28-4363

28-4363. Franchises; filing agreement;
violation; classification

A. At the time a franchisee applies for a license, the franchisee shall file with
the director a certified copy of the franchisee's written agreement with the manufacturer
and a certificate of appointment as dealer or distributor.

B. The certificate of appointment shall be signed as follows:

1. By an authorized agent of the manufacturer of domestic vehicles on direct
manufacturer-dealer agreements.

2. If the manufacturer is wholesaling through an appointed distributorship, by an
authorized agent of the distributor on indirect distributor-dealer agreements.

3. By an authorized agent of the importer on direct importer-dealer agreements of
foreign made vehicles.

4. By an authorized agent of the distributor on indirect distributor-dealer
agreements.

5. For a distributor's certificate of appointment, by an authorized agent of the
manufacturer of domestically manufactured vehicles or by an authorized agent of the
manufacturer or importer of foreign made vehicles.

C. A franchisee is not required to file a written agreement or certificate of
appointment if the manufacturer on direct dealerships, the distributor on indirect
dealerships or the importer on direct dealerships meets all of the following conditions:

1. Utilizes the identical basic agreement for all of its franchised dealers or
distributors in this state.

2. Certifies in the certificate of appointment that this blanket agreement is on
file and the written agreement with the dealer or distributor, respectively, is identical
with the filed blanket agreement.

3. Has filed with the director one such agreement together with a list of
franchised dealers or distributors.

D. The manufacturer, distributor or importer shall notify the director at least
forty-five days before any proposed revisions of or additions to the basic agreement on
file or of any franchisee supplements to the agreement.

E. A manufacturer, other than a manufacturer of a recreational vehicle as defined
in section 41-2142, shall not modify a franchise during the term of the franchise or on
the renewal of a franchise if the modification substantially and adversely affects the
new motor vehicle dealer's rights, obligations, investment or return on the investment
without giving at least forty-five days' notice of the proposed modification to the new
motor vehicle dealer unless the change is required by law. Within the forty-five day
period, the new motor vehicle dealer may file with the director and serve notice on the
manufacturer of an objection requesting a determination pursuant to article 5 of this
chapter of whether there is good cause for permitting the proposed modification.

F. Annual renewal of certificates filed as provided in this section is not
required.

G. A manufacturer on direct dealerships, a distributor on indirect dealerships or
an importer on direct dealerships who has filed with the director an agreement used by
all of its franchisees in this state together with a list of all such franchisees and who
knowingly fails to notify the director at least forty-five days before any proposed
revisions, changes or additions to the materials filed is guilty of a class 2
misdemeanor.