(a) All the following apply if a new recreational vehicle is damaged before transit to the dealer or is damaged in transit to the dealer when the carrier or means of transportation has been selected by the manufacturer or distributor:
(1) The dealer shall notify the manufacturer or distributor of the damage within the time frame specified in the dealer agreement and:
(A) Request authorization from the manufacturer or distributor to replace the components, parts, and accessories damaged or otherwise correct the damage; or
(B) Reject the vehicle within the time frame specified in the dealer agreement;
(2) If the manufacturer or distributor refuses or fails to authorize repair of the damage within ten (10) days after receipt of notification or if the dealer rejects the recreational vehicle because of damage, ownership of the new recreational vehicle reverts to the manufacturer or distributor; and
(3) The dealer shall exercise due care in custody of the damaged recreational vehicle, but the dealer has no other obligations, financial or otherwise, with respect to that recreational vehicle.
(b)
(1) A dealer agreement shall include a time frame for inspection and rejection by the dealer.
(2) The time frame shall not be less than three (3) business days after the physical delivery of the recreational vehicle.
(c) As used in this section, “damaged before transit” and “damaged in transit” do not include inspection or warranty repairs or service.
(d)
(1) A recreational vehicle that has at the time of delivery to the dealer an unreasonable number of miles on its odometer, as determined by the dealer, may be subject to rejection by the dealer and reversion of the vehicle to the manufacturer or distributor.
(2) However, if the number of miles on the odometer of the recreational vehicle is less than the sum of the distance in miles between the dealer and the factory of the manufacturer or point of distribution plus one hundred (100) miles, the dealer shall not consider the number of miles on the odometer unreasonable.
Structure Arkansas Code
Title 23 - Public Utilities and Regulated Industries
Subtitle 4 - Miscellaneous Regulated Industries
Chapter 112 - Arkansas Motor Vehicle Commission Act
Subchapter 10 - Recreational Vehicle Franchise Act
§ 23-112-1002. Legislative findings
§ 23-112-1004. License requirements and application fees
§ 23-112-1005. Application for license
§ 23-112-1008. Display of license — Change of employer — Salesperson
§ 23-112-1009. Expiration of license
§ 23-112-1010. Area of sales responsibility
§ 23-112-1011. Renewal of dealer agreement
§ 23-112-1012. Termination, cancellation, or nonrenewal of dealer agreement
§ 23-112-1013. Repurchase of inventory
§ 23-112-1014. Sale of remaining inventory after termination
§ 23-112-1015. Change of ownership of dealer — Family succession
§ 23-112-1016. Warranty obligation
§ 23-112-1017. Damage to recreational vehicles before arrival at dealership
§ 23-112-1018. Prohibited activity of manufacturer or distributor — Coercion
§ 23-112-1019. License — Denial, revocation, and suspension
§ 23-112-1020. Monetary penalty in lieu of suspension or revocation of license — Civil penalty