CHAPTER 129
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CHAPTER 129
( SB 163 )
AN ACT relating to transportation and declaring an emergency.
Be it enacted by the General Assembly of the Commonwealth of Kentucky:
Section 1. KRS 177.074 is amended to read as follows:
(1) Every road which is part of the state primary system shall be identified by a specific route number. In addition
to a route number, the secretary shall direct the placement of signage denoting the honorary naming of a
bridge, a road, or a road segment to comply with the provisions of subsections (2), (3), and (5) of this section.
(2) The secretary shall, within thirty (30) days of receipt of a written request by the commissioner of the
Department of Kentucky State Police, name a state road or segment of a state road in memory and honor of
Kentucky state troopers killed in the line of duty. The written request shall include the:
(a) Trooper's name;
(b) Date and circumstances of the trooper's death; and
(c) Specific segment of state road the Department of Kentucky State Police is requesting be named in
honor and memory of the state trooper killed in the line of duty.
(3) The road or road segment identified in the request shall be either the state road where the trooper was killed, or
the state road closest to the deceased trooper's home. The cabinet shall consult with the commissioner of the
Department of Kentucky State Police on the design and installation of the road signs naming the state road or
road segment in honor and memory of each trooper, and the cabinet shall erect the appropriate highway signs
within thirty (30) days of receipt of the written request required under subsection (2) of this section.
(4) If the road segment identified in the request under subsection (2) of this section has already been named for
another individual or organization, the Department of Kentucky State Police and the cabinet shall consult on
and determine an alternate location that is acceptable to both agencies.
(5) Upon direction by joint resolution of the General Assembly, the secretary shall direct the placement of
signage denoting:
(a) The honorary naming of a road, a road segment, or a bridge; or
(b) The inclusion of an artist as an honoree on the Country Music Highway on United States Route
23[upon direction by joint resolution of the General Assembly].
(6) The placement of the signs installed as a result of a resolution passed by the General Assembly shall be the
responsibility of the Department of Highways.
(7) (a) A school board or the governing body of a city or county may petition the secretary for the installation
of temporary signage honoring an individual, a group of individuals, or a team.
(b) The secretary shall, within thirty (30) days of receipt of a written request under this subsection, approve
or deny the petition.
(c) Within thirty (30) days of the approval of a petition, the secretary shall direct the placement of honorary
signage under this subsection. The Transportation Cabinet shall be the final arbiter of the location of
signage placement under this subsection. Signage installed under this subsection shall remain in place
for a minimum of one (1) year from the date of its placement.
(d) The petitioning body shall bear all costs of signage and installation under this subsection.
(8) The Transportation Cabinet may adopt administrative regulations to implement the provisions of subsection
(7) of this section, including but not limited to basic standards for design and placement of signs and
establishing a process to allow the petitioning body to reimburse the Transportation Cabinet for the cost of
manufacturing and installing the signs for which a petition has been granted.
(9) The new proposed truck bypass around Mayfield, Kentucky, shall be named the "Dick Castleman Bypass,"
after former State Representative Dick Castleman. ACTS OF THE GENERAL ASSEMBLY 2
(10) The bridge on United States Highway 27 over the Kentucky River near Camp Nelson, between Jessamine and
Garrard Counties, shall be named the "Loyd Murphy Memorial Bridge."
Section 2. KRS 186.240 (Effective until January 1, 2024) is amended to read as follows:
(1) It shall be the duty of the cabinet to carry out the provisions of KRS 186.005 to 186.260, and:
(a) Provide to the clerk in each county access to all forms provided for in KRS 186.005 to 186.260;
(b) Keep a numerical record of all registration numbers issued in the state and also keep a record of motor
or vehicle identification numbers required by KRS 186.160; and
(c) Furnish to each clerk, originally each year upon estimate, and thereafter upon requisition at all times, a
sufficient supply of standard, noncommercial plates and the supplies necessary to provide evidence of
registration for all classes of vehicles required to be registered.
(d) Prescribe a standard plate of practical form and size for police identification purposes that shall
contain:
1. The registration identifier;
2. An indication that Kentucky is the issuing jurisdiction;
3. At the discretion of the cabinet, any combination of the following phrases:
a. "Bluegrass State"; or
b. "United We Stand, Divided We Fall";
4. For standard plates for noncommercial vehicles:[,]
a. The county in which the plate is issued; and
b. At the discretion of the person to whom the vehicle is registered, the phrase "In God We
Trust"; and
5.[4.] For plates for commercial vehicles, the year the license expires and words or information the
Department of Vehicle Regulation may prescribe by administrative regulation, pursuant to KRS
Chapter 13A[; and
5. At the discretion of the cabinet, a state slogan].
(2) License plates issued pursuant to this chapter shall conform to the provisions of subsection (1)(c) and (d) of
this section. The Transportation Cabinet shall provide for the issuance of reflectorized plates for all motor
vehicles, and shall collect a fee, in addition to the fee set out in KRS Chapter 186 and KRS 281.631, of fifty
cents ($0.50). The fifty cents ($0.50) fee to reflectorize license plates shall be used by the cabinet as provided
in subsection (3) of this section.
(3) The reflectorized license plate program fund is established in the state road fund and appropriated on a
continual basis to the cabinet to administer the moneys as provided in this subsection. The fifty cents ($0.50)
fee collected by the cabinet to reflectorize license plates shall be deposited into the program fund and used to
issue reflectorized license plates. If at the end of a fiscal year, money remains in the program fund, it shall be
retained in the fund and shall not revert to the state road fund. The interest and income earned on money in the
program fund shall also be retained in the program fund to carry out the provisions of this subsection. The
Transportation Cabinet shall issue reflectorized license plates under the provisions of this subsection on a
schedule to be determined at the discretion of the cabinet.
(4) Except as directed under subsection (3) of this section, the Transportation Cabinet shall receive all moneys
forwarded by the clerk in each county and turn it over to the State Treasurer for the benefit of the state road
fund.
(5) The Transportation Cabinet shall require an accounting by the clerk in each county for any moneys received
by the clerk[him] under the provisions of this chapter, after the deduction of the clerk's[his] fees under this
chapter, and for all receipts, forms, plates, and insignia consigned to the clerk[him]. The Auditor of Public
Accounts, pursuant to KRS 43.071, shall annually audit each county clerk concerning the clerk's[his]
responsibilities for the collection of various fees and taxes associated with motor vehicles. The secretary of the
Transportation Cabinet, with the advice, consultation, and approval of the Auditor, shall develop and
implement an inventory and accounting system which shall insure that the audits mandated in KRS 43.071 are CHAPTER 129
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performed in accordance with generally accepted auditing standards. The Transportation Cabinet shall pay for
the audits mandated by KRS 43.071.
(6) When applied for under KRS 186.060 or 186.061, motor or vehicle numbers assigned shall be distinctive to
show that they were designated by the cabinet.
Section 3. KRS 186.240 (Effective January 1, 2024) is amended to read as follows:
(1) It shall be the duty of the cabinet to carry out the provisions of KRS 186.005 to 186.260, and:
(a) Provide to the clerk in each county access to all forms provided for in KRS 186.005 to 186.260;
(b) Keep a numerical record of all registration numbers issued in the state and also keep a record of motor
or vehicle identification numbers required by KRS 186.160;
(c) Furnish to each clerk, originally each year upon estimate, and thereafter upon requisition at all times, a
sufficient supply of standard, noncommercial plates and the supplies necessary to provide evidence of
registration for all classes of vehicles required to be registered; and
(d) Prescribe a standard plate of practical form and size for police identification purposes that shall
contain:
1. The registration identifier;
2. An indication that Kentucky is the issuing jurisdiction;
3. At the discretion of the cabinet, any combination of the following phrases:
a. "Bluegrass State"; or
b. "United We Stand, Divided We Fall";
4. For standard plates for noncommercial vehicles:[,]
a. The county in which the plate is issued; and
b. At the discretion of the person to whom the vehicle is registered, the phrase "In God We
Trust"; and
5.[4.] For plates for commercial vehicles, the year the license expires and words or information the
Department of Vehicle Regulation may prescribe by administrative regulation, pursuant to KRS
Chapter 13A[; and
5. At the discretion of the cabinet, a state slogan].
(2) Except as provided in KRS 186A.127, license plates issued pursuant to this chapter shall conform to the
provisions of subsection (1)(c) and (d) of this section. The Transportation Cabinet shall provide for the
issuance of reflectorized plates for all motor vehicles, and shall collect a fee, in addition to the fee set out in
KRS Chapter 186 and KRS 281.631, of fifty cents ($0.50). The fifty cents ($0.50) fee to reflectorize license
plates shall be used by the cabinet as provided in subsection (3) of this section.
(3) The reflectorized license plate program fund is established in the state road fund and appropriated on a
continual basis to the cabinet to administer the moneys as provided in this subsection. The fifty cents ($0.50)
fee collected by the cabinet to reflectorize license plates shall be deposited into the program fund and used to
issue reflectorized license plates. If at the end of a fiscal year, money remains in the program fund, it shall be
retained in the fund and shall not revert to the state road fund. The interest and income earned on money in the
program fund shall also be retained in the program fund to carry out the provisions of this subsection. The
Transportation Cabinet shall issue reflectorized license plates under the provisions of this subsection on a
schedule to be determined at the discretion of the cabinet.
(4) Except as directed under subsection (3) of this section, the Transportation Cabinet shall receive all moneys
forwarded by the clerk in each county and turn it over to the State Treasurer for the benefit of the state road
fund.
(5) The Transportation Cabinet shall require an accounting by the clerk in each county for any moneys received
by him or her under the provisions of this chapter, after the deduction of his or her fees under this chapter, and
for all receipts, forms, plates, and insignia consigned to him or her. The Auditor of Public Accounts, pursuant
to KRS 43.071, shall annually audit each county clerk concerning his or her responsibilities for the collection ACTS OF THE GENERAL ASSEMBLY 4
of various fees and taxes associated with motor vehicles. The secretary of the Transportation Cabinet, with the
advice, consultation, and approval of the Auditor, shall develop and implement an inventory and accounting
system which shall insure that the audits mandated in KRS 43.071 are performed in accordance with generally
accepted auditing standards. The Transportation Cabinet shall pay for the audits mandated by KRS 43.071.
(6) When applied for under KRS 186.060 or 186.061, motor or vehicle numbers assigned shall be distinctive to
show that they were designated by the cabinet.
Section 4. KRS 186A.120 (Effective until January 1, 2024) is amended to read as follows:
(1) Application for a first certificate of registration or title and plate, shall be made by the owner to the county
clerk of the county in which he resides, except that, if a vehicle is purchased from a dealer other than in the
county in which the purchaser for use resides, the purchaser, or the dealer on behalf of the purchaser, may
make application for registration to the county clerk in either the county in which the purchaser resides, or in
the county in which the dealer's principal place of business is located.
(2) (a) When purchaser of a vehicle upon which a lien is to be recorded is a resident of a county other than that
of the dealer, the application for registration or title may be made to the county clerk in either county.
The lien must be recorded in the county of the purchaser's residence.
(b) If vehicle application for registration or title is presented to the county clerk of dealer's location rather
than purchaser's residence, the clerk shall process documents in a manner similar to that of any
application, with the exception that the AVIS system shall be programmed in a manner that the title
shall not be issued from Frankfort until the lien information has been entered by the county clerk of the
purchaser's residence.
(3) (a) A new vehicle, when first registered or titled in this state, shall be registered or titled in the name of the
first owner for use rather than in the name of a dealer who held the vehicle for sale.
(b) Except as otherwise provided in this chapter, a used vehicle not previously registered or titled in this
state shall be registered or titled in the name of the first owner for use rather than in the name of a
dealer who held the vehicle for resale.
(4) If the owner of a vehicle required to be registered or titled in this state does not reside in the Commonwealth,
the vehicle shall be registered or titled with the county clerk of the county in which the vehicle is principally
operated.
(5) The Transportation Cabinet shall not require a member of the Armed Forces who is stationed in the
Commonwealth to obtain a Kentucky operator's license in order to register a motor vehicle in the
Commonwealth.
(6) If the owner of a vehicle is other than an individual and resides in the Commonwealth, the vehicle shall be
registered or titled with the county clerk in either the county in which the owner resides or in the county in
which the vehicle is principally operated.
Section 5. KRS 186A.120 (Effective January 1, 2024) is amended to read as follows:
(1) Except for applications for title using the electronic title application and registration system established under
KRS 186A.017, application for a first certificate of registration or title and plate shall be made by the owner to
the county clerk of the county in which the owner resides, except that, if a vehicle is purchased from a dealer
other than in the county in which the purchaser for use resides, the purchaser, or the dealer on behalf of the
purchaser, may make application for registration to the county clerk in either the county in which the purchaser
resides, or in the county in which the dealer's principal place of business is located.
(2) (a) When purchaser of a vehicle upon which a lien is to be recorded is a resident of a county other than that
of the dealer, the application for registration or title may be made to the county clerk in either county.
The lien must be recorded in the county of the purchaser's residence.
(b) If vehicle application for registration or title is presented to the county clerk of dealer's location rather
than purchaser's residence, the clerk shall process documents in a manner similar to that of any
application, with the exception that the AVIS system shall be programmed in a manner that the title
shall not be issued from Frankfort until the lien information has been entered by the county clerk of the
purchaser's residence.
(3) (a) A new vehicle, when first registered or titled in this state, shall be registered or titled in the name of the
first owner for use rather than in the name of a dealer who held the vehicle for sale. CHAPTER 129
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(b) Except as otherwise provided in this chapter, a used vehicle not previously registered or titled in this
state shall be registered or titled in the name of the first owner for use rather than in the name of a
dealer who held the vehicle for resale.
(4) If the owner of a vehicle required to be registered or titled in this state does not reside in the Commonwealth,
the vehicle shall be registered or titled with the county clerk of the county in which the vehicle is principally
operated.
(5) The Transportation Cabinet shall not require a member of the Armed Forces who is stationed in the
Commonwealth to obtain a Kentucky operator's license in order to register a motor vehicle in the
Commonwealth.
(6) If the owner of a vehicle is other than an individual and resides in the Commonwealth, the vehicle shall be
registered or titled with the county clerk in either the county in which the owner resides or in the county in
which the vehicle is principally operated.
Section 6. KRS 190.070 is amended to read as follows:
(1) It shall be a violation of this section for any manufacturer, distributor, factory branch, or factory representative
licensed under this chapter, either directly or indirectly, to require any new motor vehicle dealer in the
Commonwealth:
(a) To order or accept delivery of any motor vehicle, part or accessory thereof, appliances, equipment, or
any other product not required by law, which shall not have been voluntarily ordered by the new motor
vehicle dealer; except that this section is not intended to modify or supersede any terms or provisions of
the franchise requiring new motor vehicle dealers to market a representative line of those motor
vehicles which the manufacturer or distributor is publicly advertising;[.]
(b) To order or accept delivery of any new motor vehicle with special features, appliances, accessories, or
equipment not included in the list price of the motor vehicle, as publicly advertised by the manufacturer
or distributor;[.]
(c) To order for any person any parts, accessories, equipment, machinery tools, appliance, or any
commodity whatsoever not required in connection with a recall campaign;[.]
(d) To participate monetarily in an advertising campaign or contest, any promotional materials, training
materials, showroom or other display decorations, or materials, at the expense of the dealer, without the
consent of the dealer;[.]
(e) To enter into any agreement with the manufacturer, distributor, factory branch, or factory
representative, or to do any other act prejudicial to the new motor vehicle dealer by threatening to
cancel a franchise or any contractual agreement existing between the dealer and the manufacturer,
distributor, factory branch, or factory representative. Notice in good faith to any dealer of the dealer's
violation of any terms or provisions of the dealer's franchise, or contractual agreement shall not
constitute a violation of this law;[.]
(f) To change the capital structure of the dealership, or the means by or through which the dealer finances
the operation of the dealership, provided that the dealership at all times meets any reasonable capital
standards agreed to by the dealer, excluding any entity engaged primarily in providing financing or
insurance on motor vehicles;[.]
(g) To refrain from participation in the management or investment in, or the acquisition of any other line of
new motor vehicle or related products; provided, however, that this section does not apply unless the
new motor vehicle dealer maintains a reasonable line of credit for each make or line of new motor
vehicles, and that the new motor vehicle dealer remains in substantial compliance with the terms and
conditions of the franchise and with any reasonable facility requirements of the manufacturer, and no
change is made in the principal management of the new motor vehicle dealership;[.]
(h) To change the location of the dealership[,] or[ to], during the course of the agreement, make any
substantial alterations to the same components of the dealership premises:
1. Within ten (10) years of a previously required improvement, alteration, or construction to
those same components; or[,] ACTS OF THE GENERAL ASSEMBLY 6
2. When to do so, would be unreasonable in light of the current economic, political, and social
considerations;[.]
(i) To prospectively assent to a release, assignment, novation, waiver, or estoppel which would relieve any
person from liability to be imposed by this law, or to require any controversy between a dealer and a
manufacturer, distributor, or representative, to be referred to any person other than the duly constituted
courts of the Commonwealth or the United States of America, or to the commissioner, if the referral
would be binding upon the dealer;[.]
(j) To establish or maintain exclusive facilities, personnel, display space, or signage for a new motor
vehicle make or line; or[.]
(k) To expand facilities without making available a sufficient supply of new motor vehicles to support the
expansion in light of the market and economic conditions.
(2) It shall be a violation of this section for any manufacturer, distributor, factory branch, or factory representative,
either directly or indirectly:
(a) To delay, refuse, or fail to deliver motor vehicles, or vehicle parts or accessories in reasonable
quantities relative to the new motor vehicle dealer's facilities and sales potential in the new motor
vehicle dealer's relevant market area, and within a reasonable time, but in any case no more than sixty
(60) days, after receipt of an order from a dealer having a franchise for the retail sale of any new vehicle
sold or distributed by the manufacturer or distributor, any new vehicle, parts, or accessories to new
vehicles as are covered by the franchise, if the vehicle, parts, or accessories are publicly advertised as
being available for delivery or actually being delivered. The delivery to another dealer of a motor
vehicle of the same model and identically[similarly] equipped as the vehicle ordered by a motor vehicle
dealer who has not received delivery thereof, but who had placed his or her written order for the vehicle
prior to the order of the dealer receiving the vehicle, shall be prima facie evidence of a delayed delivery
of, or refusal to deliver, a new motor vehicle to a motor vehicle dealer within sixty (60) days, without
cause. This section is not violated, however, if the failure is caused by acts or causes beyond the control
of the manufacturer, distributor, factory branch, or factory representative;[.]
(b) To refuse to disclose to any new motor vehicle dealer, handling the same line make, the manner and
mode of distribution of that line make within the relevant market areas;[.]
(c) To prevent or attempt to prevent a dealer from receiving fair and reasonable compensation for the value
of the franchised business. There shall not be a transfer or assignment of the dealer's franchise without
the consent of the manufacturer or distributor, which consent shall not be unreasonably withheld;[.]
(d) To receive money, goods, services, or any other benefit from any vendor on account of a transaction
between the dealer and the vendor with whom the dealer does business on the recommendation or
requirement of the manufacturer or distributor, other than for compensation for services rendered,
unless the benefit is promptly accounted for, and transmitted to the dealer, excluding any entity
engaged primarily in providing financing or insurance on motor vehicles;[To obtain money, goods,
service, or any other benefit from any other person with whom the dealer does business, on account of,
or in relation to, the transaction between the dealer and the other person, other than for compensation
for services rendered, unless the benefit is promptly accounted for, and transmitted to, the dealer,
excluding any entity engaged primarily in providing financing or insurance on motor vehicles.]
(e) To increase prices of motor vehicles which the dealer had ordered for private retail customers prior to
the dealer's receipt of the written official price increase notification, a sales contract signed by a private
retail consumer shall constitute evidence of each order, provided that the vehicle is in fact delivered to
the customer. In the event of manufacturer price reductions, the amount of a reduction received by a
dealer shall be passed on to the private retail consumer by the dealer, if the retail price was negotiated
on the basis of the previous higher price to the dealer. Price reductions shall apply to all vehicles in the
dealer's inventory which were subject to the price reduction. Price differences applicable to new model
or series motor vehicles at the time of the introduction of new models or series shall not be considered a
price increase or price decrease. Price changes caused by the following shall not be subject to the
provisions of this section:
1. The addition to a motor vehicle of required or optional equipment pursuant to state or federal
law;
2. Revaluation of the United States dollar, in the case of foreign-make vehicles or components; or CHAPTER 129
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3. Increased transportation charges due to an increase in the rate charged by common carrier or
transporter;[.]
(f) To offer any refunds or other types of inducements to any person for the purchase of new motor
vehicles of a certain line make to be sold to the state or any political subdivision thereof, without
making the same offer, upon written request, to all other dealers in the same line make within the
relevant market area;[.]
(g) To release to any outside party, except under subpoena, any administrative, judicial or arbitration
proceedings, or any business, financial, or personal information which may be, from time to time,
provided by the dealer to the manufacturer, without the express written consent of the dealer;[.]
(h) To deny any dealer the right of free association with any other dealer for any lawful purpose;[.]
(i) To establish or maintain a relationship, on the part of a manufacturer, distributor, factory branch, or
factory representative, where the voting rights exceed a simple majority;[.]
(j) To own, operate, or control any motor vehicle dealership in the Commonwealth; however, this
subsection shall not prohibit:
1. The operation by any manufacturer of a dealership for a temporary period, not to exceed one (1)
year, during the transition from one (1) owner to another;
2. The ownership or control of a dealership by a manufacturer while the dealership is being sold
under a bona fide contract or purchase option to the operator of the dealership; or
3. The ownership, operation, or control of a dealership by a manufacturer if the licensor determines
after a hearing at the request of any party, that there is not a dealer who is independent of the
manufacturer available in the community or trade area to own and operate the franchise in a
manner consistent with the public interest;[.]
(k) To compete without good faith with a new motor vehicle dealer in the same line make, operating under
an agreement or franchise from the aforementioned manufacturer, distributor, factory branch, or factory
representative in the relevant market area. A manufacturer, distributor, factory branch, or factory
representative shall not, however, be deemed to be competing when operating a dealership, either
temporarily for a reasonable period, not to exceed one (1) year, or in a bona fide retail operation which
is for sale to any qualified independent person at a fair and reasonable price, or in a bona fide
relationship in which an independent person has made a significant investment, subject to loss in the
dealership, and can reasonably expect to acquire full ownership of such dealership on reasonable terms
and conditions;[.]
(l) To offer to sell or to sell, directly or indirectly, at retail, any new motor vehicle to a consumer in the
Commonwealth, except through a new motor vehicle dealer holding a franchise for the line make
covering the new motor vehicle. The prohibition in this paragraph shall not apply to manufacturer or
franchisor sales of new motor vehicles to the federal government, charitable organizations, or fleet
customers, but shall apply to any sale of a new motor vehicle to employees of the manufacturer or
franchisor;
(m) To fail to assign any retail vehicle reservation, request to purchase, or lease received by the
manufacturer from a resident of the Commonwealth to the franchised dealer designated by the
customer or, if no designation is made, to the franchised dealer in the closest proximity to the
consumer, and for which the franchised dealer is otherwise in compliance with the franchise
agreement and authorized to sell the make and model based on applicable standards and
requirements that include but are not limited to any facility, technology, or training requirements
necessary to sell or service the vehicle, so long as the standards and requirements are compliant with
the applicable laws and regulations. Nothing in this paragraph shall require a manufacturer or
distributer to allocate or supply additional or supplemental inventory to a franchised dealer located
in the Commonwealth in order to satisfy a retail consumer's reservation or request;
(n)[(l)] To unfairly discriminate among its new motor vehicle dealers with respect to warranty
reimbursement or authority granted its new motor vehicle dealers to make warranty adjustment with
retail customers;[.] ACTS OF THE GENERAL ASSEMBLY 8
(o)[(m)] To fail to give consent to the sale, transfer, or exchange of the franchise to a qualified buyer
capable of being licensed as a new motor vehicle dealer in this state; provided that consent may be
withheld when in light of other circumstances, granting the consent would be unreasonable; or[.]
(p)[(n)] To fail to be licensed as provided in this chapter, and to maintain a bond in an amount as
determined by this chapter.
(3) It shall be unlawful for a manufacturer, either directly or indirectly, or in combination with or through any
subsidiary or affiliated entity, to discriminate in favor of one (1) dealer against another dealer holding a
franchise for the same line make of motor vehicle by furnishing to only one (1) dealer any of the following:
(a) Any vehicle, part, or other product that is not available to each dealer at the same price, including
discounts, rebates, incentives, or other payments or allowances affecting the net price of the product;
(b) Any vehicle, part, or other product that is not made available to each dealer in quantities proportionate
to the demand for the vehicle, part, or other product;
(c) Any vehicle, part, or other product that is not made available to each dealer on comparable delivery
terms, including time of delivery after placement of an order;
(d) Any promotional or advertising payment or allowance that is not made available to each dealer on
proportionally equal terms;
(e) Any opportunity to purchase or lease from the manufacturer the dealer's facility that is not made
available to each dealer on terms proportionate to the respective values of its facilities;
(f) Any personnel training that is not made available to each dealer on proportionally equal terms;
(g) Any inventory or other financing that is not made available to each dealer on proportionally equal
terms, except that a manufacturer, subsidiary, or affiliated entity shall not be obligated to make
available financing to a dealer who does not meet reasonable credit standards uniformly applied by the
manufacturer, subsidiary, or affiliated entity;
(h) Any opportunity to perform work for which the dealer is entitled to be compensated under this chapter
that is not made available to each dealer under uniformly applied standards;
(i) Any opportunity to sell products or services distributed by the manufacturer for resale in connection
with the line make of the motor vehicle covered by the franchise that is not made available to each
dealer on proportionally equal terms;
(j) Any opportunity to establish an additional sales, service, or parts outlet that is not made available to
each dealer in whose relevant market area the sales, service, or parts outlet will be located;
(k) Any information concerning the manufacturer's products, prices or other terms of sale, or promotional
programs that is not contemporaneously furnished to the dealer;
(l) Any improvement to, or payment to the dealer for an improvement to, the dealer's facilities that is not
made available to each dealer on proportionally equal terms;
(m) Any opportunity to sell or assign retail installment contracts or consumer leases to the manufacturer or
the manufacturer's sales finance company subsidiary that is not made available to each dealer on
proportionally equal terms, except that a manufacturer or sales finance company shall not be obligated
to purchase any retail installment contract or consumer lease that does not meet reasonable credit terms
uniformly applied by the manufacturer or sales finance company subsidiary;
(n) Any product assistance, service, or facility in connection with the franchise that is not made available to
each dealer on proportionally equal terms; or
(o) Any payment for any service or facility in connection with the franchise that is not made available to
each dealer on proportionally equal terms.
(4) It shall not be a defense to an alleged violation of subsection (3) of this section, that an item or opportunity was
offered to a dealer if the offer was conditioned upon the dealer meeting one (1) or more requirements that are
not reasonable and necessary to fulfill the dealer's obligations under the franchise. The manufacturer shall have
the burden of proving that any requirement upon which an offer was conditioned was reasonable and necessary
to fulfill the dealer's obligations under the franchise when the offer was made. A requirement shall not be
found to be reasonable and necessary to fulfill the dealer's obligations under the franchise if the manufacturer CHAPTER 129
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cannot prove that it was within the control of each dealer to meet the requirement imposed on the dealer as a
condition of the offer.
(5) A dealer who alleges a good faith belief that the dealer has been, or is being, discriminated against in violation
of subsection (3) of this section, may demand in writing that the manufacturer furnish the dealer with pertinent
information reasonably necessary for the dealer to determine if discrimination exists. If the manufacturer fails
to furnish the dealer with the information demanded within thirty (30) days of the manufacturer's receipt of the
dealer's written demand, the manufacturer shall have, in any subsequent legal proceeding, the burden of
proving that the alleged violation has not occurred.
(6) Any dealer who is discriminated against by a manufacturer in violation of subsection (3) of this section shall
recover three (3) times an amount equal to the value of what the dealer would have received if the
manufacturer had complied with subsection (3) of this section upon furnishing any item or opportunity to
another dealer.
(7) A change in ownership of a manufacturer or distributor that contemplates a continuation of that line make in
the state shall not directly or indirectly, through actions of any parent of the manufacturer or distributor,
subsidiary of the manufacturer or distributor, or common entity cause a termination, cancellation, or
nonrenewal of a dealer agreement by a present or previous manufacturer or distributor of an existing
agreement unless the manufacturer or distributor offers the new vehicle dealer an agreement substantially
similar to that offered to other dealers of the same line make.
Section 7. Whereas recent communications to Kentucky automobile dealers have caused confusion over
the ability of members of the Armed Forces stationed in Kentucky to register a motor vehicle in the Commonwealth,
an emergency is declared to exist, and Section 4 of this Act takes effect upon its passage and approval by the
Governor or upon its otherwise becoming a law.
Became law without Governor's signature March 29, 2023.