322A.16  Additional guidelines.

In determining whether good cause has been established for entering into an additional franchise for the same line-make, the department of inspections and appeals shall take into consideration the existing circumstances, including, but not limited to:

1.  Amount of business transacted by other franchisees of the same line-make in that community.

2.  Investment necessarily made and obligations incurred by other franchisees of the same line-make, in that community, in the performance of their part of their franchises.

3.  Permanency of the investment.

4.  Effect on the retail motor vehicle business as a whole in that community.

5.  Whether it is injurious to the public welfare for an additional franchise to be established.

6.  Whether the franchisees of the same line-make in that community are providing adequate consumer care for the motor vehicles of the line-make which shall include the adequacy of motor vehicle service facilities, equipment, supply of parts and qualified service personnel.

Section History: Early form

  [C71, 73, 75, 77, 79, 81, § 322A.16; 81 Acts, ch 22, § 22]


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