Text: HF02105 Text: HF02107 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 HOUSE FILE 2106
1 2
1 3 AN ACT
1 4 PROHIBITING MOTOR VEHICLE MANUFACTURERS, DISTRIBUTORS,
1 5 WHOLESALERS, AND IMPORTERS FROM BEING LICENSED AS,
1 6 OWNING AN INTEREST IN, OPERATING, OR CONTROLLING A
1 7 MOTOR VEHICLE DEALER, PROVIDING EXCEPTIONS, AND MAKING
1 8 A PENALTY APPLICABLE.
1 9
1 10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 11
1 12 Section 1. Section 322.3, Code Supplement 1999, is amended
1 13 by adding the following new subsection:
1 14 NEW SUBSECTION. 14. A manufacturer, distributor,
1 15 wholesaler, or importer shall not directly or indirectly be
1 16 licensed as, own an interest in, operate, or control a motor
1 17 vehicle dealer. This subsection shall not prohibit any of the
1 18 following:
1 19 a. A manufacturer or importer from being licensed as a
1 20 motor vehicle dealer or owning an interest in, operating, or
1 21 controlling a motor vehicle dealership for a period not to
1 22 exceed one year to facilitate transfer of the motor vehicle
1 23 dealership to a new owner if both of the following apply:
1 24 (1) The prior owner transferred the motor vehicle
1 25 dealership to the manufacturer or importer.
1 26 (2) The motor vehicle dealership is continuously offered
1 27 for sale by the manufacturer or importer upon reasonable terms
1 28 and conditions.
1 29 b. A manufacturer or importer from temporarily owning an
1 30 interest in a motor vehicle dealership for the purpose of
1 31 enhancing opportunities for persons who lack the financial
1 32 resources to purchase the motor vehicle dealership without
1 33 such assistance. A manufacturer or importer may temporarily
1 34 own an interest in a motor vehicle dealership pursuant to this
1 35 paragraph only if the manufacturer or importer enters into a
2 1 contract with a person pursuant to whom all of the following
2 2 apply:
2 3 (1) The person operates the motor vehicle dealership.
2 4 (2) The person has made a significant financial investment
2 5 in the motor vehicle dealership and is subject to loss on such
2 6 investment.
2 7 (3) The person has an ownership interest in the motor
2 8 vehicle dealership.
2 9 (4) The person will acquire full ownership of the motor
2 10 vehicle dealership within a reasonable time under reasonable
2 11 conditions.
2 12 c. A manufacturer or importer from owning an interest in,
2 13 operating, or controlling a person whose primary business is
2 14 renting motor vehicles and who is licensed as a used motor
2 15 vehicle dealer.
2 16 d. A manufacturer of motor homes, as defined in section
2 17 321.1, or a manufacturer of school buses, as defined in
2 18 section 321.1, from owning an interest in, operating, or
2 19 controlling a motor vehicle dealer of the motor homes or
2 20 school buses manufactured by that manufacturer or from being
2 21 licensed as a motor vehicle dealer only of the motor homes or
2 22 school buses manufactured by that manufacturer.
2 23 e. A manufacturer from owning a minority interest in an
2 24 entity that owns and operates motor vehicle dealers, licensed
2 25 under this chapter or the laws of the jurisdiction in which
2 26 they are located, of the line-make manufactured by the
2 27 manufacturer if all of the motor vehicle dealers owned and
2 28 operated by the entity in this state are motor vehicle dealers
2 29 of only the line-make manufactured by the manufacturer and if,
2 30 on January 1, 2000, there was not less than one and not more
2 31 than three motor vehicle dealers of that line-make licensed
2 32 under this chapter.
2 33
2 34
2 35
3 1 BRENT SIEGRIST
3 2 Speaker of the House
3 3
3 4
3 5
3 6 MARY E. KRAMER
3 7 President of the Senate
3 8
3 9 I hereby certify that this bill originated in the House and
3 10 is known as House File 2106, Seventy-eighth General Assembly.
3 11
3 12
3 13
3 14 ELIZABETH ISAACSON
3 15 Chief Clerk of the House
3 16 Approved , 2000
3 17
3 18
3 19
3 20 THOMAS J. VILSACK
3 21 Governor
Text: HF02105 Text: HF02107 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
© 2000 Cornell College and League of Women Voters of Iowa
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