(2) Whenever a new motor vehicle is damaged in transit, the dealer shall:
(a) Notify the manufacturer of the damage within three business days from the date of delivery to the dealer or within any additional time as specified in the franchise; and
(b) Request from the manufacturer authorization to replace the components, parts and accessories damaged or to otherwise repair the damage.
(3) If the manufacturer refuses or fails to authorize repair of any damage within 10 days after receipt of notification under subsection (2) of this section, or within any additional time as specified in the franchise, ownership of the new motor vehicle shall revert to the manufacturer, and the new motor vehicle dealer shall have no obligation, financial or otherwise, with respect to the motor vehicle.
(4) A manufacturer shall disclose in writing to a dealer, at the time of delivery of a new motor vehicle, the nature and extent of any and all damage and post-manufacturing repairs.
(5) If the total value of repairs to a new motor vehicle by the manufacturer’s authorized agent and a dealer equals or exceeds the amount specified under subsection (6) of this section, the manufacturer may either repurchase the motor vehicle from the dealer, or provide reasonable and adequate compensation to the dealer to assist in sale or disposition of the new motor vehicle, as long as the dealer has complied with all other contractual agreements with regard to damaged vehicles. If the manufacturer repurchases the motor vehicle, the dealer shall have no obligation, financial or otherwise, with respect to the motor vehicle.
(6) A dealer shall disclose, in writing, to a purchaser of the new motor vehicle prior to entering into a sales contract that the new motor vehicle has been damaged and repaired if the damage to the new motor vehicle exceeds $1,000, as calculated at the rate of the dealer’s authorized warranty rate for labor and parts. Replacement of glass, tires, bumpers or any comparable nonwelded component is not considered damage and repair for purposes of this section. For purposes of this subsection, "comparable nonwelded component" does not include a fender, hood, trunk lid or door. [1989 c.716 §3; 1999 c.660 §4; 2003 c.411 §3; 2009 c.627 §2]
Structure 2021 Oregon Revised Statutes
Volume : 16 - Trade Practices, Labor and Employment
Chapter 650 - Franchise Transactions
Section 650.005 - Definitions for ORS 650.005 to 650.100.
Section 650.015 - When franchise sale or offer for sale is made in this state.
Section 650.055 - General duties and powers of director.
Section 650.057 - Orders issued under ORS 650.055.
Section 650.070 - Director as agent for service of process.
Section 650.075 - Manner of executing service of process; effect of initial service.
Section 650.095 - Civil penalties.
Section 650.120 - Definitions for ORS 650.120 to 650.170.
Section 650.123 - Use of protected dealer data; prohibitions; liabilities.
Section 650.130 - Prohibited conduct by manufacturer, distributor or importer.
Section 650.145 - Compensation due dealer upon termination of franchise.
Section 650.155 - Liability of manufacturer for damages to vehicles before delivery to carrier.
Section 650.165 - Prohibited franchise conditions.
Section 650.170 - Dealer’s remedy.
Section 650.200 - Definitions for ORS 650.200 to 650.250.
Section 650.205 - Prohibited conduct by franchisor.
Section 650.210 - Rights and prohibitions governing relationship between franchisor and franchisee.
Section 650.215 - Prohibited conduct in offer, sale or purchase of franchise.
Section 650.250 - Injunctive relief or damages; limitation on commencement of action; attorney fees.
Section 650.300 - Definitions for ORS 650.300 to 650.480.
Section 650.310 - Good cause; determination.
Section 650.320 - Dealership agreement.
Section 650.330 - Comparable terms and conditions; grantor sales to public.
Section 650.340 - Termination, cancellation or failure to renew; notice; grounds.
Section 650.350 - Dealer’s rights upon termination, cancellation or failure to renew.
Section 650.360 - Coercion prohibited.
Section 650.370 - Transfer by dealer.
Section 650.380 - Dealer’s successor.
Section 650.410 - Dealer’s warranty obligations.
Section 650.420 - Required disclosures.
Section 650.430 - Damaged or defective vehicles.
Section 650.440 - Grantor’s ownership, operation or control of dealership.
Section 650.450 - Indemnification; grantor and dealer.
Section 650.460 - Indemnification; warrantor and dealer.
Section 650.470 - Remedies; grantor and dealer; attorney fees.
Section 650.480 - Remedies; warrantor and dealer; attorney fees.