AB969: Bill Text

AB969, s. 67 Section 67. 218.01 (2) (bm) 1. (intro.) of the statutes is renumbered 218.0114 (9) (a) (intro.) and amended to read:

AB969,27,10 218.0114 (9) (a) (intro.) Except as provided in par. (bo) sub. (10), provisions of an agreement which do any of the following are void and prohibited:

AB969, s. 68 Section 68. 218.01 (2) (bm) 1. a. of the statutes is renumbered 218.0114 (9) (a) 1. and amended to read:

AB969,27,16 218.0114 (9) (a) 1. 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 ss. 218.0101 to 218.0163 or under rules promulgated by the department of transportation under this section ss. 218.0101 to 218.0163.

AB969, s. 69 Section 69. 218.01 (2) (bm) 1. b. of the statutes is renumbered 218.0114 (9) (a) 2.

AB969, s. 70 Section 70. 218.01 (2) (bm) 1. c. of the statutes is renumbered 218.0114 (9) (a) 3.

AB969, s. 71 Section 71. 218.01 (2) (bm) 2. of the statutes is renumbered 218.0114 (9) (b) and amended to read:

AB969,28,3 218.0114 (9) (b) 1. Notwithstanding subd. 1. b. par. (a) 2. and subject to sub. (3) (a) 36. d. s. 218.0116 (1) (qm) 4., an agreement may provide for the resolution of disputes by arbitration, including binding arbitration, if both parties to the agreement voluntarily agree to an arbitration provision. An arbitrator acting under this subd. 2. a. subdivision shall be bound by the laws of this state, including par. (bd) 2. sub. (7) (d) and other provisions of this section ss. 218.0101 to 218.0163.

AB969,28,6 2. 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 ss. 218.0101 to 218.0163.

AB969, s. 72 Section 72. 218.01 (2) (bm) 3. of the statutes is renumbered 218.0114 (9) (c) and amended to read:

AB969,28,11 218.0114 (9) (c) Notwithstanding subd. 1. b. par. (a) 2., an agreement may require a dealer or distributor to submit disputes to a nonbinding and reasonably prompt dispute resolution procedure before bringing an action in another forum.

AB969, s. 73 Section 73. 218.01 (2) (bo) (intro.) of the statutes is renumbered 218.0114 (10) (intro.) and amended to read:

AB969,28,15 218.0114 (10) (intro.) Paragraph (bm) Subsection (9) does not apply to any of the following:

AB969, s. 74 Section 74. 218.01 (2) (bo) 1. of the statutes is renumbered 218.0114 (10) (a).

AB969, s. 75 Section 75. 218.01 (2) (bo) 2. of the statutes is renumbered 218.0114 (10) (b) and amended to read:

AB969,28,21 218.0114 (10) (b) An agreement, made after a dealer receives notice under sub. (3) (f) 1. s. 218.0116 (7) (a), which waives the dealer's right to file a complaint protesting the establishment or relocation of a dealership proposed in the notice.

AB969, s. 76 Section 76. 218.01 (2) (bs) of the statutes is renumbered 218.0114 (11) and amended to read:

AB969,29,2 218.0114 (11) A manufacturer, distributor or importer shall designate in writing the area of sales responsibility assigned to a motor vehicle dealer. A manufacturer, distributor or importer may not modify the area of sales responsibility to avoid the requirements of sub. (3) (f) s. 218.0116 (7).

AB969, s. 77 Section 77. 218.01 (2) (c) 1. of the statutes is renumbered 218.0114 (12) (a) and amended to read:

AB969,29,7 218.0114 (12) (a) Except as provided in subd. 2. par. (b), all licenses shall be granted or refused within 60 days after the licensor receives the application for the license.

AB969, s. 78 Section 78. 218.01 (2) (c) 2. a. of the statutes is renumbered 218.0114 (12) (b) 1.

AB969, s. 79 Section 79. 218.01 (2) (c) 2. b. of the statutes is renumbered 218.0114 (12) (b) 2. and amended to read:

AB969,29,15 218.0114 (12) (b) 2. In cases where a complaint has been filed under sub. (3) (f) s. 218.0116 (7) protesting the proposed establishment or relocation of a dealership in a relevant market area, no license may be issued until the division of hearings and appeals has rendered a decision permitting the issuance of the license.

AB969, s. 80 Section 80. 218.01 (2) (cm) of the statutes is renumbered 218.0114 (13) and amended to read:

AB969,29,19 218.0114 (13) (a) Licenses described in par. (dr) sub. (16) expire on December 31 of the calendar year for which the licenses are granted.

AB969,29,21 (b) The department of transportation shall promulgate rules establishing the license period for each type of license described in par. (d) 1. to 6. sub. (14) (a) to (f).

AB969,29,24 (c) The department of transportation may promulgate rules establishing expiration dates for the various types of licenses described in par. (d) 1. to 6. sub. (14) (a) to (f).

AB969,30,2 (d) The division of banking shall promulgate rules establishing the license period for the license described in par. (d) 8. sub. (14) (g).

AB969,30,4 (e) The division of banking may promulgate rules establishing expiration dates for licenses issued under par. (d) 8. sub. (14) (g).

AB969, s. 81 Section 81. 218.01 (2) (d) (intro.) of the statutes is renumbered 218.0114 (14) (intro.) and amended to read:

AB969,30,9 218.0114 (14) (intro.) Subject to par. (dm) sub. (15), the fee for licenses described in this paragraph subsection equals the number of years in a license period multiplied by whichever of the following applies:

AB969, s. 82 Section 82. 218.01 (2) (d) 1. of the statutes is renumbered 218.0114 (14) (a) and amended to read:

AB969,30,15 218.0114 (14) (a) For motor vehicle dealers, to the department of transportation, $20 for each office or branch thereof of the motor vehicle dealer, 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.

AB969, s. 83 Section 83. 218.01 (2) (d) 2. of the statutes is renumbered 218.0114 (14) (b).

AB969, s. 84 Section 84. 218.01 (2) (d) 3. of the statutes is renumbered 218.0114 (14) (c).

AB969, s. 85 Section 85. 218.01 (2) (d) 4. of the statutes is renumbered 218.0114 (14) (d) and amended to read:

AB969,30,21 218.0114 (14) (d) Any person licensed under subd. 2. or 3. next preceding, par. (b) or (c) may also operate as a motor vehicle dealer, without any additional fee.

AB969, s. 86 Section 86. 218.01 (2) (d) 5. of the statutes is renumbered 218.0114 (14) (e).

AB969, s. 87 Section 87. 218.01 (2) (d) 6. of the statutes is renumbered 218.0114 (14) (f).

AB969, s. 88 Section 88. 218.01 (2) (d) 8. of the statutes is renumbered 218.0114 (14) (g) and amended to read:

AB969,31,2 218.0114 (14) (g) 1. Except as provided in subd. 8. b. 2., for motor vehicle dealers, to the division of banking, $10.

AB969,31,6 2. For motor vehicle dealers that operate as a sales finance company or that carry or retain retail instalment contracts or consumer leases for more than 30 days, to the division of banking, the same as for sales finance companies under par. (dr) sub. (16).

AB969, s. 89 Section 89. 218.01 (2) (dm) of the statutes is renumbered 218.0114 (15) and amended to read:

AB969,31,12 218.0114 (15) (a) If the department of transportation or division of banking establishes a license period that is not evenly divisible into years, the department of transportation or division of banking shall prorate the remainder when determining the license fee under par. (d) sub. (14).

AB969,31,19 (b) If the department of transportation or division of banking grants a license described under par. (d) sub. (14) during the license period, the fee for the license shall equal the applicable dollar amount under par. (d) 1. to 8. sub. (14) (a) to (g) 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 paragraph may not exceed the license fee for an entire license period under par. (d) sub. (14).

AB969, s. 90 Section 90. 218.01 (2) (dr) of the statutes, as affected by 1997 Wisconsin Act 48, is renumbered 218.0114 (16).

AB969, s. 91 Section 91. 218.01 (2) (e) of the statutes is renumbered 218.0114 (17) and amended to read:

AB969,32,6 218.0114 (17) The licenses of dealers, manufacturers, factory branches, distributors, distributor branches and sales finance companies shall specify the location of the office or branch and must be conspicuously displayed there at that location. In case such the location be of the office or branch is changed, the licensor shall indorse the change of location on the license, without charge, if it be the new location is within the same municipality as the previous location. A change of location to another municipality shall require a new license, except for sales finance companies.

AB969, s. 92 Section 92. 218.01 (2) (f) of the statutes is renumbered 218.0114 (18) and amended to read:

AB969,32,16 218.0114 (18) Every salesperson, factory representative or distributor representative shall carry his or her license when engaged in business, and display the license upon request. The license shall name his or her the licensee's employer, and in case of. Upon leaving an employer, the salesperson licensee shall immediately surrender the license to his or her employer who shall mail the license to the licensor. If during the license period the individual licensee again is employed or acts as a salesperson, he or she shall make application for reissue of a salesperson's license. There shall be no fee in connection with such the subsequent applications.

AB969, s. 93 Section 93. 218.01 (2) (g) of the statutes is renumbered 218.0114 (19).

AB969, s. 94 Section 94. 218.01 (2) (h) 1. of the statutes is renumbered 218.0114 (20) (a) and amended to read:

AB969,32,24 218.0114 (20) (a) If 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 ss. 218.0101 to 218.0163, the licensor may require the applicant or licensee to furnish information relating to the applicant's or licensee's solvency and financial standing.

AB969, s. 95 Section 95. 218.01 (2) (h) 2. of the statutes is renumbered 218.0114 (20) (b) and amended to read:

AB969,33,17 218.0114 (20) (b) Provided If 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 ss. 218.0101 to 218.0163, 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 ss. 218.0101 to 218.0163. The bonds shall be executed in the name of the department of transportation for the benefit of any aggrieved parties; provided, except that the aggregate liability of the surety to all such aggrieved parties shall, in no event, exceed the amount of the bond. The bonding requirements in this subdivision paragraph 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) 1. sub. (5) (a).

AB969, s. 96 Section 96. 218.01 (2) (h) 3. of the statutes is renumbered 218.0114 (20) (c) and amended to read:

AB969,34,4 218.0114 (20) (c) An applicant or licensee furnishing information under subd. 1. par. (a) may designate the information as a trade secret, as defined in s. 134.90 (1) (c), or as confidential business information. The licensor shall notify the applicant or licensee providing the information 15 days before any information designated as a trade secret or as confidential business information is disclosed to the legislature, a state agency, as defined in s. 13.62 (2), a local governmental unit, as defined in s. 605.01 (1), or any other person. The applicant or licensee furnishing the information may seek a court order limiting or prohibiting the disclosure. In such cases in which case, the court shall weigh the need for confidentiality of the information against the public interest in the disclosure.

AB969, s. 97 Section 97. 218.01 (2) (i) of the statutes is renumbered 218.0114 (21) and amended to read:

AB969,34,19 218.0114 (21) 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 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 division of banking with the fee required under par. (d) 8. sub. (14) (g). The division of banking may not refund the fee required under par. (d) 8. sub. (14) (g). The 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 ss. 218.0101 to 218.0163 relating to sales finance companies.

AB969, s. 98 Section 98. 218.01 (2) (j) of the statutes is renumbered 218.0114 (22) and amended to read:

AB969,34,24 218.0114 (22) A motor vehicle dealer licensed in accordance with the provisions of this section ss. 218.0101 to 218.0163 shall make reports to the licensor at such intervals and showing such information as the licensor may require.

AB969, s. 99 Section 99. 218.01 (2) (k) of the statutes is renumbered 218.0114 (23).

AB969, s. 100 Section 100. 218.01 (2a) (title) of the statutes is renumbered 218.0119 (title).

AB969, s. 101 Section 101. 218.01 (2a) (a) of the statutes is renumbered 218.0119 (1).

AB969, s. 102 Section 102. 218.01 (2a) (b) of the statutes is renumbered 218.0119 (2) and amended to read:

AB969,35,8 218.0119 (2) Whenever a licensed dealer, distributor, manufacturer or transporter opens a new place of business, the licensee shall promptly report such that fact, including the address thereof of the new place of business, to the department of transportation.

AB969, s. 103 Section 103. 218.01 (2a) (c) of the statutes is renumbered 218.0119 (3) and amended to read:

AB969,35,18 218.0119 (3) Whenever a licensed dealer, distributor or manufacturer discontinues or disposes of his or her business, such person that dealer, distributor or manufacturer shall promptly report such that 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 that dealer, distributor or manufacturer shall surrender the licenses and registration plates to the department of transportation for such the suspension or revocation period.

AB969, s. 104 Section 104. 218.01 (2a) (d) of the statutes is renumbered 218.0119 (4) and amended to read:

AB969,35,23 218.0119 (4) Any dealer, distributor, manufacturer or transporter who fails to comply with the requirements of this subsection section may be fined not more than $200 or imprisoned for not more than 6 months or both.

AB969, s. 105 Section 105. 218.01 (2c) of the statutes is renumbered 218.0121 and amended to read:

AB969,36,4 218.0121 Factory stores. A manufacturer, importer or distributor, or a subsidiary thereof of a manufacturer, importer or distributor, shall not own, operate or control a motor vehicle dealership in this state. This subsection does not prohibit any of the following:

AB969,36,8 (1) The ownership and operation by a manufacturer, importer or distributor, or a subsidiary thereof of a manufacturer, importer or distributor, of a dealership for a temporary period, not to exceed one year, during the transition from one owner or operator to another.

AB969,36,16 (2) The ownership or control of a dealership by a manufacturer, importer or distributor, or a subsidiary thereof of a manufacturer, importer or distributor, if the dealership is being sold under a bona fide contract or purchase option to the operator of the dealership, or a contract exists under which the operator of the dealership can expect to acquire full ownership of or a controlling interest in the dealership, and after the transfer of ownership is completed the dealership will no longer be owned, operated or controlled by the manufacturer, importer or distributor, or a subsidiary thereof of the manufacturer, importer or distributor.

AB969,36,24 (3) The ownership, operation or control of a dealership by a manufacturer, importer or distributor, or subsidiary thereof of a manufacturer, importer or distributor, which does not meet the conditions under par. (a) or (b) sub. (1) or (2), if the division of hearings and appeals determines, after a hearing on the matter at the request of any party, that there is no prospective independent dealer available to own and operate the dealership in a manner consistent with the public interest and that meets the reasonable standard and uniformly applied qualifications of the manufacturer, importer or distributor.

AB969, s. 106 Section 106. 218.01 (2d) of the statutes is renumbered 218.0122 and amended to read:

AB969,37,14 218.0122 Damages to delivered vehicles. (1) A manufacturer, importer or distributor shall disclose in writing to a motor vehicle dealer, at or before delivery to the dealer, any damage and repair to a new motor vehicle occurring after the manufacturing process is complete but before delivery to the dealer, if the cost of the repair exceeds 6% of the manufacturer's suggested retail price, as measured by retail repair costs. Replacement of glass, tires, bumpers, fenders, moldings, audio equipment, instrument panels, hoods and deck lids with identical manufacturer's original equipment is not considered damage and repair under this paragraph subsection. If a manufacturer, importer or distributor fails to make a disclosure of damage and repair under this paragraph subsection, it shall be liable to the dealer for any liability imposed on the dealer for a failure on the part of the dealer to disclose that damage and repair.

AB969,38,2 (2) If the cost of repairing damage to a new motor vehicle that occurs before delivery to the dealer's location exceeds 6% of the manufacturer's suggested retail price, as measured by retail repair costs, the dealer may reject or, if title has passed to the dealer, require the manufacturer, importer or distributor who delivered the vehicle to repurchase the vehicle within 10 business days after delivery, unless the damage occurred during shipment and the method of transportation, carrier or transporter of the motor vehicle was designated by the motor vehicle dealer. Upon repurchase, the manufacturer, importer or distributor shall be subrogated to all of the dealer's rights against the carrier or transporter of the motor vehicle regarding damage. The cost of repairing glass, tires, bumpers, moldings and audio equipment with identical manufacturer's original equipment shall not be included in determining the cost of repairing damage under this paragraph subsection.

AB969,38,4 (3) This subsection section does not apply to motorcycles that are delivered in a crated, disassembled condition to the dealer or the dealer's agent.

AB969, s. 107 Section 107. 218.01 (2f) of the statutes is renumbered 218.0123.

AB969, s. 108 Section 108. 218.01 (2g) of the statutes is renumbered 218.0124.

AB969, s. 109 Section 109. 218.01 (2w) (title) of the statutes is renumbered 218.0125 (title).

AB969, s. 110 Section 110. 218.01 (2w) (a) of the statutes is renumbered 218.0125 (1) and amended to read:

AB969,38,12 218.0125 (1) In this subsection section, "dealer cost" means the wholesale cost for a part as listed in the manufacturer's, importer's or distributor's current price schedules or, if the part is not so listed, the dealer's original invoice cost for the part.

AB969, s. 111 Section 111. 218.01 (2w) (b) of the statutes is renumbered 218.0125 (2).

AB969, s. 112 Section 112. 218.01 (2w) (c) of the statutes is renumbered 218.0125 (3) and amended to read:

AB969,39,2 218.0125 (3) To be eligible for compensation for parts under par. (b) sub. (2), a dealer shall notify the manufacturer, importer or distributor in writing of the amounts that the dealer charges its other retail service customers for parts and request that it be paid for parts in accordance with this subsection section. The notice may be limited to the dealer's average markup over dealer cost that the dealer charges its other retail service customers for parts used to perform similar work. The notice shall be served upon the manufacturer, importer or distributor not less than 30 days before the date on which the dealer requests that the manufacturer, importer or distributor begin paying the dealer for parts at the stated amounts. The manufacturer, importer or distributor shall pay the dealer, as provided in this subsection section, at the amounts stated in the dealer notice for parts used in work performed on and after the beginning date stated in the notice.

AB969, s. 113 Section 113. 218.01 (2w) (d) of the statutes is renumbered 218.0125 (4).

AB969, s. 114 Section 114. 218.01 (2w) (e) of the statutes is renumbered 218.0125 (5) and amended to read: