The South Carolina Consumer Freedom Act aims to amend Section 56-15-45 of the South Carolina Code of Laws to allow automotive manufacturers that own or operate a manufacturing factory or assembly plant in the state, and have never had dealer franchise agreements, to sell vehicles directly to consumers. This change is intended to enhance consumer choice and market freedom, promoting competition in the automotive market while ensuring that existing franchise dealers are not adversely affected. The bill emphasizes the importance of protecting consumer rights and fostering a business environment conducive to entrepreneurship and economic development.

Key amendments include the addition of a provision that permits manufacturers with specific criteria—such as manufacturing vehicles partially propelled by electric motors and having no franchised dealers in the state for the past ten years—to operate as direct sellers. Additionally, the bill clarifies that manufacturers can own facilities for warranty repairs, provided they meet certain conditions. The legislation is designed to maintain the viability of the existing franchise dealer system while expanding options for consumers in South Carolina. The act will take effect upon approval by the Governor.

Statutes affected:
01/16/2025: 56-15-45
01/16/2025-A: 56-15-45
Latest Version: 56-15-45