertising the sale of new motor
vehicles and who is licensed or otherwise authorized to utilize
trademarks or service marks associated with one or more makes of
motor vehicles in connection with such sales. The term "dealer"
shall also include any person who engages exclusively in the
repair of motor vehicles, except motor homes, if such repairs are
performed pursuant to the terms of a franchise or other agreement
with a franchisor or such repairs are performed as part of a
manufacturer's or franchisor's warranty. The term "dealer" shall
not mean any person engaged solely in the business of selling used
motor vehicles. (2) "Dealership" means: (A) The dealer, if the dealer is a corporation, partnership, or
other business organization; or (B) All business assets used in connection with the dealer's
business pursuant to the franchise including, but not limited
to, the dealership facilities, the franchise, inventory,
accounts receivable, and good will if the dealer is an
individual. (3) "Dealership facilities" means the location at which a dealer,
pursuant to a franchise, maintains a permanent showroom for new
motor vehicles. (4) "Designated successor" means any person or child who, in the
case of the owner's death, is entitled to inherit the ownership
interest in the dealership under the owner's will or who, in the
case of an incapacitated owner, has been appointed by a court as
the legal representative of the owner's property or has been
otherwise lawfully nominated or constituted to manage the
dealership on behalf of the owner. A "designated successor" may
also mean a person specifically named in the franchise agreement
or any addendum to the franchise agreement. (5) "Distributor" means any person, resident or nonresident, who
directly or indirectly in the ordinary course of business and on a
recurring basis sells such new motor vehicles to a dealer for
resale if such person is the principal supplier of any make of
motor vehicle for two or more dealers. (6) "Franchise" means the written agreement or contract between
any franchisor and any dealer which purports to fix the legal
rights and liabilities of the parties to such agreement or
contract and pursuant to which the dealer purchases and resells
motor vehicles or leases or rents the dealership facilities. A
franchisor is prohibited from effectuating through any letter,
memo, or other document or electronic communication any action or
terms that this article makes unlawful when included in a
franchise agreement. (7) "Franchisor" means:
(A) Any person, resident or nonresident, who directly or
indirectly licenses or otherwise authorizes one or more dealers
to use a trademark or service mark associated with a make of
motor vehicle in connection with the retail sale of new motor
vehicles bearing such trademark or service mark; (B) Any person who in the ordinary course of business and on a
recurring basis sells such new motor vehicles to a dealer for
resale; and (C) Any person, other than a person who finances the purchase or
lease of motor vehicles, who is controlled by a franchisor or
more than 10 percent owned by a franchisor, as that term is
defined in subparagraphs (A) and (B) of this paragraph. (8) "Good faith" means honesty in fact and the observation of reasonable commercial standards of fair dealing in the trade as defined and interpreted in Code Section 11-1-203. (9) "Manufacturer" means any person who performs the major portion
of the assembly of a new motor vehicle. (10) "Motor vehicle" means every self-propelled vehicle intended
primarily for use and operation on the public highways, except
farm tractors and other machines and tools used in the production,
harvesting, and care of farm products and except construction
equipment. (11) "New motor vehicle" means a motor vehicle which has been sold
to a dealer and on which the original motor vehicle title has not
been issued. (12) "Owner" means any person holding an ownership interest in a
dealership. (13) "Person" means every natural person, partnership,
corporation, association, trust, estate, or any other legal
entity. (13.1) "Relevant market area" means the area located within an
eight-mile radius of an existing dealership. (14) "Warrantor" means any person who gives a warranty in
connection with a new motor vehicle. (15) "Warranty" means a written document signed or authorized by
the party on whose behalf it is given which is made or given
incident to the sale or lease of a new motor vehicle which
contains either statements or promises that said new motor vehicle
meets or will meet certain standards or promises to perform
certain repairs or other services in connection with said new
motor vehicle if necessary. Such term does not include service
contracts, mechanical or other insurance, or "extended warranties"
sold for separate consideration by a dealer or other person not
controlled by a manufacturer or distributor. |