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2010 Senate Bill 1309: Strengthen “protectionist” auto dealer contract regulations

Public Act 139 of 2010

Introduced by Sen. Samuel B. Thomas, III (D) on April 29, 2010
To impose additional restrictions on auto manufacturers seeking to downsize their dealer networks, including a 50 percent increase in the size of protected dealer "territories. Other provisions in this and Senate Bill 1308 would prohibit manufacturers from having dealer contracts that have a disparate impact on low-volume dealers. In general, the bills would strengthen provisions in this state's dealer protectionism laws, which essentially create a de facto “entitlement” for existing new car dealers to retain their status, regardless of market changes or impacts on consumer choice. They would also make litigation cost awards to a dealer who wins a complaint under this law optional rather than required.   Official Text and Analysis.
Referred to the Senate Economic Development and Regulatory Reform Committee on April 29, 2010
Reported in the Senate on June 29, 2010
With the recommendation that the substitute (S-1) be adopted and that the bill then pass.
Substitute offered in the Senate on June 29, 2010
To replace the previous version of the bill with one that revises various details, but does not change its substance. This version was subsequently superseded by another substitute with more changes.
The substitute passed by voice vote in the Senate on June 29, 2010
Substitute offered by Sen. Samuel B. Thomas, III (D) on July 1, 2010
To replace the previous version of the bill with one that revises details but does not change the substance as previously described.
The substitute passed by voice vote in the Senate on July 1, 2010
Received in the House on July 1, 2010
Referred to the House Regulatory Reform Committee on July 1, 2010
Substitute offered by Rep. Roy Schmidt (D) on July 21, 2010
To replace the previous version of the bill with one that divides its provision among this and Senate Bill 1308, and House Bills 6099 and 6100, the House versions of the same bills. The substitute revises various details of the original but does not change its substance as previously described.
The substitute passed by voice vote in the House on July 21, 2010
Passed 104 to 2 in the House on July 21, 2010.
    See Who Voted "Yes" and Who Voted "No".
To impose additional restrictions on auto manufacturers seeking to downsize their dealer networks, including a 50 percent increase in the size of protected dealer "territories." Other provisions would prohibit manufacturers from having dealer contracts that have a disparate impact on low-volume dealers. The package that includes Senate Bill 1308 and House Bills 6099 and 6100 would generally strengthen provisions in this state's dealer protectionism laws, which essentially create a de facto “entitlement” for existing new car dealers to retain their status, regardless of market changes. They would also make litigation cost awards to a dealer who wins a complaint under this law optional rather than required.
Received in the Senate on July 21, 2010
To concur with the House-passed version of the bill.
Signed by Gov. Jennifer Granholm on August 3, 2010

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