AB 473 also limits manufacturers from imposing unreasonable performance standards on dealers through coercive incentive programs
Sacramento, Calif.—The California New Car Dealers Association (CNCDA) has introduced AB 473 to the California State Legislature. It is a comprehensive bill that will strengthen and update California’s franchise laws to create a stronger and more equitable vehicle franchise system for its members.
Assemblymember Cecilia Aguiar-Curry, who represents California’s 4th Assembly district, is the author of AB 473 and she said she is eager to support CNCDA and its members in this effort. AB 473 contains multiple provisions designed to improve California’s franchise laws, with key components including:
- Ensuring manufacturers do not devalue the time in which it takes dealership technicians to perform warranty and recall work.
- Protecting the underlying intent of the vehicle franchise system by precluding manufacturers from launching a new brand name of vehicles as a way to compete directly with their franchised dealer network.
- Limiting manufacturers from imposing unreasonable performance standards on dealers through coercive incentive programs.
- Incorporating a level of fairness into manufacturer-imposed DC fast charging programs by — amongst other requirements — prohibiting the manufacturer from shifting the entire cost of installing and maintaining public-facing DC fast chargers on their dealers.
- Requiring manufacturers to reimburse dealers for their fees and costs if they prevail in an action at the New Motor Vehicle Board.