46.96.194  <<  46.96.196 >>   46.96.200

PDFRCW 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:
(i) Service contracts;
(ii) Maintenance agreements;
(iii) Extended warranties;
(iv) Protection product guarantees;
(v) Guaranteed asset protection waivers;
(vi) Insurance;
(vii) Replacement parts;
(viii) Vehicle accessories;
(ix) Oil; or
(x) Supplies.
(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.
[ 2020 c 174 s 1.]