Oklahoma 2025 2025 Regular Session

Oklahoma Senate Bill SB604 Introduced / Bill

Filed 01/14/2025

                     
 
 
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STATE OF OKLAHOMA 
 
1st Session of the 60th Legislature (2025) 
 
SENATE BILL 604 	By: Gollihare 
 
 
 
 
 
AS INTRODUCED 
 
An Act relating to motor vehicle dealers; amending 
Section 1, Chapter 29, O.S.L. 2023 (47 O.S. Supp. 
2024, Section 564.3), which relat es to dealer 
management system providers; clarifying parameters of 
certain data security standards ; and providing an 
effective date. 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY     Section 1 , Chapter 29, O.S.L. 2023 
(47 O.S. Supp. 2024, Section 564.3), is amended to r ead as follows: 
Section 564.3. A.  As used in this section: 
1.  “Access fee” means a requirement to pay money for access to 
protected dealer data; 
2.  “Authorized integrator ” means a person who a dealer has a 
contractual relationship with or the dealer otherwise gives express 
written authorization to have access to protected dealer data stored 
on a dealer data system or to write protected dealer data to the 
dealer data system for the purpose of performing a specific function 
for the dealer;   
 
 
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3.  “Dealer data system” means software, hardware, or firmware 
that a dealer leases or rents from a dealer management system 
provider for the purpose of storing protected dealer data; 
4.  “Dealer management system provider ” means a person who, for 
compensation, maintains and provides access to a dealer data system 
in which a dealer stores protected dealer data; 
5.  “Protected dealer data ” means: 
a. consumer data that a dealer generated or that t he 
consumer provided to the dealer that is not otherwise 
publicly available an d the consumer has not otherwise 
provided consent or acknowledgment to share the 
information, and 
b. any other dealer data in connection with the dealer ’s 
daily business operatio ns in which a dealer has rights 
in a dealer data system; and 
6.  Authorized integrator and dealer management system provider 
do not include: 
a. a manufacturer, distributor, importer, or any entity 
that is a subsidiary or affiliate of, or acts on 
behalf of, a manufacturer, distributor, or importer, 
or 
b. a governmental body or other person that is acting in 
accordance with federal, state, or local law, or a 
valid court order.   
 
 
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B.  A dealer management system provider may: 
1.  Condition access and ability of a dealer or authorized 
integrator to receive, share, copy, use, write, or transmit 
protected dealer data from or to a dealer data system on the 
dealer’s or authorized integrator ’s compliance with commercially 
reasonable data security standards; 
2.  Require an authorized integrator to have express written 
authorization from a dealer be fore allowing the authorized 
integrator to gain access to, receive, share, copy, use, or transmit 
protected dealer data; and 
3.  Deny access to a dealer data system to a dealer i f the 
dealer fails to pay an amount due to the dealer management system 
provider under a lease, contract, or other agreement concerning the 
dealer’s access to or use of the dealer data system. 
C.  Except as provided in subsection B of this section, a deale r 
management system provider shall not take any action that would 
limit or prohibit the ability of a dealer or an authorized 
integrator to receive, protect, store, copy, share, or use protected 
dealer data using means that include, but are not limited to: 
1.  Imposing an access fee on a dealer or authorized integrator; 
and 
2.  Restricting a dealer or an authorized integrator from 
sharing protected dealer data or writing data or having access to a   
 
 
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dealer data system.  Prohibited restrictions pursuant to this 
paragraph include, but are not limited to: 
a. limits on the scope or nature o f protected dealer data 
to which a dealer or authorized integrator has access 
or may share or write to a dealer data system, and 
b. a requirement for a dealer or authorized integ rator to 
provide sensitive or confidential business information 
or information that a dealer or authorized integrator 
uses for competitive purposes in return for access to 
protected dealer data or an authorization to share or 
write protected dealer data to a dealer data system. 
D.  Except as otherwise provided in this section, any t erm or 
condition of a contract with a dealer management system provider 
that conflicts with the requirements set forth in subsection C of 
this section is void and unenforceable t o the extent of the 
conflict. 
E.  An authorized integrator shall: 
1.  Obtain express written authorization from a dealer before 
gaining access to, receiving, sharing, copying, using, writing, or 
transmitting protected dealer data; 
2.  Comply with security standards in gaining access to, 
receiving, sharing, copying, using, writing, o r transmitting 
protected dealer data; and   
 
 
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3.  Allow a dealer to withdraw, revoke, or amend any express 
written authorization the dealer provides under paragraph 1 of this 
subsection: 
a. at the sole discretion of the dealer, if the dealer 
gives a thirty-day prior notice to an authorized 
integrator, or 
b. immediately, for good cause. 
F.  1.  This section does not prevent a dealer, a dealer 
management system provider, or an authorize d integrator from 
discharging the obligations of a dealer, dealer management s ystem 
provider, or of an authorized integrator under federal, state, or 
local law to secure and prevent unauthorized access to protected 
dealer data, or from limiting the scope o f the obligations, in 
accordance with federal, state, or local law. 
2.  A dealer management system provider is not liable for any 
action that a dealer takes directly with respect to securing or 
preventing unauthorized access to protected dealer data, or fo r 
actions that an authorized integrator takes in appropriately 
following the written instructions of the dealer for securing or 
preventing unauthorized access to protected dealer data, to the 
extent that the actions prevent the dealer management system 
provider from meeting a legal obligation to secure or prevent 
unauthorized access to protected dealer data.   
 
 
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3.  A dealer is not liable for any action that an authorized 
integrator takes directly with respect to securing or preventing 
unauthorized access to pr otected dealer data, or for actions that 
the authorized integrator takes in ap propriately following the 
written instructions of the dealer for securing or preventing 
unauthorized access to protected dealer data, to the extent that the 
actions prevent the d ealer from meeting a legal obligation to secure 
or prevent unauthorized access to protected dealer data. 
4.  An authorized integrator is not liable for any action that a 
dealer takes directly with respect to securing or preventing 
unauthorized access to pr otected dealer data, or for actions that 
the dealer takes in appropriately fol lowing the written instructions 
of the authorized integrator for securing or preventing unauthorized 
access to protected dealer data, to the extent that the actions 
prevent the authorized integrator from meeting a legal obligation to 
secure or prevent unauthorized access to protected dealer data. 
5.  A manufacturer, distributor, importer, or any entity that is 
a subsidiary or affiliate of, or acts on behalf of, a manufacturer, 
distributor, or importer is not liable for any action that a dealer, 
dealer management system provider, authorized integrator, or other 
third party, except for a third party who the manufacturer has 
provided the data to as provided for in paragraph 7 of this 
subsection, takes directly with respect to securing or preventing 
unauthorized access to protected dealer data or for actions that an   
 
 
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authorized integrator, dealer management system provider, or other 
third party takes in appropriately following the writte n 
instructions of the dealer for securing or preventing unauthorized 
access to protected dealer data. 
6.  Notwithstanding any other agreement, an authorized 
integrator shall indemnify and hold the new motor vehicle dealer 
harmless from any third -party claims asserted against or damages 
incurred by the new motor vehicle dealer to the extent caused by 
access to, use of, or disclosure of consumer data in violation of 
this section. 
7.  Notwithstanding any other agreement, a manufacturer, 
distributor, importer, or any entity that is a subsidiary or 
affiliate of, or acts on behalf of, a ma nufacturer, distributor, or 
importer shall indemnify the dealer for any third -party claims 
asserted against or damages incurred by the dealer to the extent the 
claims or damages are caused by the access to and unlawful 
disclosure of protected dealer data resulting from a breach caused 
by the manufacturer or distributor or a third party to which the 
manufacturer or distributor has provided the protected dealer data 
in violation of this section, the written consent granted by the 
dealer, or other applicable s tate or federal law. 
SECTION 2.  This act shall become effective November 1, 2025. 
 
60-1-776 CAD 1/14/2025 10:46:21 AM