The bill amends several sections of Chapter 31-5.1 of the General Laws, which regulates the relationships between motor vehicle manufacturers, distributors, and dealers. It introduces key definitions such as "common entity," clarifies the definition of "new motor vehicle," and specifies actions that constitute violations of the chapter, including arbitrary or bad faith actions against dealers. The bill establishes that all individuals engaged in motor vehicle-related business in the state must adhere to its provisions and allows licensed dealers of zero-emission vehicles to operate under specific conditions.

Additionally, the bill prohibits unfair practices by manufacturers and distributors, including misleading advertisements and discriminatory warranty reimbursements. It requires that any termination or nonrenewal of a franchise be justified with good cause and proper notice, while emphasizing the importance of good faith in dealings between manufacturers and dealers. The bill mandates reasonable performance criteria, prohibits price increases without prior notification, and ensures that dealers can adjust their operations without undue restrictions. Overall, the amendments aim to create a more equitable and transparent framework for motor vehicle dealerships, enhancing protections and fair practices within the industry.