The bill amends the definition of "common entity" within the context of motor vehicle distributors and manufacturers in Florida. It specifies that a "common entity" is a person who is controlled by or has more than 30 percent equity interest owned by a manufacturer, importer, distributor, or their affiliates. The bill introduces new criteria that exempt certain entities from being classified as common entities of a distributor or manufacturer if they meet specific conditions, such as being a licensed distributor as of March 1, 2023, or if they solely manufacture or assemble vehicles that are part of a motor vehicle line-make without franchised dealers in the state.

Additionally, the bill clarifies that an entity related to a distributor or manufacturer will not be considered a common entity if it does not have ties to a manufacturer or importer and meets the outlined criteria. The effective date for this legislation is set for July 1, 2026.

Statutes affected:
H 291 Filed: 320.60