Car Dealer, Automaker Tensions Emerging in Some States

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And the question of how much automakers should compensate dealers for performing warranty repairs — which has been percolating for years and bubbled over in December with a lawsuit Volkswagen brought in Illinois — is surfacing in bills to align reimbursement rates closer to what retail customers pay for service work.

Taken together, “I do think that the biggest focus this year will be on emphasizing the importance of the independence of dealer operations and avoiding unfair competition by an OEM with their franchised dealers,” said Shawn Mercer, a partner with Bass Sox Mercer in Raleigh, N.C., who represents dealers on franchise law issues.

Read the full Automotive News report.

Source: https://rvbusiness.com/car-dealer-automaker-tensions-emerging-in-some-states/