Current through the 2024 Regular Session
Section 46.96.196 - Practices by brand owner(1) Notwithstanding the terms of a franchise agreement, a brand owner shall not directly or indirectly: (a) Require a new motor vehicle dealer to offer a secondary product;(b) Require a new motor vehicle dealer to provide a customer with a disclosure not otherwise required by law; or(c) Prohibit a new motor vehicle dealer from offering a secondary product including, but not limited to: (ii) Maintenance agreements;(iii) Extended warranties;(iv) Protection product guarantees;(v) Guaranteed asset protection waivers;(viii) Vehicle accessories;(2) It is not a violation of this section for a brand owner to offer an incentive program to new motor vehicle dealers to encourage them to sell or offer to sell a secondary product approved, endorsed, sponsored, or offered by the brand owner, provided the program does not provide vehicle sales or service incentives.(3) It is not a violation of this section for a brand owner to prohibit a new motor vehicle dealer from using secondary products for any repair work paid for by the brand owner under the terms of a warranty, recall, service contract, extended warranty, maintenance plan, or certified preowned vehicle program established or offered by the brand owner.(4) For the purposes of this section: (a) "Brand owner" means a manufacturer, distributor, factory branch, factory representative, agent, officer, parent company, wholly or partially owned subsidiary, affiliate entity, or other person under common control with a factory, importer, or distributor.(b) "Common control" has the same meaning as in RCW 48.31B.005.(c) "Customer" means the retail purchaser of a vehicle or secondary product from a new motor vehicle dealer.(d) "Original equipment manufacturer parts" means parts manufactured by or for a vehicle's original manufacturer or its designee.(e) "Secondary product" means all products that are not new motor vehicles or original equipment manufacturer parts.Added by 2020 c 174,§ 1, eff. 6/11/2020.