Req. No. 2056 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 STATE OF OKLAHOMA 1st Session of the 60th Legislature (2025) COMMITTEE SUBSTITUTE FOR ENGROSSED HOUSE BILL 1789 By: Kerbs of the House and Frix of the Senate COMMITTEE SUBSTITUTE An Act relating to motor vehicles; amending 47 O.S. 2021, Section 596.3, as amended by Section 23, Chapter 29, O.S.L. 2023 (47 O.S. Supp. 2024, Section 596.3), which relates to dealer sales responsibility; disallowing certain activity at private off -premises sales events outside certain area; authorizing certain sales at certain events under certain conditions; detailing conditions for sales activity or display at certain events; authorizing certain activities at certain private events under certain conditions; detailing conditions for certain activities; and providing an effective date . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 47 O.S. 2021, Section 596.3, as amended by Section 23, Chapter 29, O.S.L. 2023 (47 O.S. Supp. 2024, Section 596.3), is amended to read as follows: Section 596.3. A. All of the following conditions shall apply to the area of sales responsibility of a dealer included in a dealer agreement between a manufacturer and a dealer: Req. No. 2056 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. The manufacturer shall designate in the dealer agreement the area of sales responsibility exclusively assigned to the dealer; 2. The manufacturer shall not change the area of sales responsibility of a dealer or establish another dealer for the same line-make in that area during the term of the dealer agreement; and 3. The area of sales responsibility may not be reviewed or changed without the consent of both parties until one (1) year after the execution of the dealer agreement ; and 4. The areas within municipal, county, or state -owned or - controlled facilities or within the grounds of any county, district, or state fair shall be exempt from manufacturer -designated areas of sales responsibility, only for the purposes of sponsored off - premises sales events. B. A dealer promoting its own pr ivate off-premises sales event, wherein that dealer is the sole participating dealer, shall not conduct sales activity or display for sale recreational vehicles outside of its designated manufacturer-designated area of sales responsibility. C. A dealer participating in a sponsored off -premises sales event with other participating dealers may sell off-premises within conduct sales activity or display for sale recreational vehicles inside or outside the area of sales responsibility of the dealer under the following circumstances:. Req. No. 2056 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. At sanctioned recreational vehicle shows where the sales event is held off-premises and at least sixty-seven percent (67%) of the recreational vehicle dealers that are located within a sixty - mile radius of the location of the show p articipate in the show. A sanctioned A sponsored recreational vehicle show may be held only under the following conditions: a. the sponsoring entity of the sales event shall obtain a permit from the Oklahoma New Motor Vehicle Commission at the rate of Two Hundred Dollars ($200.00) per event. The permit shall be for a period not to exceed ten (10) consecutive days, b. dealer permits for a sanctioned sponsored recreational vehicle show described in this paragraph shall be obtained from the Commission at a r ate of Fifteen Dollars ($15.00) for each motor home per sanctioned recreational vehicle at the show, c. new recreational vehicle dealers whose manufacturer - approved area of responsibility includes the event location shall be eligible to participate in the sanctioned recreational vehicle show a dealer participating in a sponsored off -premises sales show shall not be denied a permit on the grounds that the promotion is to be held within the relevant market area of another dealer of the same -line make, Req. No. 2056 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 d. new recreational vehicle dealers shall obtain written approval from the manufacturer or distributor to participate in the sanctioned sponsored recreational vehicle show, and e. the sanctioned sponsored recreational vehicle show shall be conducted within mu nicipal, county, or state - owned or controlled -controlled facilities or within the grounds of any county, district, or state fair; and. 2. At nonsanctioned A private recreational vehicle shows show where only one or more dealers dealer may sell recreational v ehicles off-premises may be held under the following conditions: a. dealer permits for a nonsanctioned private recreational vehicle show described in this paragraph shall be obtained from the Commission at a rate of Fifteen Dollars ($15.00) for each recrea tional vehicle per nonsanctioned recreational vehicle at the show, b. the location of the nonsanctioned private recreational vehicle show shall be within the manufacturer -approved area of responsibility, c. the nonsanctioned private recreational vehicle sh ow shall occur no more than five (5) consecutive days per event, excluding county, district, or state fairs, Req. No. 2056 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 d. each dealer may participate in no more than eight nonsanctioned private recreational vehicle shows per calendar year, and e. nonsanctioned private recreational vehicle shows shall be, if held on privately owned property , shall be no closer than two and one -half (2 1/2) miles to any other nonparticipating recreational vehicle dealer; provided, however, a nonsanctioned private recreational vehicle s how may be held on county or municipally owned property with no mileage barrier restriction, f. a dealer shall obtain written approval from the manufacturer or distributor to participate in a private recreational vehicle show, and g. the sponsoring entity of the private sales event must provide written permission for the dealer to conduct the event on the sponsor ’s property. D. A dealer may display a recreational vehicle within the designated area of responsibility of the dealer for promotional purposes. At an off-premises display event , no sales activities shall be conducted including, but not limited to, negotiations, financing, and accepting credit applications. Sales or finance personnel shall not be permitted to participate at an off -premises Req. No. 2056 Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 display event. A permit for the off -premises display event shall not be required. E. A dealer agreement shall include a designated principal of the dealer. A dealer agreement may identify a family member as the successor of the principal or include a successio n plan of the dealer. A dealer may at any time change a designation or succession plan made in the dealer agreement by providing written notice to the manufacturer. SECTION 2. This act shall become effective November 1, 2025. 60-1-2056 CAD 4/24/2025 12:09:04 PM