Substitute Senate Bill No. 412 seeks to enhance transparency in the advertising and pricing of motor vehicles by requiring licensed dealers to include any dealer conveyance or processing fees in the advertised price of a vehicle, while also stating these fees in bold type next to their respective labels. The bill mandates that the selling price quoted to prospective buyers must encompass these fees and any optional add-on consumer goods or services, clarifying that such fees are negotiable. Additionally, the bill introduces penalties for non-compliance, allowing for fines up to one thousand dollars and potential suspension or revocation of a dealer's license. The effective date for these changes is set for October 1, 2026.

Moreover, the bill revises definitions and provisions related to the Franchise Act, including the rights of dealership owners and the conditions under which manufacturers can require substantial alterations to dealership facilities. It introduces new definitions such as "designated family member," "substantial alteration," and "consumer data," while also establishing regulations regarding consumer data sharing and management. The bill entitles dealers to compensation for used vehicles affected by recalls if necessary parts are not available within thirty days, and it ensures that manufacturers cannot reduce compensation owed to dealers through various means. Overall, the bill aims to balance the interests of dealers and manufacturers while ensuring compliance with safety regulations and protecting consumer data.

Statutes affected:
Raised Bill: 42-133r, 42-133cc
TRA Joint Favorable Substitute: 42-133r, 42-133cc
File No. 465: 42-133r, 42-133cc