RDCSB243 3405 3366
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)]
DIGEST
SB 243 Reengrossed 2015 Regular Session John Smith
Present law provides that it shall be 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. The provisions of present law do not
apply to recreational product manufacturers.
Proposed law provides that a manufacturer can authorize a fleet owner and an emergency
services company or emergency services related company to perform warranty repairs,
including emergency repairs.
Proposed law defines a "fleet owner" as a person, including a governmental entity, who is
approved and authorized by a manufacturer to perform warranty repairs and owns or leases
vehicles for its own use or a renting or leasing company that rents or leases vehicles to a
third party.
Proposed law defines "emergency services company or emergency services related
company" as a person who operates any vehicle designated and authorized to respond to an
emergency. An emergency vehicle includes but is not limited to police and security
vehicles, fire and rescue vehicles, medical vehicles, and civil emergency vehicles, including
public utility crews dealing with gas, electricity, or water or to repair defective equipment
on a scene.
Proposed law provides that the manufacturer may authorize a fleet owner to perform
warranty repairs if the manufacturer determines that the fleet owner has the same basic level
of requirements for special tools, technician certification, and training that are required of
a franchise dealer, but only those as determined by the manufacturer, in its sole discretion,
that are necessary to perform the specified limited type of warranty repairs on the makes and
models of motor vehicles for which the fleet owner is authorized to perform warranty
repairs.
Proposed law provides that a manufacturer that authorizes a fleet owner to perform warranty
repairs shall give notification of the authorization to the dealer located in the same area of
responsibility where the fleet owner intends to perform the authorized warranty repairs.
Proposed law exempts manufacturers who authorize fleet owners whose commercial
vehicles are used for the movement of property, freight, or goods in intrastate or interstate
commerce from the requirements in proposed law relative to requisite tools, certifications,
training, and notification.
Proposed law provides that the La. Motor Vehicle Commission ("commission") has no
authority over a fleet owner or an emergency services company or emergency services
related company with respect to the requirements of proposed law.
Proposed law provides that a repair facility of a fleet owner shall not be deemed a satellite
warranty and repair center and shall not be required to be licensed by the commission.
Effective August 1, 2015
(Amends R.S. 32:1261(A)(1)(t))
Page 1 of 2 RDCSB243 3405 3366
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Commerce, Consumer
Protection, and International Affairs to the original bill
1. Defines emergency services company or emergency services related
company.
2. Exempts manufacturers who authorize a fleet owner whose commercial
vehicles are used in intrastate or interstate commerce from the requirements
regarding tools, certifications, training, and notification.
3. Provides that the La. Motor Vehicle Commission shall have no authority over
a fleet owner or an emergency services related company.
4. Exempts a repair facility of a fleet owner from licensure by the La. Motor
Vehicle Commission.
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Commerce to the
reengrossed bill:
1. Make technical changes.
Page 2 of 2