Marvin Mandel, Governor                        1505

Maryland vitally affects the general economy of the state and the
public interest and the public welfare; and

Whereas, the General Assembly finds and declares that it is
necessary to regulate and to license distributors, factory branches
and manufacturers engaged in the sale or distribution of Class A
and Class B vehicles in the State of Maryland in order to prevent
frauds, discrimination and other abuses upon the citizens of the
State of Maryland, in order to foster vigorous and healthy com-
petition, to prevent the creation or perpetuation of monopolies and
to promote the public safety and welfare; now, therefore,

Section 1. Be it enacted by the General Assembly of Maryland,
That Sections 1-108.1, 1-119.1, 1-125.1, and 1-130.1 be and they are
hereby added to Article 66½ of the Annotated Code of Maryland
(1970 Replacement Volume and 1971 Supplement), title "Vehicle
Laws," subtitle 1 "Words and Phrases Defined" to follow immedi-
ately after Sections 1-108, 1-119, 1-125, and 1-130 respectively
thereof, and to read as follows:

1-108.1

"Coerce" means an unlawful threat or a threat the carrying out
of which would constitute a breach of contract, or a threat or OF
adverse consequences if a person takes action he has a right to take
or fails to take action he is not required to take. It does not mean
recommendation, endorsement, exposition, persuasion, urging, or
argument.

1-119.1

"Distributor" means a person, resident or non-resident, who in
whole or in part sells or distributes new Class A or Class B vehicles
to dealers in the State of Maryland, or who maintains distributor
representatives in the State of Maryland.

1-125.1

"Factory Branch" means a branch office maintained by a manufac-
turer who manufacturers Class A or Class B vehicles for sale to
distributors or dealers in the State of Maryland; for directing
or supervising, in whole or in part, the representatives of the manu-
facturer in the State of Maryland, such an office engaged in promot-
ing the sale of new Class A or Class B vehicles of a particular brand
or make to dealers in Maryland, or an office maintained to supervise
or contact its dealers or prospective dealers in the State of Maryland.

1-130.1

"Franchise" means an oral or A written arrangement for a definite
or indefinite period in which a manufacturer, distributor or factory
branch grants to a dealer a license or right to use a trade name,
trade mark, service mark, or related characteristic, with respect to the
sale, leasing, or servicing of new Class A or Class B vehicles.

Sec. 2. And be it further enacted BY THE GENERAL ASSEM-
BLY OF MARYLAND, That the title of subtitle 5 of Article 66½ of