South Dakota Codified Laws
Chapter 05 - Franchises Of Dealers In Vehicles, Implements And Equipment
Section 37-5-8 - Failure to pay dealer on cancellation of contract--Action by dealer--Applicability of section.

37-5-8. Failure to pay dealer on cancellation of contract--Action by dealer--Applicability of section.
If any manufacturer, wholesaler, or distributor of merchandise or repair parts for the merchandise, or their successors, upon cancellation of a contract by either a dealer or a manufacturer, wholesaler, or distributor, or their successor, fails or refuses to make payment to the dealer as is required by §37-5-5, or refuses to supply merchandise or repair parts for the merchandise to a dealer, the manufacturer, wholesaler, or distributor, or their successor, is liable in a civil action to be brought by the dealer for one hundred percent of the net cost of the merchandise, plus transportation charges which have been paid by the dealer and ninety-five percent of the current net price of repair parts for the merchandise, plus five percent for handling and loading plus freight charges which have been paid by the dealer, and plus charges for any specialized computer hardware and software, specialized tool, and signage as specified in §37-5-5.5.
This section applies to the following contracts:
(1)In the case of any contract covering farm implements, machinery, and attachments or automobiles, trucks, motor homes, or travel trailers of the type and kind required to be titled and registered under chapters 32-3 and 32-5, any contract dated after July 1, 1969, and any contract with no expiration date or any continuing contract in effect on July 1, 1969;
(2)In the case of any contract covering industrial and construction equipment and attachments, any contract dated after July 1, 1970, and any contract with no expiration date or any continuing contract in effect on July 1, 1970;
(3)In the case of any contract covering motorcycles, any contract dated after July 1, 1973, and any contract with no expiration date or any continuing contract in effect on July 1, 1973;
(4)In the case of contracts covering office furniture, equipment, and supplies, any contract dated after July 1, 1995, and any contract with no expiration date or any continuing contract in effect on July 1, 1995;
(5)In the case of any contract covering boats, personal watercraft, all-terrain vehicles, or snowmobiles, any contract dated after July 1, 2000, and any contract with no expiration date or any continuing contract in effect on July 1, 2000;
(6)In the case of any contract covering outdoor power equipment and attachments, any contract dated after July 1, 2001, and any contract with no expiration date or any continuing contract in effect on July 1, 2001; and
(7)In the case of any contract covering temperature control units and hybrid auxiliary idle reduction and temperature management systems, any contract dated after July 1, 2008, and any contract with no expiration date or any continuing contract in effect on July 1, 2008.

Source: SL 1969, ch 206, §3; SL 1970, ch 219, §6; SL 1973, ch 200, §2; SDCL Supp, §37-5-1.1; SL 1989, ch 336, §3; SL 1995, ch 228, §6; SL 2000, ch 201, §3; SL 2001, ch 212, §5; SL 2004, ch 254, §11; SL 2008, ch 202, §1.

Structure South Dakota Codified Laws

South Dakota Codified Laws

Title 37 - Trade Regulation

Chapter 05 - Franchises Of Dealers In Vehicles, Implements And Equipment

Section 37-5-1 - Coercion of dealer to force unwanted purchases as misdemeanor.

Section 37-5-2 - Coercion of dealer to control sales or force expenditures as misdemeanor.

Section 37-5-3 - Unfair cancellation of dealer franchise as misdemeanor.

Section 37-5-4 - Civil liability for damages from violation.

Section 37-5-5 - Cancellation of contract--Recovery of costs and charges by dealer--Transfer of title and possession.

Section 37-5-5.5 - Reimbursement for computer and signage costs incurred under requirements of wholesaler, manufacturer or distributor.

Section 37-5-6 - Contracts subject to dealer's right to recovery of costs and charges on cancellation.

Section 37-5-7 - Determination of prices to be paid to dealer on cancellation of contract.

Section 37-5-7.1 - Time for payment of costs and charges to dealer--Final statement of account.

Section 37-5-8 - Failure to pay dealer on cancellation of contract--Action by dealer--Applicability of section.

Section 37-5-9 - Death of dealer--Repurchase of merchandise, parts, and attachments--Exercise of rights by heirs.

Section 37-5-10 - Current unused complete farm implements, machinery or attachments defined.

Section 37-5-11 - Restriction of jurisdiction or venue to out-of-state forum or requiring application of foreign law prohibited.

Section 37-5-12 - Waiver of law void.

Section 37-5-12.1 - Dealer defined.

Section 37-5-12.2 - Merchandise defined.

Section 37-5-12.3 - Contract defined.

Section 37-5-12.4 - Merchandise manufacturer or supplier compensation of dealer for diagnostic and warranty work.

Section 37-5-13 - Definition of terms used in §§ 37-5-13 to 37-5-15.

Section 37-5-14 - Certain circumstances not cause for termination of dealership contract or entering into new dealership contract.

Section 37-5-15 - Certain terms or conditions in dealership contract or lease prohibited--Not applicable to lease or sale of real property.

Section 37-5-16 - Definitions.

Section 37-5-17 - Manufacturer of outdoor power equipment required to compensate retailer for warranty work--Amount of compensation.

Section 37-5-18 - Inapplicability of §§ 37-5-16 and 37-5-17 where only method of sales is through retailer with exclusive trade territory.

Section 37-5-19 - Civil action for violation of chapter.