(Reprinted with amendments adopted on April 11, 2003)

                                                                                    FIRST REPRINT                                                              S.B. 355

 

Senate Bill No. 355–Committee on Transportation

 

March 17, 2003

____________

 

Referred to Committee on Transportation

 

SUMMARY—Extends coverage of provisions relating to franchises for motor vehicles to include certain recreational vehicles. (BDR 43‑1238)

 

FISCAL NOTE:  Effect on Local Government: Yes.

                           Effect on the State: Yes.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to recreational vehicles; extending under certain circumstances the coverage of provisions relating to franchises for motor vehicles to include recreational vehicles designed to be mounted upon or drawn by a motor vehicle; revising the provision regarding the compensation owed to a dealer upon the termination or discontinuance of a franchise; providing a penalty; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1.  Chapter 482 of NRS is hereby amended by adding

1-2  thereto the provisions set forth as sections 2 and 3 of this act.

1-3  Sec. 2.  “Distributor” means a person, other than a

1-4  manufacturer, who is engaged in the business of selling new

1-5  vehicles to dealers.

1-6  Sec. 3.  “Vehicle” means a motor vehicle or a recreational

1-7  vehicle. The term includes a recreational vehicle designed to be

1-8  mounted upon or drawn by a motor vehicle.

1-9  Sec. 4.  NRS 482.028 is hereby amended to read as follows:

1-10      482.028  [“Distributor”] Except as otherwise provided in

1-11  section 2 of this act, “distributor” means a person, other than a

1-12  manufacturer, who is engaged in the business of selling new motor

1-13  vehicles to dealers.


2-1  Sec. 5.  NRS 482.043 is hereby amended to read as follows:

2-2  482.043  “Franchise” means a written agreement between a

2-3  manufacturer or distributor and a dealer by which:

2-4  1.  A commercial relationship of definite duration or continuing

2-5  indefinite duration is established.

2-6  2.  The dealer is granted the right to offer and sell at retail new

2-7  [motor] vehicles, other than mopeds, farm tractors or special mobile

2-8  equipment.

2-9  3.  The dealer constitutes a component of a distribution system

2-10  for new [motor] vehicles.

2-11      4.  The operation of the dealer’s business is substantially

2-12  associated with the trademark, trade name, advertising or other

2-13  commercial symbol designating a manufacturer or distributor.

2-14      5.  The operation of a portion of the dealer’s business is

2-15  substantially reliant on the manufacturer or distributor for a

2-16  continued supply of new [motor] vehicles, parts and accessories.

2-17      Sec. 5.5. NRS 482.076 is hereby amended to read as follows:

2-18      482.076  [Except as otherwise provided in NRS 482.363521,

2-19  “new] “New vehicle” means a vehicle that:

2-20      1.  Has never been registered with the Department and has

2-21  never been registered with the appropriate agency of authority of

2-22  any other state, the District of Columbia, any territory or possession

2-23  of the United States or foreign state, province or country; or

2-24      2.  If it has been so registered and is equipped with an

2-25  odometer, registers 2,500 miles or less on the odometer.

2-26      Sec. 6.  NRS 482.135 is hereby amended to read as follows:

2-27      482.135  1.  [“Vehicle”] Except as otherwise provided in

2-28  section 3 of this act, “vehicle” means every device in, upon or by

2-29  which any person or property is or may be transported or drawn

2-30  upon a public highway, excepting devices moved by human power

2-31  or used exclusively upon stationary rails or tracks.

2-32      2.  The term does not include mobile homes or commercial

2-33  coaches as defined in chapter 489 of NRS.

2-34      Sec. 7.  NRS 482.36311 is hereby amended to read as follows:

2-35      482.36311  As used in NRS 482.36311 to 482.36425, inclusive,

2-36  and sections 2 and 3 of this act, unless the context otherwise

2-37  requires, the words and terms defined in NRS 482.36319 to

2-38  482.36345, inclusive, and section 2 and 3 of this act have the

2-39  meanings ascribed to them in those sections.

2-40      Sec. 8.  NRS 482.36319 is hereby amended to read as follows:

2-41      482.36319  “Distributor branch” means a branch office

2-42  maintained by a distributor for the sale of new [motor] vehicles to

2-43  dealers or which is maintained for directing and supervising

2-44  distributor branch representatives.

 


3-1  Sec. 9.  NRS 482.3632 is hereby amended to read as follows:

3-2  482.3632  “Factory branch” means a branch office maintained

3-3  by a manufacturer for the sale of new [motor] vehicles to

3-4  distributors or dealers or which is maintained for directing and

3-5  supervising manufacturers’ representatives.

3-6  Sec. 10.  NRS 482.36345 is hereby amended to read as

3-7  follows:

3-8  482.36345  “Representative” means any person regularly

3-9  employed by a manufacturer or distributor for the purpose of

3-10  negotiating or promoting the sale of the manufacturer’s or

3-11  distributor’s new [motor] vehicles to dealers or for regularly

3-12  supervising or communicating with dealers or prospective dealers in

3-13  this state for any purpose.

3-14      Sec. 11.  NRS 482.363521 is hereby amended to read as

3-15  follows:

3-16      482.363521  1.  Upon the termination or refusal to continue a

3-17  franchise, the manufacturer or distributor shall compensate the

3-18  dealer for:

3-19      (a) The dealer’s inventory of new vehicles, including new

3-20  vehicles not of the current model year. [As used in this paragraph, a

3-21  “new vehicle” is one which has not been damaged or materially

3-22  altered and registers 50 miles or less on its odometer.]

3-23      (b) The dealer’s inventory of parts and accessories which:

3-24          (1) Have been purchased by the dealer from the manufacturer

3-25  or distributor; and

3-26          (2) Are listed in a current parts catalog of the manufacturer

3-27  or distributor.

3-28      (c) Any special tools purchased by the dealer from the

3-29  manufacturer or distributor, less a reasonable allowance for

3-30  depreciation.

3-31      (d) Any equipment, furnishings or signs purchased by the dealer

3-32  from the manufacturer or distributor, less a reasonable allowance for

3-33  depreciation.

3-34      (e) Except as otherwise provided in subsection 4, the fair rental

3-35  value for 90 days, and any additional period allowed by the Director

3-36  after considering the difficulty of finding a new tenant for the

3-37  dealer’s premises affected, after the effective date of the termination

3-38  or refusal to continue of the portion of the dealer’s place of business

3-39  that was used by the dealer to sell or service [motor] vehicles or

3-40  other products of the manufacturer or distributor.

3-41      2.  Compensation paid pursuant to paragraphs (a) to (d),

3-42  inclusive, of subsection 1 must be paid in an amount at least equal to

3-43  the greater of:

3-44      (a) The amount actually paid by the dealer for the vehicles,

3-45  parts, tools and equipment; or


4-1  (b) The amount currently paid by other dealers in this state for

4-2  the vehicles, parts, tools and equipment.

4-3  3.  If compensation is paid pursuant to paragraph (e) of

4-4  subsection 1, the dealer shall allow the manufacturer or distributor

4-5  paying the compensation the use and possession of the premises

4-6  affected.

4-7  4.  The manufacturer or distributor is not required to pay

4-8  compensation pursuant to paragraph (e) of subsection 1 if the dealer

4-9  has been convicted of a crime involving fraud in connection with his

4-10  application for or operation of the franchise.

4-11      5.  This section does not relieve a dealer of his obligation to

4-12  mitigate damages resulting from the termination or refusal to

4-13  continue the franchise.

4-14      Sec. 12.  NRS 482.363523 is hereby amended to read as

4-15  follows:

4-16      482.363523  Upon the termination or refusal to continue a

4-17  franchise, the dealer:

4-18      1.  May not require reimbursement by the manufacturer or

4-19  distributor for any parts or services furnished by the dealer, after the

4-20  effective date of the termination or refusal to continue, to customers

4-21  pursuant to any warranties of the manufacturer or distributor;

4-22      2.  Shall deliver to the manufacturer or distributor any invoices

4-23  and money deposited by customers for [motor] vehicles or other

4-24  products of the manufacturer or distributor that were not delivered

4-25  to the customers before the effective date of the termination or

4-26  refusal to continue; and

4-27      3.  Shall furnish the manufacturer or distributor with copies of

4-28  all of his records concerning the servicing of any [motor] vehicle or

4-29  other product of the manufacturer or distributor. The manufacturer

4-30  or distributor shall reimburse the dealer for the reasonable cost of

4-31  compiling and copying the records and delivering the copies.

4-32      Sec. 13.  NRS 482.36358 is hereby amended to read as

4-33  follows:

4-34      482.36358  In determining whether good cause has been

4-35  established for preventing a manufacturer or distributor from

4-36  establishing an additional dealership or relocating an existing

4-37  dealership within the relevant market area of another dealer in the

4-38  same line and make of vehicles, the Director shall consider, without

4-39  limitation:

4-40      1.  The effect of the intended action on the business of selling

4-41  new [motor] vehicles at retail in the relevant market area.

4-42      2.  Whether the establishment of an additional dealership or the

4-43  relocation of an existing dealership for [motor] vehicles of

4-44  the particular line and make would be injurious to the welfare of the

4-45  public.


5-1  3.  Whether the dealers franchised to sell new [motor] vehicles

5-2  of the particular line and make in the relevant market area are

5-3  providing adequate competition, convenient customer service and

5-4  adequate personnel and facilities for sales of the vehicles to persons

5-5  in the area, as well as adequate equipment, spare parts and qualified

5-6  mechanics and other service personnel for repair and maintenance of

5-7  the vehicles.

5-8  4.  Whether the establishment of an additional dealership or the

5-9  relocation of an existing dealership would increase constructive

5-10  competition and therefore be in the public interest.

5-11      5.  Any other fact which the Director regards as relevant to the

5-12  decision required of him.

5-13      Sec. 14.  NRS 482.3638 is hereby amended to read as follows:

5-14      482.3638  It is an unfair act or practice for any manufacturer,

5-15  distributor or factory branch, directly or through any representative,

5-16  to:

5-17      1.  Require a dealer to agree to a release, assignment, novation,

5-18  waiver or estoppel which purports to relieve any person from

5-19  liability imposed by this chapter, or require any controversy

5-20  between a dealer and a manufacturer, distributor or representative to

5-21  be referred to any person or agency except as set forth in this

5-22  chapter if that referral would be binding on the dealer, except that

5-23  this section does not prevent the parties from mutually agreeing to

5-24  arbitration pursuant to law.

5-25      2.  Require a dealer to agree to the jurisdiction, venue or

5-26  tribunal in which a controversy arising under the provisions of the

5-27  franchise agreement may or may not be submitted for resolution, or

5-28  prohibit a dealer from bringing an action in any forum allowed by

5-29  Nevada law.

5-30      3.  Require a dealer to waive a trial by jury in actions involving

5-31  the manufacturer, distributor or factory branch.

5-32      4.  Increase prices of new [motor] vehicles whichthe dealer had

5-33  ordered for private retail consumers before his receipt of the written

5-34  official notification of a price increase. A sales contract signed by a

5-35  retail consumer constitutes evidence of each order. Price changes

5-36  applicable to new [model] models or series [motor] of vehicles at

5-37  the time of the introduction of the new models or series shall not be

5-38  deemed a price increase. Price changes caused by:

5-39      (a) The addition to a [motor] vehicle of equipment formerly

5-40  optional as standard or required equipment pursuant to state or

5-41  federal law;

5-42      (b) Revaluation of the United States dollar in the case of

5-43  foreign-made vehicles; or

5-44      (c) Transportation cost increases,

5-45  are not subject to this subsection.


6-1  5.  Deny the principal owner the opportunity to designate his

6-2  spouse, a member of his family, a qualified manager, or a trust or

6-3  other artificial person controlled by any of them as entitled to

6-4  participate in the ownership of:

6-5  (a) The franchised dealership;

6-6  (b) A successor franchised dealership for 2 years or a longer

6-7  reasonable time after the incapacity of the principal owner; or

6-8  (c) A successor franchised dealership after the death of the

6-9  principal in accordance with NRS 482.36396 to 482.36414,

6-10  inclusive.

6-11      6.  Modify unilaterally, replace, enter into, relocate, terminate

6-12  or refuse to renew a franchise in violation of law.

6-13      7.  Terminate or refuse to approve a transfer of a franchise for a

6-14  dealership, or honor the right of succession set forth in a franchise

6-15  agreement or refuse to approve the transfer of a controlling interest

6-16  in a dealership because the dealer has, before October 1, 1997,

6-17  established an additional franchise to sell or service another line or

6-18  make of new vehicles in the same facility as the existing dealership.

6-19      8.  Prevent a dealer from establishing, on or after October 1,

6-20  1997, an additional franchise to sell or service another line or make

6-21  of new vehicles in the same facility as the existing dealership if the

6-22  dealer:

6-23      (a) Submits a written request for approval of the additional

6-24  franchise to the manufacturer, distributor or factory branch of the

6-25  existing dealership;

6-26      (b) Complies with the reasonable requirements for approval set

6-27  forth in the franchise of the existing dealership; and

6-28      (c) Obtains the approval of the manufacturer, distributor or

6-29  factory branch of the existing dealership.

6-30  The manufacturer, distributor or factory branch shall notify the

6-31  dealer in writing of its decision to approve or deny the request

6-32  within 90 days after receipt of the request. The manufacturer,

6-33  distributor or factory branch shall not unreasonably withhold its

6-34  approval. If the request is denied, the material reasons for the denial

6-35  must be stated. Failure to approve or deny the request, in writing,

6-36  within 90 days has the effect of approval.

6-37      Sec. 15.  NRS 482.36385 is hereby amended to read as

6-38  follows:

6-39      482.36385  It is an unfair act or practice for any manufacturer,

6-40  distributor or factory branch, directly or through any representative,

6-41  to:

6-42      1.  Compete with a dealer. A manufacturer or distributor shall

6-43  not be deemed to be competing when operating a previously

6-44  existing dealership temporarily for a reasonable period, or in a bona

6-45  fide retail operation which is for sale to any qualified person at a fair


7-1  and reasonable price, or in a bona fide relationship in which a

7-2  person has made a significant investment subject to loss in the

7-3  dealership and can reasonably expect to acquire full ownership of

7-4  the dealership on reasonable terms and conditions.

7-5  2.  Discriminate unfairly among its dealers, or fail without good

7-6  cause to comply with franchise agreements, with respect to warranty

7-7  reimbursement or authority granted to its dealers to make warranty

7-8  adjustments with retail customers.

7-9  3.  Fail to compensate a dealer fairly for the work and services

7-10  which he is required to perform in connection with the delivery and

7-11  preparation obligations under any franchise, or fail to compensate a

7-12  dealer fairly for labor, parts and other expenses incurred by him

7-13  under the manufacturer’s warranty agreements. The manufacturer

7-14  shall set forth in writing the respective obligations of a dealer and

7-15  the manufacturer in the preparation of a vehicle for delivery, and as

7-16  between them a dealer’s liability for a defective product is limited to

7-17  his obligation so set forth. Fair compensation includes diagnosis and

7-18  reasonable administrative and clerical costs. The dealer’s

7-19  compensation for parts and labor to satisfy a warranty must not be

7-20  less than the amount of money charged to its various retail

7-21  customers for parts and labor that are not covered by a warranty. If

7-22  parts are supplied by the manufacturer, including exchanged parts

7-23  and assembled components, the dealer is entitled with respect to

7-24  each part to an amount not less than his normal retail markup for the

7-25  part. This subsection does not apply to compensation for any part,

7-26  system, fixture, appliance, furnishing, accessory or feature of a

7-27  motor home or recreational vehicle that is designed, used and

7-28  maintained primarily for nonvehicular, residential purposes.

7-29      4.  Fail to pay all claims made by dealers for compensation for

7-30  delivery and preparation work, transportation claims, special

7-31  campaigns and work to satisfy warranties within 30 days after

7-32  approval, or fail to approve or disapprove such claims within 30

7-33  days after receipt, or disapprove any claim without notice to the

7-34  dealer in writing of the grounds for disapproval. Failure to approve

7-35  or disapprove or to pay within the specified time limits in an

7-36  individual case does not constitute a violation of this section if the

7-37  failure is because of reasons beyond the control of the manufacturer,

7-38  distributor or factory branch.

7-39      5.  Sell a new [motor] vehicle to a person who is not licensed as

7-40  a new [motor] vehicle dealer under the provisions of this chapter.

7-41      6.  Use false, deceptive or misleading advertising or engage in

7-42  deceptive acts in connection with the manufacturer’s or distributor’s

7-43  business.


8-1  7.  Perform an audit to confirm a warranty repair, sales

8-2  incentive or rebate more than 12 months after the date of the

8-3  transaction.

8-4  Sec. 16.  NRS 482.36386 is hereby amended to read as

8-5  follows:

8-6  482.36386  It is an unfair act or practice for a manufacturer or

8-7  distributor to:

8-8  1.  Sell or offer to sell a new [motor] vehicle to a dealer at a

8-9  lower actual price than the actual price offered to another dealer for

8-10  the same model similarly equipped or to use a promotion or other

8-11  device that results in a lower actual price. This subsection does not

8-12  apply to a sale to a governmental unit or to a dealer for resale to a

8-13  governmental unit, or to a sale to a dealer of a vehicle ultimately

8-14  sold, donated or used by the dealer or in a program of driver’s

8-15  education.

8-16      2.  Offer, sell or lease a new [motor] vehicle to any person,

8-17  except a distributor, at a lower actual price than the price offered or

8-18  charged a dealer for the same model similarly equipped, or use any

8-19  device that results in a lower actual price.

8-20      3.  Offer or sell parts or accessories to a dealer for his own use

8-21  in repairing or replacing the same or a comparable part or accessory

8-22  at a lower actual price than the actual price charged to another

8-23  dealer for his own similar use, but a lower price may be charged to a

8-24  dealer who buys as a distributor for resale to retail outlets than is

8-25  charged to a dealer who does not buy for that purpose.

8-26      Sec. 17.  NRS 482.36387 is hereby amended to read as

8-27  follows:

8-28      482.36387  A manufacturer or distributor, or an agent, officer,

8-29  parent, subsidiary or enterprise under common control with a

8-30  manufacturer or distributor shall not own or operate a facility for the

8-31  repair or maintenance of [motor] vehicles except:

8-32      1.  Vehicles owned or operated by the manufacturer, distributor

8-33  or a related person; or

8-34      2.  Service required to comply with a statute or regulation or the

8-35  order of a court.

8-36      Sec. 18.  NRS 482.36388 is hereby amended to read as

8-37  follows:

8-38      482.36388  A manufacturer, importer or distributor shall not:

8-39      1.  Adopt or put into effect a method for the allocation,

8-40  scheduling or delivery of new [motor] vehicles, parts or accessories

8-41  to its dealers that is not fair, reasonable and equitable or change an

8-42  existing method so as to be unfair, unreasonable or inequitable.

8-43  Upon the request of a dealer, a manufacturer, importer or distributor

8-44  shall disclose in writing to the dealer the method by which new


9-1  [motor] vehicles, parts and accessories are allocated, scheduled or

9-2  delivered to its dealers handling the same line or make of vehicles.

9-3  2.  Refuse or fail to deliver, in reasonable quantities and within

9-4  a reasonable time after receipt of an order, to a dealer holding a

9-5  franchise for a line or make of [motor] vehicle sold or distributed by

9-6  the manufacturer, importer or distributor any new vehicle sold under

9-7  the same name, trademark, service mark or brand, or parts or

9-8  accessories for the new vehicle, if the vehicle, parts or accessories

9-9  are being delivered to others or advertised as available for delivery,

9-10  or require a dealer to purchase unreasonable advertising displays or

9-11  other materials, or require a dealer to remodel or renovate his

9-12  existing facilities as a prerequisite to receiving a model or series of

9-13  vehicles. Compliance with this subsection is excused if prevented by

9-14  an act of God, strike or labor dispute, embargo or other cause

9-15  beyond the control of the manufacturer, importer or distributor.

9-16      Sec. 19.  NRS 482.36391 is hereby amended to read as

9-17  follows:

9-18      482.36391  No [motor vehicle] manufacturer, distributor,

9-19  factory branch or representative thereof may induce by means of

9-20  coercion, intimidation or discrimination any dealer to:

9-21      1.  Order or accept delivery of any [motor] vehicle, parts or

9-22  accessories therefor, or any other commodity which was not

9-23  voluntarily ordered by [such] the dealer.

9-24      2.  Order or accept delivery of any [motor] vehicle with special

9-25  features, appliances, accessories or equipment not included in the

9-26  list price of [such] the vehicle as publicly advertised by the

9-27  manufacturer thereof.

9-28      3.  Order from any person any parts, accessories, equipment,

9-29  machinery, tools, appliances or other commodity.

9-30      Sec. 20.  NRS 482.36395 is hereby amended to read as

9-31  follows:

9-32      482.36395  No [motor vehicle] manufacturer, distributor,

9-33  factory branch or representative thereof may:

9-34      1.  Encourage, aid or abet a dealer to sell or lease [motor]

9-35  vehicles through any false, deceptive or misleading sales or

9-36  financing practice.

9-37      2.  Refuse to deliver an order of a dealer within 60 days after

9-38  the order is received in writing unless the inability to deliver the

9-39  order is caused by shortage or curtailment of material, labor,

9-40  production capacity, transportation or utility services, or to any labor

9-41  or production difficulty, or to any cause beyond the reasonable

9-42  control of the [motor vehicle] manufacturer or distributor.

9-43      3.  Coerce, compel or otherwise require any dealer to pay over

9-44  or to repay any amount of money or other consideration which is in

9-45  substantiation of or repayment for any advertising, promotional


10-1  activity or scheme, or method of implementing the sale or lease of

10-2  [motor] vehicles.

10-3      4.  Demand or require, directly or indirectly, a dealer to pay any

10-4  amount of money which is projected or proposed for the

10-5  advertisement, display or promotion of any [motor] vehicle which is

10-6  being sold or leased pursuant to a franchise, unless the dealer has

10-7  agreed thereto in writing.

10-8      5.  Demand or require, directly or indirectly, a dealer to comply

10-9  with standards which exceed commonly accepted business practices

10-10  within the [automotive] vehicle industry relating to sales, leases or

10-11  service of [motor] vehicles.

10-12     6.  Based solely upon the results of a survey of a dealer’s

10-13  customers conducted by or on behalf of a [motor vehicle]

10-14  manufacturer which is intended or otherwise purports to measure the

10-15  performance of a dealer:

10-16     (a) Discriminate, directly or indirectly, against a dealer;

10-17     (b) Take any action to terminate a dealer’s franchise; or

10-18     (c) Refuse to consent to the designation of a successor, refuse to

10-19  honor a right of succession set forth in a franchise or refuse to

10-20  approve the transfer of a controlling interest in a dealership.

10-21  This subsection does not prohibit a [motor vehicle] manufacturer,

10-22  distributor, factory branch or representative thereof from conducting

10-23  a contest or other award program to recognize the performance of a

10-24  dealer based on reasonable criteria relating to sales, leases or service

10-25  of [motor] vehicles.

10-26     Sec. 21.  NRS 482.36423 is hereby amended to read as

10-27  follows:

10-28     482.36423  1.  Whenever it appears that a person has violated ,

10-29  [or] is violating or is threatening to violate any provision of NRS

10-30  482.36311 to 482.36425, inclusive, and sections 2 and 3 of this act,

10-31  any person aggrieved thereby may apply to the district court in the

10-32  county where the defendant resides, or in the county where the

10-33  violation or threat of violation occurs, for injunctive relief to restrain

10-34  the person from continuing the violation or threat of violation.

10-35     2.  In addition to any other judicial relief, any dealer or person

10-36  who assumes the operation of a franchise pursuant to NRS

10-37  482.36396 to 482.36414, inclusive, who is injured in his business or

10-38  property by reason of a violation of NRS 482.36311 to 482.36425,

10-39  inclusive, and sections 2 and 3 of this act may bring an action in

10-40  the district court in which the dealership is located, and may recover

10-41  three times the pecuniary loss sustained by him, and the cost of suit,

10-42  including a reasonable attorney’s fee. The amount of pecuniary loss

10-43  sustained by a dealer, pursuant to subsection 6 of NRS 482.3638, is

10-44  the fair market value of the franchised dealership at the time of


11-1  notification of termination, refusal to continue or unilateral

11-2  modification of a franchise.

11-3      3.  Any artificial person created and existing under the laws of

11-4  any other state, territory, foreign government or the government of

11-5  the United States, or any person residing outside the State, who

11-6  grants a franchise to any dealer in this state may be served with any

11-7  legal process in any action for injunctive relief or civil damages in

11-8  the following manner:

11-9      (a) By delivering a copy of the process to the Director; and

11-10     (b) By mailing to the last known address of the manufacturer or

11-11  distributor, by certified mail, return receipt requested, a copy of the

11-12  summons[,] and a copy of the complaint, together with copies of

11-13  any petition or order for injunctive relief.

11-14     4.  The defendant has 30 days, exclusive of the day of service,

11-15  within which to answer or plead.

11-16     5.  The method of service provided in this section is cumulative

11-17  and may be utilized with, after or independently of all other methods

11-18  of service.

11-19     Sec. 22.  NRS 482.36425 is hereby amended to read as

11-20  follows:

11-21     482.36425  1.  Any manufacturer or distributor who willfully

11-22  violates any provision of NRS 482.36311 to 482.36425, inclusive,

11-23  and sections 2 and 3 of this act is subject to a civil penalty of not

11-24  less than $50 nor more than $1,000 for each day of violation and for

11-25  each act of violation. All civil penalties recovered [shall] must be

11-26  paid to the State of Nevada.

11-27     2.  Whenever it appears that a manufacturer or distributor has

11-28  violated , [or] is violating or is threatening to violate any provision

11-29  of NRS 482.36311 to 482.36425, inclusive, and sections 2 and 3 of

11-30  this act, the Attorney General may institute a civil suit in any district

11-31  court of this state for injunctive relief to restrain the violation or

11-32  threat of violation, or if the violation or threat is willful, for the

11-33  assessment and recovery of the civil penalty, or both.

11-34     Sec. 23.  NRS 482.36331 is hereby repealed.

 

 

 

11-35  TEXT OF REPEALED SECTION

 

 

11-36     482.36331  “Manufacturer” defined. “Manufacturer”

11-37  includes any person who assembles new motor vehicles.

 

11-38  H