Michigan Compiled Laws
Act 118 of 1981 - Motor Vehicle Franchise Act (445.1561 - 445.1583)
Section 445.1564 - Definitions; G to M.

Sec. 4.
(1) "Good faith" means that term as defined in section 1201 of the uniform commercial code, 1962 PA 174, MCL 440.1201.
(2) "Good moral character" means good moral character as defined in and determined under 1974 PA 381, MCL 338.41 to 338.47.
(3) "Line-make" means a collection of models, a series, or a group of motor vehicles manufactured by or for a particular manufacturer, distributor, or importer that are offered for sale, lease, or distribution under a common brand name or mark. All of the following apply to the term "line-make":
(a) Multiple brand names or marks may constitute a single line-make, but only if they are included in a common dealer agreement and the manufacturer, distributor, or importer offers all of the vehicles that bear the multiple names or marks to its authorized dealers together, and not separately.
(b) Motor vehicles that share a common brand name or mark may constitute separate line-makes if those vehicles are of different vehicle types or are intended for different types of use, and either of the following applies:
(i) The manufacturer has expressly defined or covered the subject line-makes of vehicles as separate and distinct line-makes in the applicable dealer agreements.
(ii) The manufacturer has consistently characterized the subject vehicles as constituting separate and distinct line-makes to its dealer network.
(4) "Local market conditions" means certain relevant and material conditions, criteria, data, and facts, beyond the control or influence of a new motor vehicle dealer, that have a material impact on the new motor vehicle dealer's sales performance in the assigned market area in which the new motor vehicle dealer offers vehicles for sale or lease. The term may include, but is not limited to, any of the following:
(a) Demographics in a new motor vehicle dealer's market area.
(b) Geographical and market characteristics in a new motor vehicle dealer's market area.
(c) Local economic circumstances.
(d) The preferences of motor vehicle purchasers or lessees.
(e) Customer drive distance from a new motor vehicle dealer.
(5) "Manufacturer" means a person that manufactures or assembles new motor vehicles or a distributor, factory branch, or factory representative.
(6) "Motor vehicle" means that term as defined in section 33 of the Michigan vehicle code, 1949 PA 300, MCL 257.33, but does not include a bus, a tractor, or farm equipment.
(7) "Motor vehicle service and repair facility" means a motor vehicle repair facility, as defined in section 2 of the motor vehicle service and repair act, 1974 PA 300, MCL 257.1302. The term does not include a motor vehicle dealer performing maintenance, diagnosis, vehicle body work, repairs, or other service or repair work on motor vehicles under the terms of a dealer agreement.
History: 1981, Act 118, Imd. Eff. July 19, 1981 ;-- Am. 2000, Act 240, Imd. Eff. June 28, 2000 ;-- Am. 2010, Act 140, Imd. Eff. Aug. 4, 2010 ;-- Am. 2018, Act 668, Eff. Mar. 28, 2019

Structure Michigan Compiled Laws

Michigan Compiled Laws

Chapter 445 - Trade and Commerce

Act 118 of 1981 - Motor Vehicle Franchise Act (445.1561 - 445.1583)

Section 445.1561 - Short Title; Meanings of Words and Phrases.

Section 445.1562 - Definitions; C, D.

Section 445.1563 - Definitions; D to F.

Section 445.1564 - Definitions; G to M.

Section 445.1565 - Definitions; N to P.

Section 445.1566 - Definitions; R to U.

Section 445.1567 - Cancellation, Termination, Nonrenewal, or Discontinuance of Dealer Agreement; Conditions; Existence of Good Cause; Failure to Comply With Agreement; Notification; Evidence in Writing.

Section 445.1568 - Acts Not Constituting Good Cause for Termination, Cancellation, Nonrenewal, or Discontinuance of Dealer Agreement.

Section 445.1569 - Burden of Proof.

Section 445.1570 - Notice of Termination, Cancellation, Nonrenewal, or Discontinuance of Dealer Agreement.

Section 445.1571 - Compensation of Dealer Generally.

Section 445.1572 - Payment of Compensation; Time; Determination of Amount; Interest; Definitions.

Section 445.1573 - Requiring Dealer to Perform Certain Duties Prohibited; Definitions.

Section 445.1574 - Prohibited Conduct by Manufacturer.

Section 445.1574a - Property Use Agreement Not Required as Condition; Exception; Termination of Agreement Between Manufacturer and New Motor Vehicle Dealer; Effect of Inconsistent Provision; "Property Use Agreement" Defined.

Section 445.1574b - Right of First Refusal; Conditions; Liability; Definitions.

Section 445.1575 - Succession to Dealership by Designated Family Member of Deceased or Incapacitated Dealer or Executive Manager of Dealership; Conditions; Refusal to Honor Existing Dealer Agreement for Good Cause; Personal and Financial Information;...

Section 445.1576 - Establishment or Relocation of Additional Dealer; Notice; Declaratory Judgment Action; Exception; Judicial Determination of Good Cause.

Section 445.1577 - Dealer's Obligations for Preparation, Delivery, and Warranty Service; Written Specifications; Compensating Dealer for Required Warranty Service; Schedule of Compensation; Prohibited Conduct; Claims for Labor and Parts; Payment; App...

Section 445.1577a - Reasonable Compensation for Parts Reimbursement and Labor Rates; Factors.

Section 445.1577b - Compensation to Perform Recall Repairs; Conditions; Application of Section; Prohibited Conduct; Stop-Sale Order; Exclusive Remedy.

Section 445.1578 - Liability for Damage to New Motor Vehicles; Rejection of New Motor Vehicle by Dealer; Credit.

Section 445.1579 - Indemnification of Dealer Against Certain Judgments; Payment of Costs, Fees, and Judgments; Notice.

Section 445.1580 - Action for Damages or Declaratory Judgment; Liability.

Section 445.1581 - Injunctive Relief.

Section 445.1582 - Act Inapplicable to Dealer Outside Michigan.

Section 445.1582a - Existing Agreements and Agreements Entered Into or Renewed After Effective Date.

Section 445.1583 - Repeal of MCL 445.521 to 445.534.