(c) 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. par. (b), the division of hearings and appeals shall hear and decide the matter within 30 days after the date of the department of transportation's request.
31,174
Section
174. 218.01 (3) (d) of the statutes is renumbered 218.0116 (5) and amended to read:
218.0116 (5) The licensor may inspect the pertinent books, records, letters and contracts of a licensee and shall determine the cost of an examination. The cost of an examination shall be paid by such the licensee so examined within 30 days after demand therefor for the examination by the licensor, and the. The licensor may maintain an action for the recovery of such the costs of the examination in any court of competent jurisdiction.
31,175
Section
175. 218.01 (3) (e) of the statutes is renumbered 218.0116 (6) and amended to read:
218.0116 (6) If a licensee is a firm, corporation or limited liability company, it shall be sufficient cause for the denial, suspension or revocation of a license that any officer, director, trustee or manager of the firm, corporation or limited liability company, or any member in case of a partnership, has been guilty of any act or omission which would be cause for refusing, suspending or revoking a license to such that party as an individual. Each licensee shall be responsible for the acts of any or all of his or her salespersons while acting as his or her agent, if the licensee approved of or had knowledge of the acts or other similar acts and after such approval approving of or obtaining knowledge of the acts retained the benefit, proceeds, profits or advantages accruing from the acts or otherwise ratified the acts.
31,176
Section
176. 218.01 (3) (f) 1. of the statutes is renumbered 218.0116 (7) (a) 1. and amended to read:
218.0116 (7) (a) 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 that 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 paragraph 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.
2. If a complaint is filed under subd. 1., 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.
31,177
Section
177. 218.01 (3) (f) 2. of the statutes is renumbered 218.0116 (7) (b), and 218.0116 (7) (b) 8., as renumbered, is amended to read:
218.0116 (7) (b) 8. The effect the denial of such the proposed establishment or relocation would have on the license applicant, dealer or outlet operator who is seeking to establish or relocate a dealership or outlet.
31,178
Section
178. 218.01 (3) (f) 3. of the statutes is renumbered 218.0116 (7) (c).
31,179
Section
179. 218.01 (3) (f) 4. (intro.) of the statutes is renumbered 218.0116 (7) (d) (intro.) and amended to read:
218.0116 (7) (d) (intro.) For purposes of this paragraph subsection:
31,180
Section
180. 218.01 (3) (f) 4. a. of the statutes is renumbered 218.0116 (7) (d) 1h. and amended to read:
218.0116 (7) (d) 1h. The reopening or replacement of a dealership or outlet that has been closed for less than 2 years, at the original location or within 2 miles of the original location by the closest highway route, is not the establishment of a motor vehicle dealership or outlet, unless the location is within 4 miles, by the closest highway route, of another franchised dealer of the same line make and is closer to that dealer than the closed dealership or outlet. In this subd. 4. a., "closed" means the effective date of the termination or expiration of the dealership's or outlet's license or franchise, whichever is earlier.
1m. The reopening or replacement of a dealership or outlet that has been closed for less than 2 years at a location other than the original location and other than a location within 2 miles of the original location by the closest highway route, but within the area of sales responsibility that had been assigned to the closed dealership or outlet by the manufacturer, importer or distributor is not the establishment of a motor vehicle dealership or outlet, unless the new location is within 6 miles, by the closest highway route, of another franchised dealer of the same line make and is closer to that dealer than the closed dealership or outlet.
1q. The reopening or replacement of a dealership or outlet that has been closed for 2 or more years or that is at a location outside of the area of sales responsibility that had been assigned to the closed dealership or outlet by the manufacturer, importer or distributor is the establishment of a dealership or outlet.
Note: The definition of "closed" is recreated by this bill as s. 218.0116 (7) (d) 1d. for proper placement consistent with current style.
31,181
Section
181. 218.01 (3) (f) 4. b. of the statutes is renumbered 218.0116 (7) (d) 2.
31,182
Section
182. 218.01 (3) (f) 4. c. of the statutes is renumbered 218.0116 (7) (d) 3. and amended to read:
218.0116 (7) (d) 3. The establishment or relocation of a service or parts outlet requires that notice be given under subd. 1. par. (a) to existing enfranchised dealers who are otherwise entitled to receive such notice
under par. (a) and who are authorized to perform work to rectify product or warranty defects or delivery and preparation obligations on the same line make as the proposed service outlet or to use a trade name, trademark or service mark that is also proposed to be used by the proposed service or parts outlet, except that the establishment or relocation of a service or parts outlet that is owned and operated by a motor vehicle dealership enfranchised by the manufacturer, importer or distributor requires that notice be given only to existing dealers who are otherwise entitled to receive such notice under par. (a) and who hold a franchise to sell the same line make as the dealership that will own and operate the proposed service or parts outlet.
31,183
Section
183. 218.01 (3) (f) 4. d. of the statutes is renumbered 218.0116 (7) (d) 4. and amended to read:
218.0116 (7) (d) 4. A manufacturer's, importer's or distributor's authorization of a fleet owner to perform warranty or delivery and preparation work only on the fleet owner's own vehicles is not the establishment of a service outlet. In this subd. 4. d., "fleet
subdivision:
a. "Fleet owner" means a person who owns for its own use or for the use of others 10 or more motor vehicles of the current or preceding model year manufactured or sold by the manufacturer, importer or distributor who is authorizing the warranty work to be performed, except that "fleet.
b. "Fleet owner" does not include persons engaged in the business of leasing motor vehicles to individual consumers.
31,184
Section
184. 218.01 (3) (f) 4. e. of the statutes is renumbered 218.0116 (7) (d) 5.
31,185
Section
185. 218.01 (3) (fm) of the statutes is renumbered 218.0116 (8).
31,186
Section
186. 218.01 (3) (g) of the statutes is renumbered 218.0116 (9) and amended to read:
218.0116 (9) Any person in interest aggrieved by a decision of the division of hearings and appeals or an order of the division of banking may have a review thereof of the decision as provided in ch. 227.
31,187
Section
187. 218.01 (3) (h) of the statutes is renumbered 218.0116 (10) and amended to read:
218.0116 (10) In addition to the licensor's authority to deny, suspend or revoke a license under this section ss. 218.0101 to 218.0163, the 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 division of banking to be in violation of any provision of par. (a) sub. (1), and the division of hearings and appeals may be petitioned to issue such a special order after notice and hearing thereon.
31,188
Section
188. 218.01 (3a) (title) of the statutes is renumbered 218.0117 (title).
31,189
Section
189. 218.01 (3a) (a) of the statutes is renumbered 218.0117 (1) and amended to read:
218.0117 (1) If a dealer, distributor or manufacturer is convicted under s. 341.55 (1) a second 2nd or subsequent time within the same registration year, the department of transportation shall revoke the license of such the dealer, distributor or manufacturer for a period not to exceed one year. For the purposes of this paragraph
subsection, the conviction of the an employe of a dealer, distributor or manufacturer shall be counted as a conviction of the employer.
31,190
Section
190. 218.01 (3a) (b) of the statutes is renumbered 218.0117 (2) and amended to read:
218.0117 (2) 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 the transporter for a period not to exceed one year.
31,191
Section
191. 218.01 (3a) (c) of the statutes is renumbered 218.0117 (3) and amended to read:
218.0117 (3) A dealer, distributor, manufacturer or transporter whose license has been revoked shall forthwith immediately 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 section may be fined not more than $200 or imprisoned for not more than 6 months or both.
Note: "(F)orthwith" is replaced with "immediately" and "for" is added for constancy with current style.
31,192
Section
192. 218.01 (3a) (d) of the statutes is renumbered 218.0117 (4).
31,193
Section
193. 218.01 (3c) (title) of the statutes is renumbered 218.0131 (title).
31,194
Section
194. 218.01 (3c) (b) of the statutes is renumbered 218.0131 (1) and amended to read:
218.0131 (1) Any designated family member of a deceased or incapacitated dealer shall have the right to succeed such the deceased or incapacitated dealer in the ownership or operation of the dealership under the existing franchise agreement provided if the designated family member gives the manufacturer, factory branch or distributor written notice of his or her intention to do so within 120 days of the dealer's death or incapacity and
, unless there exists good cause for refusal to honor such the succession on the part of the manufacturer, factory branch or distributor. The manufacturer, factory branch or distributor may request, and the designated family member shall provide, such personal and financial data as is that are reasonably necessary to determine whether the succession should be honored.
31,195
Section
195. 218.01 (3c) (c) of the statutes is renumbered 218.0131 (2) and amended to read:
218.0131 (2) 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
the 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
the 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 the notice is served. Such The 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) sub. (3), the franchise agreement shall continue in effect subject to termination only in the manner prescribed in this subchapter.
31,196
Section
196. 218.01 (3c) (d) of the statutes is renumbered 218.0131 (3) (a) and amended to read:
218.0131 (3) (a) 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 the manufacturer's, factory branch's or distributor's refusal and discontinuance. The division of hearings and appeals shall forward a copy of the complaint to the department of transportation.
(b) The manufacturer, factory branch or distributor shall, at the hearing held under par. (a), have the burden of establishing good cause for such its 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 the complaint.
(c) If the complainant prevails at the hearing held under par. (a), he or she shall have a cause of action against the defendant manufacturer, factory branch or distributor for reasonable expenses and attorney fees incurred in such the 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.
31,197
Section
197. 218.01 (3c) (e) of the statutes is renumbered 218.0131 (4) and amended to read:
218.0131 (4) Nothing in this subsection section shall prevent a dealer, during the dealer's lifetime, from designating any person as his or her successor dealer by written instrument filed with the manufacturer, factory branch or distributor.
31,198
Section
198. 218.01 (3n) (title) of the statutes is renumbered 218.0132 (title).
31,199
Section
199. 218.01 (3n) (a) of the statutes is renumbered 218.0132 (1) (a) and amended to read:
218.0132 (1) (a) For purposes of sub. (3) (a) 17. s. 218.0116 (1) (i), the termination, cancellation or discontinuation of a motor vehicle line make will be considered to be the cancellation or failure to renew the franchise of a motor vehicle dealer or distributor of that line make even if that line make is part of an agreement that includes other line makes but.
(b) Notwithstanding par. (a), a manufacturer, importer or distributor may change, add or delete models, specifications, model names, numbers or identifying marks or similar characteristics of motor vehicles that it markets without effecting a cancellation or failure to renew a franchise.
31,200
Section
200. 218.01 (3n) (b) (intro.) of the statutes is renumbered 218.0132 (2) (intro.) and amended to read:
218.0132 (2) (intro.) The cancellation or nonrenewal of a franchise shall not be a violation of sub. (3) (a) 17. s. 218.0116 (1) (i) if all of the following requirements are met:
31,201
Section
201. 218.01 (3n) (b) 1. of the statutes is renumbered 218.0132 (2) (a).
31,202
Section
202. 218.01 (3n) (b) 2. of the statutes is renumbered 218.0132 (2) (b).
31,203
Section
203. 218.01 (3n) (b) 3. of the statutes is renumbered 218.0132 (2) (c) and amended to read:
218.0132 (2) (c) If the franchisee is a motor vehicle dealer, the dealer receives the termination benefits under sub. (3r) s. 218.0133.
31,204
Section
204. 218.01 (3n) (b) 4. (intro.) of the statutes is renumbered 218.0132 (2) (d) (intro.).
31,205
Section
205. 218.01 (3n) (b) 4. a. of the statutes is renumbered 218.0132 (2) (d) 1.
31,206
Section
206. 218.01 (3n) (b) 4. b. of the statutes is renumbered 218.0132 (2) (d) 2. and amended to read:
218.0132 (2) (d) 2. Compensates the dealer or distributor for the actual pecuniary loss caused by the franchise cancellation or nonrenewal. In determining the actual pecuniary loss, the value of any continued service or parts business available to the dealer or distributor for the line make covered by the franchise shall be considered. If the dealer or distributor and the manufacturer, importer or distributor cannot agree on the amount of compensation to be paid under this subd. 4. b. subdivision, either may file a declaratory judgment action in a court of competent jurisdiction.
31,207
Section
207. 218.01 (3n) (b) 4. c. of the statutes is renumbered 218.0132 (2) (d) 3. and amended to read:
218.0132 (2) (d) 3. Establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17.
s. 218.0116 (1) (i), that the continued distribution of the line make in the United States would cause it economic loss and that, after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use the trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any line make of motor vehicle sold or distributed in the United States.
31,208
Section
208. 218.01 (3n) (b) 4. d. of the statutes is renumbered 218.0132 (2) (d) 4. (intro.) and amended to read:
218.0132 (2) (d) 4. (intro.) If the franchise relates to a line make that is sold or distributed in less than 13 states of the United States, establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17., that s. 218.0116 (1) (i) all of the following:
a. That the continued distribution of the line make in this state would cause it economic loss and that,.
b. That after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use such
those trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any line make of motor vehicle sold or distributed in this state, except that, if the line make covered by the franchise has been first distributed in this state less than 2 years before the effective date of the cancellation or nonrenewal, such those trademarks and service marks may be used in this state after 6 years from the effective date of the cancellation or nonrenewal.
31,209
Section
209. 218.01 (3n) (b) 4. e. of the statutes is renumbered 218.0132 (2) (d) 5. (intro.) and amended to read:
218.0132 (2) (d) 5. (intro.) Establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17., that s. 218.0116 (1) (i) all of the following:
a. That the continued distribution of the line make in this state is prohibited by law or by an order of a court or agency with jurisdiction to issue the order and that.
b. That the continued distribution of the line make in this state cannot be made to comply with the law or order through the reasonable efforts of the manufacturer, importer or distributor and that,.
c. That after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use such
those trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any comparable line make of motor vehicle sold or distributed in this state.
31,210
Section
210. 218.01 (3r) (title) of the statutes is renumbered 218.0133 (title).
31,211
Section
211. 218.01 (3r) (a) (intro.) of the statutes is renumbered 218.0133 (1) (intro.) and amended to read:
218.0133 (1) (intro.) In this subsection section:
31,212
Section
212. 218.01 (3r) (a) 1. of the statutes is renumbered 218.0133 (1) (a).
31,213
Section
213. 218.01 (3r) (a) 2. of the statutes is renumbered 218.0133 (1) (b).
31,214
Section
214. 218.01 (3r) (b) 1. of the statutes is renumbered 218.0133 (2) (a) and amended to read:
218.0133 (2) (a) Except as provided in par. (e) sub. (5) and subject to par. (c) sub. (3), when a grantor or motor vehicle dealer terminates, cancels or does not renew an agreement a grantor shall pay a motor vehicle dealer all of the termination benefits under subds. 2. to 5. pars. (b) to (e).
31,215
Section
215. 218.01 (3r) (b) 2. of the statutes is renumbered 218.0133 (2) (b) 1. (intro.) and amended to read:
218.0133 (2) (b) 1. (intro.) A grantor shall repurchase from the motor vehicle dealer any unsold new motor vehicles vehicle that have meets all of the following criteria:
a. The motor vehicle has not been structurally modified by a motor vehicle dealer, that have.
b. The motor vehicle has not been operated more than 300 miles for manufacturer's tests, predelivery tests and motor vehicle dealer exchange in addition to operation required for motor vehicle delivery from the grantor and that the.
c. The motor vehicle dealer was acquired as part of the motor vehicle dealer's original inventory or acquired from the grantor or from another motor vehicle dealer of the same line make and who acquired the motor vehicle from the grantor. In addition, a
2. A grantor may not be required to repurchase a motor vehicle under this subdivision paragraph unless the date on the original dealer invoice is within 12 months of the date on which the motor vehicle dealer terminates, cancels or does not renew an agreement or is within 18 months of the date on which the grantor terminates, cancels or does not renew an agreement.
