First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 25-0864.01 Brita Darling x2241
SENATE BILL 25-160
Senate Committees House Committees
Business, Labor, & Technology
A BILL FOR AN ACT
C
ONCERNING REQUIRING CERTAIN MOTOR VEHICLE MANUFACTURERS101
THAT HAVE AFFILIATES TO SELL THROUGH FRANCHISED MOTOR102
VEHICLE DEALERS.103
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
The bill amends the definition of a "manufacturer" of new motor
vehicles to include an affiliate of a manufacturer and defines the term
"affiliate".
The bill clarifies that the provision in current law prohibiting a
manufacturer from owning, operating, or controlling a motor vehicle
SENATE SPONSORSHIP
Snyder and Jodeh, Liston
HOUSE SPONSORSHIP
Hamrick and Mauro,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. dealer or used motor vehicle dealer in the state also includes competing
against a motor vehicle dealer or used motor vehicle dealer. Further, the
bill extends the prohibition to include motor vehicle dealer-operated
service centers in the state.
Current law does not prohibit ownership, operation, or control of
one or more motor vehicle dealers by a manufacturer if the manufacturer
manufactures only electric vehicles and has no franchised dealers of the
same line-make in the state. Under the bill, the ownership, operation, or
control of one or more motor vehicle dealers by a manufacturer is not
prohibited if the manufacturer manufactures any vehicle and has never
had franchised dealers of any line-make in the state.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, 44-20-102, amend2
(14) introductory portion; and add (1.3) as follows:3
44-20-102. Definitions. As used in this part 1, and in part 4 of this4
article 20, unless the context or section 44-20-402 otherwise requires:5
(1.3) "A
FFILIATE" MEANS ANY PERSON, INCLUDING AN ENTITY,6
THAT DIRECTLY OR INDIRECTLY , OR THROUGH ONE OR MORE7
INTERMEDIARIES, CONTROLS OR IS CONTROLLED BY, OR IS UNDER COMMON8
CONTROL WITH, A SPECIFIED PERSON OR ENTITY, OR HAS THE POWER TO9
EXERCISE, DIRECTLY OR INDIRECTLY, A CONTROLLING INFLUENCE OVER10
THE MANAGEMENT OR POLICIES OF THAT PERSON OR ENTITY .11
(14) "Manufacturer" means any person, firm, association,12
corporation,
AFFILIATE, or trust, resident or nonresident, who
THAT13
manufactures or assembles new and unused motor vehicles; except that14
"manufacturer" does not include:15
SECTION 2. In Colorado Revised Statutes, 44-20-126, amend16
(1) and (2)(g) as follows:17
44-20-126. Independent control of dealer - definitions.18
(1) Except as otherwise provided in this section, no A manufacturer shall19
SB25-160-2- NOT own, operate, or control, any OR COMPETE AGAINST A motor vehicle1
dealer,
MOTOR VEHICLE DEALER -OPERATED SERVICE CENTER , or used2
motor vehicle dealer in Colorado.3
(2) Notwithstanding subsection (1) of this section, the following4
activities are not prohibited:5
(g) Ownership, operation, or control of one or more motor vehicle6
dealers if the manufacturer manufactures only electric vehicles
ANY7
VEHICLE and has no NEVER HAD ANY franchised dealers of the same ANY8
line-make in this state.9
SECTION 3. Act subject to petition - effective date. This act10
takes effect at 12:01 a.m. on the day following the expiration of the11
ninety-day period after final adjournment of the general assembly; except12
that, if a referendum petition is filed pursuant to section 1 (3) of article V13
of the state constitution against this act or an item, section, or part of this14
act within such period, then the act, item, section, or part will not take15
effect unless approved by the people at the general election to be held in16
November 2026 and, in such case, will take effect on the date of the17
official declaration of the vote thereon by the governor.18
SB25-160
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