Text: HF00338                           Text: HF00340
Text: HF00300 - HF00399                 Text: HF Index
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House File 339

Partial Bill History

Bill Text

PAG LIN
  1  1                                            HOUSE FILE 339
  1  2  
  1  3                             AN ACT
  1  4 RELATING TO SNOWMOBILE FRANCHISES BY REQUIRING THE REPURCHASE
  1  5    OF CERTAIN INVENTORY UPON TERMINATION OF A FRANCHISE AND 
  1  6    PROVIDING EFFECTIVE AND RETROACTIVE APPLICABILITY DATES.  
  1  7 
  1  8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  1  9 
  1 10    Section 1.  Section 322D.1, subsection 2, Code 2003, is
  1 11 amended to read as follows:
  1 12    2.  "Attachment" means a machine or part of a machine
  1 13 designed to be used on and in conjunction with a farm
  1 14 implement, motorcycle, or all-terrain vehicle, or snowmobile.
  1 15    Sec. 2.  Section 322D.1, subsection 4, paragraphs b and e,
  1 16 Code 2003, are amended to read as follows:
  1 17    b.  The franchisee is granted the right to offer and sell
  1 18 farm implements, motorcycles, all-terrain vehicles,
  1 19 snowmobiles, or related parts or attachments manufactured or
  1 20 distributed by the franchiser.
  1 21    e.  The operation of the franchisee's business is
  1 22 substantially reliant on the franchiser for the continued
  1 23 supply of farm implements, motorcycles, all-terrain vehicles,
  1 24 snowmobiles, or related parts or attachments.
  1 25    Sec. 3.  Section 322D.1, subsections 5 and 6, Code 2003,
  1 26 are amended to read as follows:
  1 27    5.  "Franchisee" means a person who receives farm
  1 28 implements, motorcycles, all-terrain vehicles, snowmobiles, or
  1 29 related parts or attachments from the franchiser under a
  1 30 franchise and who offers and sells the farm implements,
  1 31 motorcycles, all-terrain vehicles, snowmobiles, or related
  1 32 parts or attachments to the general public.
  1 33    6.  "Franchiser" means a person who manufactures,
  1 34 wholesales, or distributes farm implements, motorcycles, all-
  1 35 terrain vehicles, snowmobiles, or related parts or
  2  1 attachments, and who enters into a franchise.
  2  2    Sec. 4.  Section 322D.1, Code 2003, is amended by adding
  2  3 the following new subsection:
  2  4    NEW SUBSECTION.  11.  "Snowmobile" means the same as
  2  5 defined in section 321G.1.
  2  6    Sec. 5.  Section 322D.2, Code 2003, is amended to read as
  2  7 follows:
  2  8    322D.2  FRANCHISEE'S RIGHTS TO PAYMENT.
  2  9    1.  A franchisee who enters into a written franchise with a
  2 10 franchiser to maintain a stock of farm implements,
  2 11 motorcycles, all-terrain vehicles, snowmobiles, or related
  2 12 parts or attachments has the following rights to payment, at
  2 13 the option of the franchisee, if the franchise is terminated:
  2 14    a.  One hundred percent of the net cost of new, unused,
  2 15 complete farm implements, motorcycles, all-terrain vehicles,
  2 16 snowmobiles, or related attachments, which were purchased from
  2 17 the franchiser.  In addition, the franchisee shall have a
  2 18 right of payment for transportation charges on the farm
  2 19 implements, motorcycles, or all-terrain vehicles, or
  2 20 snowmobiles, which have been paid by the franchisee.
  2 21    b.  Eighty-five percent of the net prices of any repair
  2 22 parts, including superseded parts, which were purchased from
  2 23 the franchiser and held by the franchisee on the date that the
  2 24 franchise terminated.
  2 25    c.  Five percent of the net prices of parts resold under
  2 26 paragraph "b" for handling, packing, and loading of the parts.
  2 27 However, this payment shall not be due to the franchisee if
  2 28 the franchiser elects to perform the handling, packing, and
  2 29 loading.
  2 30    2.  Upon receipt of the payments due under subsection 1,
  2 31 the franchiser is entitled to possession of and title to the
  2 32 farm implements, motorcycles, all-terrain vehicles,
  2 33 snowmobiles, or related parts or attachments.
  2 34    3.  The cost of farm implements, motorcycles, all-terrain
  2 35 vehicles, snowmobiles, or related attachments and the price of
  3  1 repair parts shall be determined by reference to the
  3  2 franchiser's price list or catalog in effect at the time of
  3  3 the franchise termination.
  3  4    Sec. 6.  Section 322D.3, subsections 7 and 9, Code 2003,
  3  5 are amended to read as follows:
  3  6    7.  A farm implement, motorcycle, or all-terrain vehicle,
  3  7 or snowmobile which is not in new, unused, undamaged, or
  3  8 complete condition.
  3  9    9.  A farm implement, motorcycle, or all-terrain vehicle,
  3 10 or snowmobile which was purchased twenty-four months or more
  3 11 prior to the termination of the franchise.
  3 12    Sec. 7.  NEW SECTION.  322D.10  APPLICATION – SNOWMOBILE
  3 13 FRANCHISE AGREEMENTS.
  3 14    The rights under section 322D.2, subsection 1, apply to
  3 15 snowmobile franchises in effect on January 1, 2003, which have
  3 16 no expiration date and are continuing franchises, and to
  3 17 franchises executed or renewed on or after January 1, 2003,
  3 18 but only to snowmobiles and related parts or attachments
  3 19 purchased on or after January 1, 2003.
  3 20    Sec. 8.  EFFECTIVE AND RETROACTIVE DATES.  This Act, being
  3 21 deemed of immediate importance, takes effect upon enactment
  3 22 and is retroactive to January 1, 2003.  
  3 23 
  3 24 
  3 25                                                             
  3 26                               CHRISTOPHER C. RANTS
  3 27                               Speaker of the House
  3 28 
  3 29 
  3 30                                                             
  3 31                               MARY E. KRAMER
  3 32                               President of the Senate
  3 33 
  3 34    I hereby certify that this bill originated in the House and
  3 35 is known as House File 339, Eightieth General Assembly.
  4  1 
  4  2 
  4  3                                                             
  4  4                               MARGARET THOMSON
  4  5                               Chief Clerk of the House
  4  6 Approved                , 2003
  4  7 
  4  8 
  4  9                            
  4 10 THOMAS J. VILSACK
  4 11 Governor
     

Text: HF00338                           Text: HF00340
Text: HF00300 - HF00399                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

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