218.01 (2) (bd) 1g. The manufacturer, distributor or importer shall send a notice of discontinuation or cancellation by certified mail, and forward a copy of the notice to the department of transportation, not less than 20 days before the effective date of discontinuation or cancellation of the agreement, if the dealer or distributor fails to conduct its customary sales and service operations during its customary business hours for 7 consecutive business days unless the failure is caused by an act of God, by work stoppage or delays due to strikes or labor disputes or other reason beyond the dealer's or distributor's control or by an order of the department of transportation or the office of the commissioner of transportation.
27,5848 Section 5848 . 218.01 (2) (bd) 2. of the statutes is amended to read:
218.01 (2) (bd) 2. Any dealer or distributor discontinued or canceled may, on or before the date on which the discontinuation or cancellation becomes effective, file with the department of transportation and division of hearings and appeals and serve upon the respondent a complaint for a determination of unfair discontinuation or cancellation under sub. (3) (a) 17. Allowing opportunity for an answer, the division of hearings and appeals shall thereafter schedule a hearing on and decide the matter. Agreements and certificates of appointment shall continue in effect until final determination of the issues raised in such complaint. If the complainant prevails he or she shall have a cause of action against the defendant for reasonable expenses and attorney fees incurred by him or her in such matter.
27,5849 Section 5849 . 218.01 (2) (bf) of the statutes is amended to read:
218.01 (2) (bf) Within 60 days after the department of transportation issues a declaratory ruling under s. 227.41 that an agreement is inconsistent with par. (bm), a manufacturer, distributor or importer shall remove or revise any provision of the agreement declared to be inconsistent with par. (bm).
27,5850 Section 5850 . 218.01 (2) (bm) 1. a. of the statutes is amended to read:
218.01 (2) (bm) 1. a. Waive a remedy or defense available to a distributor or dealer or other provision protecting the interests of a distributor or dealer under this section or under rules promulgated by the department of transportation under this section.
27,5851 Section 5851 . 218.01 (2) (bm) 2. b. of the statutes is amended to read:
218.01 (2) (bm) 2. b. No finding of an arbitrator is binding upon any person who is not a party to the agreement. A finding of an arbitrator does not bind the department of transportation with respect to enforcement of this section.
27,5852 Section 5852 . 218.01 (2) (cm) 2. of the statutes is amended to read:
218.01 (2) (cm) 2. The department of transportation shall promulgate rules establishing the license period for each type of license described in par. (d) 1. to 6.
27,5853 Section 5853 . 218.01 (2) (cm) 3. of the statutes is amended to read:
218.01 (2) (cm) 3. The department of transportation may promulgate rules establishing expiration dates for the various types of licenses described in par. (d) 1. to 6.
27,5854 Section 5854 . 218.01 (2) (cm) 4. of the statutes is amended to read:
218.01 (2) (cm) 4. The commissioner division of banking shall promulgate rules establishing the license period for the license described in par. (d) 8.
27,5855 Section 5855 . 218.01 (2) (cm) 5. of the statutes is amended to read:
218.01 (2) (cm) 5. The commissioner division of banking may promulgate rules establishing expiration dates for licenses issued under par. (d) 8.
27,5856 Section 5856 . 218.01 (2) (d) 1. of the statutes is amended to read:
218.01 (2) (d) 1. For motor vehicle dealers, to the department of transportation, $20 for each office or branch thereof, plus $1 for a supplemental license for each used motor vehicle lot within the same municipality, but not immediately adjacent to the office or to a branch.
27,5857 Section 5857 . 218.01 (2) (d) 8. a. of the statutes is amended to read:
218.01 (2) (d) 8. a. Except as provided in subd. 8. b., for motor vehicle dealers, to the commissioner division of banking, $10.
27,5858 Section 5858 . 218.01 (2) (d) 8. b. of the statutes is amended to read:
218.01 (2) (d) 8. b. For motor vehicle dealers that operate as a sales finance company or that carry or retain time sales contracts for more than 30 days, to the commissioner division of banking, the same as for sales finance companies under par. (dr), except for gross volume of $100,000 or less, $50.
27,5859 Section 5859 . 218.01 (2) (dm) 1. of the statutes is amended to read:
218.01 (2) (dm) 1. If the department of transportation or commissioner division of banking establishes a license period that is not evenly divisible into years, the department of transportation or commissioner division of banking shall prorate the remainder when determining the license fee under par. (d).
27,5860 Section 5860 . 218.01 (2) (dm) 2. of the statutes is amended to read:
218.01 (2) (dm) 2. If the department of transportation or commissioner division of banking grants a license described under par. (d) during the license period, the fee for the license shall equal the applicable dollar amount under par. (d) 1. to 8. multiplied by the number of calendar years, including parts of calendar years, during which the license remains in effect. A fee determined under this subdivision may not exceed the license fee for an entire license period under par. (d).
27,5861 Section 5861 . 218.01 (2) (dr) of the statutes is amended to read:
218.01 (2) (dr) The fee for licenses for sales finance companies, except as provided in par. (d) 8., for each calendar year, or part of a calendar year, is based on the gross volume of purchases of retail sales contracts of motor vehicles sold in this state for the 12 months immediately preceding October 31 of the year in which the application or for license is made, as follows: On a gross volume of $25,000 or less, $25; on a gross volume of over $25,000 and not over $100,000 or less, $50; and on each $100,000 or part thereof over $100,000 and up to $500,000, an additional $15; and on each $100,000 over $500,000, an additional $10. No extra charge shall be made for branch licenses for sales finance companies. Gross volume shall be based on the unpaid balance of the retail contracts.
27,5862 Section 5862 . 218.01 (2) (h) 2. of the statutes is amended to read:
218.01 (2) (h) 2. Provided the licensor has reasonable cause to doubt the financial responsibility of the applicant or licensee or the compliance by the applicant or licensee with this section, the licensor may require the applicant or licensee to furnish and maintain a bond in the form, amount and with the sureties it approves, but not less than $5,000, nor more than $100,000, conditioned upon the applicant or licensee complying with the statutes applicable to the licensee and as indemnity for any loss sustained by any person by reason of any acts of the licensee constituting grounds for suspension or revocation of the license under this section. The bonds shall be executed in the name of the department of transportation for the benefit of any aggrieved parties; provided that the aggregate liability of the surety to all such parties shall, in no event, exceed the amount of the bond. The bonding requirements in this subdivision shall not apply to manufacturers, factory branches, and their agents and is in addition to the bond or letter of credit required of a motor vehicle dealer under par. (bb).
27,5863 Section 5863 . 218.01 (2) (i) of the statutes is amended to read:
218.01 (2) (i) Application for dealers' licenses shall be submitted to the department of transportation in duplicate and shall contain such information as the licensors require. Application for sales finance company licenses shall contain such information as the commissioner division of banking requires. No motor vehicle dealer or sales finance company, unless so licensed, shall be permitted to register or receive or use registration plates under ss. 341.47 to 341.57. The department of transportation shall transmit the duplicate copy of each application for a dealer's license to the commissioner division of banking with the fee required under par. (d) 8. The commissioner division of banking may not refund the fee required under par. (d) 8. The commissioner division of banking shall approve a sales finance company license for a dealer if no prior sales finance company license has been suspended or revoked, and if the applicant meets the requirements of this section relating to sales finance companies.
27,5864 Section 5864 . 218.01 (2) (k) (intro.) of the statutes is amended to read:
218.01 (2) (k) (intro.) After the receipt of an application in due form, properly verified and certified, and upon the payment of the $5 examination fee, the secretary, deputy secretary or any salaried employe of the department of transportation designated by the secretary shall, within a reasonable time and in a place reasonably accessible to the applicant for a license, subject each first-time applicant for license and, if the secretary deems necessary, any applicant for renewal of license to a personal written examination as to competency to act as a motor vehicle salesperson. The secretary shall issue to an applicant a resident or nonresident motor vehicle salesperson's license if the application and examination show that the applicant meets all of the following requirements:
27,5865 Section 5865 . 218.01 (2a) (a) of the statutes is amended to read:
218.01 (2a) (a) Before changing the location of a place of business or opening a new place of business in a municipality in which authorized to do business, a licensed dealer, distributor, or manufacturer shall apply to the department of transportation for an amended license. The department of transportation shall issue such license without charge.
27,5866 Section 5866 . 218.01 (2a) (b) of the statutes is amended to read:
218.01 (2a) (b) Whenever a licensed dealer, distributor, manufacturer or transporter opens a new place of business, the licensee shall promptly report such fact, including the address thereof, to the department of transportation.
27,5867 Section 5867 . 218.01 (2a) (c) of the statutes is amended to read:
218.01 (2a) (c) Whenever a licensed dealer, distributor or manufacturer discontinues or disposes of his or her business, such person shall promptly report such fact to the department of transportation and return the license and registration plates issued. Whenever a licensed dealer, distributor or manufacturer discontinues business due to license suspension or revocation, such person shall surrender the licenses and registration plates to the department of transportation for such suspension or revocation period.
27,5868 Section 5868 . 218.01 (2w) (b) of the statutes is amended to read:
218.01 (2w) (b) A manufacturer, importer or distributor shall, for the protection of the buying public, specify the delivery and preparation obligations of its dealers before delivery of new motor vehicles to retail buyers. A copy of the delivery and preparation obligations of its dealers shall be filed with the department of transportation by every licensed motor vehicle manufacturer, importer or distributor and shall constitute the dealer's only responsibility for product liability as between the dealer and the manufacturer, importer or distributor. Any mechanical, body or parts defects arising from any express or implied warranties of the manufacturer, importer or distributor shall constitute the manufacturer's, importer's or distributor's product or warranty liability. The manufacturer, importer or distributor shall reasonably compensate any authorized dealer who performs work to rectify the manufacturer's, importer's or distributor's product or warranty defects or delivery and preparation obligations or who performs any other work required, requested or approved by the manufacturer, importer or distributor or for which the manufacturer, importer or distributor has agreed to pay, including compensation for labor at a labor rate equal to the effective labor rate charged all customers and for parts at an amount not less than the amount the dealer charges its other retail service customers for parts used in performing similar work by the dealer.
27,5869 Section 5869 . 218.01 (3) (a) 17. of the statutes is amended to read:
218.01 (3) (a) 17. Subject to sub. (3n), being a manufacturer, importer or distributor who has unfairly, without due regard to the equities or without just provocation, directly or indirectly canceled or failed to renew the franchise of any motor vehicle dealer; or being a manufacturer or importer, who has unfairly, without due regard to the equities or without just provocation, directly or indirectly canceled or failed to renew the franchise of any distributor. If there is a change in a manufacturer, importer or distributor, a motor vehicle dealer's franchise granted by the former manufacturer, importer or distributor shall continue in full force and operation under the new manufacturer, importer or distributor unless a mutual agreement of cancellation is filed with the department of transportation between the new manufacturer, importer or distributor and the dealer. In this subdivision, “due regard to the equities" means treatment in enforcing an agreement that is fair and equitable to a motor vehicle dealer or distributor and that is not discriminatory compared to similarly situated dealers or distributors; and “just provocation" means a material breach by a motor vehicle dealer or distributor, due to matters within the dealer's or distributor's control, of a reasonable and necessary provision of an agreement and the breach is not cured within a reasonable time after written notice of the breach has been received from the manufacturer, importer or distributor.
27,5870 Section 5870 . 218.01 (3) (a) 36. a. of the statutes is amended to read:
218.01 (3) (a) 36. a. Fails to notify the department of transportation of any revision or addition to an agreement as required under sub. (2) (bd) 1.
27,5871 Section 5871 . 218.01 (3) (a) 36. b. of the statutes is amended to read:
218.01 (3) (a) 36. b. Fails to revise or remove portions of an agreement that the department of transportation declares to contain provisions which are inconsistent with sub. (2) (bm).
27,5872 Section 5872 . 218.01 (3) (bf) 1. of the statutes is amended to read:
218.01 (3) (bf) 1. The department of transportation shall not license as a dealer an applicant for the sale of motor vehicles at retail unless such applicant owns or leases a vehicle display lot and a permanent building wherein there are facilities to display automobiles and motorcycles and facilities to repair functional and nonfunctional parts of motor vehicles and where replacement parts, repair tools and equipment to service motor vehicles are kept, and at which place of business shall be kept and maintained the books, records and files necessary to conduct the business. A residence, tent or temporary stand is not a sufficiently permanent place of business within the meaning of this paragraph.
27,5873 Section 5873 . 218.01 (3) (c) 3. of the statutes is amended to read:
218.01 (3) (c) 3. Matters involving suspensions or revocations brought before the department of transportation shall be heard and decided upon by the division of hearings and appeals. If the department of transportation requests the division of hearings and appeals to hear a matter brought before the department of transportation under subd. 2., the division of hearings and appeals shall hear and decide the matter within 30 days after the date of the department's department of transportation's request.
27,5874 Section 5874 . 218.01 (3) (f) 1. of the statutes is amended to read:
218.01 (3) (f) 1. A manufacturer, importer or distributor who seeks to enter into a franchise agreement establishing or relocating a motor vehicle dealership, parts outlet or service outlet within the relevant market area of an existing enfranchised dealer of the line make of motor vehicle shall first notify in writing the department of transportation and each such existing enfranchised dealer of its intention to establish or relocate a dealership or outlet. Within 30 days of receiving the notice or within 30 days after the end of any appeal procedure provided by the manufacturer, importer or distributor, whichever is later, any existing enfranchised dealer of the same line make to whom the manufacturer, importer or distributor is required to give notice under this subdivision may file with the department of transportation and the division of hearings and appeals a complaint protesting the proposed establishment or relocation of the dealership or outlet within the relevant market area of the existing enfranchised dealer. If a complaint is filed, the department of transportation shall inform the manufacturer, importer or distributor that a timely complaint has been filed, that a hearing is required, and that the proposed franchise agreement may not be entered into until the division of hearings and appeals has held a hearing, nor thereafter, if the division of hearings and appeals determines that there is good cause for not permitting the proposed establishment or relocation of the dealership or outlet. In the event of multiple complaints, hearings shall be consolidated to expedite the disposition of the issue.
27,5875 Section 5875 . 218.01 (3) (fm) 1. of the statutes is amended to read:
218.01 (3) (fm) 1. A manufacturer or distributor may not modify a motor vehicle dealer agreement during the term of the agreement or upon its renewal if the modification substantially and adversely affects the motor vehicle dealer's rights, obligations, investment or return on investment without giving 60 days written notice of the proposed modification to the motor vehicle dealer unless the modification is required by law, court order or the licensor. Within the 60-day notice period the motor vehicle dealer may file with the department of transportation and the division of hearings and appeals and serve upon the respondent a complaint for a determination of whether there is good cause for permitting the proposed modification. The division of hearings and appeals shall promptly schedule a hearing and decide the matter. Multiple complaints pertaining to the same proposed modification shall be consolidated for hearing. The proposed modification may not take effect pending the determination of the matter.
27,5876 Section 5876 . 218.01 (3) (g) of the statutes is amended to read:
218.01 (3) (g) Any person in interest aggrieved by a decision of the division of hearings and appeals may have a review thereof as provided in ch. 227 or aggrieved by an order of the commissioner division of banking may have a review thereof as provided in s. 220.037.
27,5877 Section 5877 . 218.01 (3) (h) of the statutes is amended to read:
218.01 (3) (h) In addition to the licensor's authority to deny, suspend or revoke a license under this section, the commissioner division of banking, after public hearing, may issue a special order enjoining any licensee from engaging in any act or practice which is determined by the commissioner division of banking to be in violation of any provision of par. (a), and the division of hearings and appeals may be petitioned to issue such a special order after notice and hearing thereon.
27,5878 Section 5878 . 218.01 (3a) (title) of the statutes is amended to read:
218.01 (3a) (title) When department to revoke Revocation of license of dealer, distributor, manufacturer, or transporter.
27,5879 Section 5879 . 218.01 (3a) (a) of the statutes is amended to read:
218.01 (3a) (a) If a dealer, distributor or manufacturer is convicted under s. 341.55 (1) a second or subsequent time within the same registration year, the department of transportation shall revoke the license of such dealer, distributor or manufacturer for a period not to exceed one year. For the purposes of this paragraph, the conviction of the employe of a dealer, distributor or manufacturer shall be counted as a conviction of the employer.
27,5880 Section 5880 . 218.01 (3a) (b) of the statutes is amended to read:
218.01 (3a) (b) If a transporter is convicted under s. 341.55 (3) a 2nd or subsequent time within the same license period, the department of transportation shall revoke the license of such transporter for a period not to exceed one year.
27,5881 Section 5881 . 218.01 (3a) (c) of the statutes is amended to read:
218.01 (3a) (c) A dealer, distributor, manufacturer or transporter whose license has been revoked shall forthwith surrender its registration plates to a traffic officer or peace officer designated by the department of transportation. A dealer, distributor, manufacturer or transporter who fails to return the plates as required by this subsection may be fined not more than $200 or imprisoned not more than 6 months or both.
27,5882 Section 5882 . 218.01 (3c) (c) of the statutes is amended to read:
218.01 (3c) (c) If a manufacturer, factory branch or distributor believes it has good cause for refusing to honor the succession to the ownership and operation of a dealership by a family member of a deceased or incapacitated dealer under the existing franchise agreement, such manufacturer, factory branch or distributor may, within 30 days of receipt of notice of the designated family member's intent to succeed the dealer in the ownership and operation of the dealership, serve upon such designated family member and the department of transportation notice of its refusal to honor the succession and of its intent to discontinue the existing franchise agreement with the dealership no sooner than 60 days from the date such notice is served. Such notice shall state the specific grounds for the refusal to honor the succession and the discontinuance of the franchise agreement. If no notice of such refusal and discontinuance is timely served upon the family member and department of transportation, or if the division of hearings and appeals rules in favor of the complainant in a hearing held under par. (d), the franchise agreement shall continue in effect subject to termination only in the manner prescribed in this subchapter.
27,5883 Section 5883 . 218.01 (3c) (d) of the statutes is amended to read:
218.01 (3c) (d) Any designated family member who receives a notice of the manufacturer's, factory branch's or distributor's refusal to honor his or her succession to the ownership and operation of the dealership may, within the 60-day notice period, serve on the respondent and file in triplicate with the division of hearings and appeals a verified complaint for a hearing and determination by the division of hearings and appeals on whether good cause exists for such refusal and discontinuance. The division of hearings and appeals shall forward a copy of the complaint to the department of transportation. The manufacturer, factory branch or distributor shall have the burden of establishing good cause for such refusal by showing that the succession would be detrimental to the public interest or to the representation of the manufacturer, factory branch or distributor. The franchise agreement shall continue in effect until the final determination of the issues raised in such complaint. If the complainant prevails he or she shall have a cause of action against the defendant for reasonable expenses and attorney fees incurred in such matter. If the manufacturer, factory branch or distributor prevails, the division of hearings and appeals shall include in its order approving the termination of the franchise agreement such conditions as are reasonable and adequate to afford the complainant an opportunity to receive fair and reasonable compensation for the value of the dealership.
27,5884 Section 5884 . 218.01 (3x) (b) 1. of the statutes is amended to read:
218.01 (3x) (b) 1. If a motor vehicle dealer's agreement with an affected grantor requires the grantor's prior approval of an action proposed to be undertaken by the dealer under this subsection, a dealer may not voluntarily change its ownership or executive management, transfer its dealership assets to another person, add another franchise at the same location as its existing franchise or relocate a franchise without giving prior written notice of the proposed action to the affected grantor and to the department of transportation. Within 20 days after receiving the notice, the affected grantor may serve the dealer with a written list of the information not already known or in the possession of the grantor that is reasonably necessary in order for the grantor to determine whether the proposed action should be approved. The grantor shall, in good faith, confirm in writing to the dealer the date on which it has received from the dealer or from other sources all the information specified on the list.
27,5885g Section 5885g. 218.01 (3x) (b) 2. of the statutes is amended to read:
218.01 (3x) (b) 2. An affected grantor who does not approve of the proposed action shall, within 30 days after receiving the dealer's written notice of the proposed action or within 30 days after receiving all the information specified in a written list served on the dealer under subd. 1., whichever is later, file with the department of transportation and serve upon the dealer a written statement of the reasons for its disapproval. The reasons given for the disapproval or any explanation of those reasons by the manufacturer, distributor or importer shall not subject the manufacturer, distributor or importer to any civil liability unless the reasons given or explanations made are malicious and published with the sole intent to cause harm to the dealer or a transferee of the dealer. Failure to file and serve a statement within the applicable period shall, notwithstanding the terms of any agreement, constitute approval of the proposed action by the grantor. If an affected grantor files a written statement within the applicable period, the dealer may not voluntarily undertake the proposed action unless it receives an order permitting it to do so from the office of the commissioner of transportation under par. (c) 2.
27,5886d Section 5886d. 218.01 (3x) (b) 3. of the statutes is amended to read:
218.01 (3x) (b) 3. A dealer who is served with a written statement by an affected grantor under subd. 2. may file with the department of transportation and the office of the commissioner of transportation and serve upon the affected grantor a complaint for the determination of whether there is good cause for permitting the proposed action to be undertaken. The office of the commissioner of transportation shall promptly schedule a hearing and decide the matter. The proposed action may not be undertaken pending the determination of the matter.
27,5887 Section 5887 . 218.01 (5) (b) 1. of the statutes is amended to read:
218.01 (5) (b) 1. The commissioner division of banking, department of transportation and division of hearings and appeals shall have the power in hearings arising under this chapter to determine the place, in this state, where they shall be held; to subpoena witnesses and documents; to take and permit the taking of depositions of witnesses residing in or outside of this state and to otherwise permit the discovery and preservation of evidence before hearing, in the manner provided for in civil actions in courts of record; to pay such witnesses the fees and mileage for their attendance as is provided for witnesses in civil actions in courts of record; and to administer oaths.
27,5888 Section 5888 . 218.01 (5) (b) 3. of the statutes is amended to read:
218.01 (5) (b) 3. A person providing information under this paragraph may request that the information be designated as a trade secret, as defined in s. 134.90 (1) (c), or as confidential business information. The commissioner, division of hearings and appeals or licensor shall approve the designation if the person providing the information demonstrates that the release of the information would adversely affect the person's competitive position. At least 15 days before any information designated as a trade secret or as confidential business information is disclosed to any other person, the commissioner, division of hearings and appeals or licensor shall notify the person providing the information. The person providing the information may seek a court order limiting or prohibiting the disclosure. In such cases, the court shall weigh the need for confidentiality of the information against the public interest in disclosure. Confidentiality is waived if the person providing the information consents in writing to disclosure.
27,5889 Section 5889 . 218.01 (6) (b) (intro.) of the statutes is amended to read:
218.01 (6) (b) (intro.) Prior to or concurrent with any instalment sale, the seller shall deliver to the buyer a written statement describing clearly the motor vehicle sold to the buyer, the cash sale price, the cash paid down by the buyer, the amount credited the buyer for any trade-in and a description of the trade-in, the cost to the retail buyer of any insurance, the amount financed which may include the cost of insurance, sales and use taxes, the amount of the finance charge, the amount of any other charge specifying its purpose, the total of payments due from the buyer, the terms of the payment of such total, the amount and date of each payment necessary finally to pay the total and a summary of any insurance coverage to be effected. The commissioner division of banking may determine the form of the statement. If a written order is taken from a prospective purchaser in connection with any instalment sale, the written statement shall be given to the purchaser prior to or concurrent with the signing of the order by the purchaser. The finance charge in a retail instalment sale made prior to April 6, 1980, however computed, excluding the cost of insurance shall not exceed the amount computed on the basis of the following annual percentage rates:
27,5890 Section 5890 . 218.01 (6) (em) of the statutes is amended to read:
218.01 (6) (em) In event the dealer shall finance the instalment sale contract, the commissioner division of banking may permit the dealer to combine the information required by pars. (b) and (e) last above in one statement under such rules and regulations as the commissioner division of banking may from time to time prescribe.
27,5891 Section 5891 . 218.01 (7a) (a) of the statutes is amended to read:
218.01 (7a) (a) A motor vehicle may not be offered for sale by any motor vehicle dealer or motor vehicle salesperson unless the mileage on the motor vehicle is disclosed in writing by the transferor on the certificate of title or on a form authorized by the department of transportation to reassign the title to the dealer and the disclosure is subsequently shown to the retail purchaser by the dealer or salesperson prior to sale. The department of transportation may promulgate rules to exempt types of motor vehicles from this mileage disclosure requirement and shall promulgate rules for making the disclosure requirement on a form other than the certificate of title.
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