RDCSB318 2073 3964
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DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Gary Smith SB No. 318
Present law provides that it is a violation of law for a manufacturer, a distributor, a
wholesaler, distributor branch, factory branch, converter or officer, agent, or other
representative thereof to operate a satellite warranty and repair center, to authorize a person
to perform warranty repairs who is not a motor vehicle dealer, or to authorize a motor
vehicle dealer to operate a satellite warranty and repair center within the community or
territory of a same-line or make motor vehicle dealer. Present law makes an exemption for
recreational product manufacturer.
Proposed law retains present law and adds two exemptions as follows:
(1)Emergency service of a vehicle.
(2)A fleet owner or governmental entity that is authorized to perform warranty repairs
on vehicles with a gross vehicle weight rating of 12,000 pounds or more, vehicles
designed for the movement of property, freight, or goods in intrastate or interstate
commerce, and vehicles designed for use in utility installation, maintenance, and
repair owned or leased by a fleet owner or governmental entity as defined in
proposed law.
Proposed law provides the dealer that sold vehicles with a gross vehicle weight rating of
12,000 pounds or more, vehicles designed for the movement of property, freight, or goods
in intrastate or interstate commerce, and vehicles designed for use in utility installation,
maintenance, to the fleet owner or governmental entity may and a manufacturer that
authorized the fleet owner or governmental entity to perform warranty repairs on the
vehicles with a gross vehicle weight rating of 12,000 pounds or more, vehicles designed for
the movement of property, freight, or goods in intrastate or interstate commerce, and
vehicles designed for use in utility installation, and maintenance, shall give notification of
the authorization to the dealer located in the same community or territory where the fleet
owner or governmental entity intends to perform the authorized warranty repairs. The
notification shall include the type of warranty repairs authorized by the manufacturer.
Proposed law provides that a fleet owner or governmental entity performing warranty repairs
to vehicles with a gross vehicle weight rating of 12,000 pounds or more, vehicles designed
for the movement of property, freight, or goods in intrastate or interstate commerce, and
vehicles designed for use in utility installation, maintenance, owned or leased by the fleet
owner or governmental entity shall meet the same requirements for special tools, equipment,
and technician certification that are required of a franchise dealer that is authorized to make
the same warranty repairs on the same makes and models of vehicles being repaired by a
fleet owner or governmental entity.
Proposed law provides that a fleet owner or governmental entity authorized to perform
warranty repairs to vehicles with a gross vehicle weight rating of 12,000 pounds or more,
vehicles designed for the movement of property, freight, or goods in intrastate or interstate
commerce, and vehicles designed for use in utility installation, maintenance, owned or
leased by the fleet owner or governmental entity shall not make repairs to the internal drive
train or the after-treatment exhaust system of such vehicles.
Proposed law defines "fleet owner or governmental entity" for purposes of proposed law to
mean a person who or unit of government that owns or leases for its own use or a renting or
leasing company that rents to a third party ten or more vehicles with a gross vehicle weight
rating of 12,000 pounds or more, vehicles designed for the movement of property, freight,
or goods in intrastate or interstate commerce, and vehicles designed for use in utility
installation, maintenance. RDCSB318 2073 3964
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Effective August 1, 2014.
(Amends R.S. 32:1261(A)(1)(t))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Commerce, Consumer
Protection, and International Affairs to the original bill
1. Changes the exemption for vehicles from emergency service of motor
vehicles with certain characteristics to emergency service of a vehicle.
2. Requires notification by the selling dealer or the fleet owner or governmental
entity to do so and the program information by manufacturer shall be given
to such dealer located in the same community or territory of the fleet owner
or governmental entity.
3. Removes the provision that requires warranty repairs to meet the same
requirements for facilities as are required for a franchise dealer.
4. Adds that warranty repairs shall meet the same requirements for special tools
and equipment required for the makes and models being repaired as are
required for a franchise dealer.
5. Limits the types of repairs that can be made on vehicles owned or leased by
a fleet owner or governmental entity.
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Commerce to the engrossed
bill.
1. Added vehicles designed for the movement of property, freight, or goods in
intrastate or interstate commerce and vehicles designed for use in utility
installation, maintenance, and repair to the exemption provided for fleet owners
or governmental entities.
2. Removed that notification by the selling dealer or the fleet owner or
governmental entity to do so and the program information by manufacturer shall
be given to such dealer located in the same community or territory of the fleet
owner or governmental entity.
3. Provided that a fleet owner or governmental entity performing warranty repairs
to vehicles with a gross vehicle weight rating of 12,000 pounds or more, vehicles
designed for the movement of property, freight, or goods in intrastate or
interstate commerce, and vehicles designed for use in utility installation,
maintenance, owned or leased by the fleet owner or governmental entity shall
meet the same requirements for special tools, equipment, and technician
certification that are required of a franchise dealer that is authorized to make the
same warranty repairs on the same makes and models of vehicles being repaired
by a fleet owner or governmental entity.
4. Provided that a fleet owner or governmental entity authorized to perform
warranty repairs to vehicles with a gross vehicle weight rating of 12,000 pounds
or more, vehicles designed for the movement of property, freight, or goods in
intrastate or interstate commerce, and vehicles designed for use in utility
installation, maintenance, owned or leased by the fleet owner or governmental
entity shall not make repairs to the internal drive train or the after-treatment
exhaust system of such vehicles.
5. Changed the definition of "fleet owner or governmental entity" for purposes of
proposed law to mean a person or unit of government that owns or leases for its RDCSB318 2073 3964
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own use or a renting or leasing company that rents to a third party 10 or more
vehicles designed for the movement of property, freight, or goods in intrastate
or interstate commerce and vehicles designed for use in utility installation,
maintenance.
6. Rephrased the requirement in proposed law that would require a fleet owner or
governmental entity performing warranty repairs to meet the same requirements
for special tools, equipment, and technician certification that are required of a
franchise dealer that is authorized to make the same warranty repairs on the same
makes and models of vehicles being repaired by a fleet owner or governmental
entity.