H.B. 395

VETOES

(d) (1) If a franchise required by this section is terminated in accordance with §
15-209 of this title, the license of the dealer shall be suspended automatically unless.
before the effective date of termination, the licensed dealer files satisfactory evidence
that the franchise has been extended. The Administration immediately shall notify the
licensee of the suspension.

(2) (I) NOTWITHSTANDING PARAGRAPH (1) OF THIS SUBSECTION, IF A
FRANCHISE ISSUED TO A LICENSEE WHO DEALS IN CLASS M MOTOR HOMES OR
CLASS G TRAVEL TRAILERS IS TERMINATED FOR ANY REASON IN ACCORDANCE
WITH § 15-209 OF THIS TITLE FOR ANY REASON, THE ADMINISTRATION MAY, IF GOOD
CAUSE IS SHOWN, AUTHORIZE THE LICENSEE TO DISPOSE OF THE CLASS M MOTOR
HOMES AND CLASS G TRAVEL TRAILERS THAT WERE IN THE DEALER'S INVENTORY
PRIOR TO THE FRANCHISE TERMINATION WITHOUT APPLYING FOR A CERTIFICATE
OF TITLE IN THE DEALERSHIP'S NAME OR PAYING THE APPLICABLE EXCISE TAX
EXTENSION OF THAT FRANCHISE FOR THE SOLE PURPOSE OF ALLOWING THE
LICENSED DEALER TO DISPOSE OF THE CLASS M MOTOR HOMES AND CLASS G
TRAVEL TRAILERS THAT WERE IN THE DEALER'S INVENTORY ON THE DATE OF THE
FRANCHISE TERMINATION NOTICE LICENSEE TO DISPOSE OF THE CLASS M MOTOR
HOMES AND CLASS G TRAVEL TRAILERS THAT WERE IN THE DEALER'S INVENTORY
PRIOR TO THE FRANCHISE TERMINATION WITHOUT APPLYING FOR A CERTIFICATE OF
TITLE IN THE DEALERSHIP'S NAME OR PAYING THE APPLICABLE EXCISE TAX.

(II) THE INITIAL AUTHORIZATION PERIOD UNDER

SUBPARAGRAPH (I) OF THIS PARAGRAPH MAY NOT EXCEED 12 MONTHS FROM THE
DATE OF THE FRANCHISE TERMINATION.

           (III) AFTER THE. INITIAL AUTHORIZATION PERIOD UNDER
SUBPARAGRAPH (I) OF THIS PARAGRAPH, THE ADMINISTRATION MAY REVIEW
EACH SITUATION ON A CASE BY CASE BASIS AND DETERMINE WHETHER A FURTHER
EXTENSION OF TIME TO DISPOSE OF REMAINING INVENTORY IS WARRANTED OR
WHETHER THE DEALER MUST SHALL BE REQUIRED TO TAKE TITLE TO ANY
REMAINING CLASS M MOTOR HOMES AND CLASS G TRAVEL TRAILERS IN THE
DEALER'S INVENTORY.

'(e) Notwithstanding subsections (a) and (f) of this 'section, a manufacturer or
distributor maybe licensed as a 'dealer only if the manufacturer or distributor:

(1)     Operates temporarily a dealership that:

(i) Was previously owned by a franchised dealer; and

(ii) Is for sale to any qualified person at a reasonable price;

(2)     Operates a dealership in a bona fide relationship in which an
independent person:

(i) Has made a significant investment, subject to loss, in the
dealership; and                       

(ii) Can reasonably expect to acquire full ownership of the dealership
under reasonable terms and conditions; or

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