§ 9-32-19-29 — Warrantor obligations; reimbursement; claims

Indiana § 9-32-19-29

• Jurisdiction: Indiana
• Title 9: MOTOR VEHICLES
• Art. 32: DEALER SERVICES
• Ch. 19: Recreational Vehicle Dealer Agreements

Text

(a) A warrantor shall do the following:
(1) Provide a list of the warrantor's obligations to the recreational
vehicle dealer for the preparation, delivery, and warranty service
for products.
(2) Compensate the recreational vehicle dealer for warranty
services performed by the recreational vehicle dealer covered by
the warrantor.
(3) Provide the recreational vehicle dealer with a schedule of
compensation to be paid and the time allowances to perform
diagnostic work and warranty services on a recreational vehicle.
(b) The schedule of compensation under subsection (a)(3) must
include reasonable compensation for diagnostic work as well as
warranty labor. If the schedule of compensation required by this section
does not include a particular repair, the warrantor shall reimburse the
recreational vehicle dealer for warranty service for the actual time
worked, unless the warrantor demonstrates that the actual time worked
was unreasonable. In such event, the recreational vehicle dealer shall
be paid a reasonable sum.
(c) Time allowances to perform diagnostic work and warranty
services must be reasonable.
(d) Compensation of a recreational vehicle dealer for warranty
services may not be less than the lowest retail labor rate charged by the
recreational vehicle dealer in the ordinary course of business for
substantially similar labor that is not a warranty service.
(e) A warrantor shall reimburse the recreational vehicle dealer for:
(1) a warranty part at wholesale cost;
(2) at least thirty percent (30%) of the wholesale cost as a
handling charge; and
(3) the cost of freight to return the part to the warrantor if the
return is required by the warrantor.
(f) If a warranty part is sent to the recreational vehicle dealer at no
cost, the recreational vehicle dealer is entitled to payment of thirty
percent (30%) of the wholesale cost of the warranty part from the
warrantor as a handling charge. The handling charge for a warranty
part may not exceed three hundred dollars ($300). A recreational
vehicle dealer may return unused parts to the warrantor for credit after
completion of the warranty services if the parts are in excess of what
the recreational vehicle dealer requires.
(g) A warrantor may conduct a warranty audit of a recreational
vehicle dealer's records on a reasonable basis.
(h) A warrantor may not deny a claim for warranty compensation by
a recreational vehicle dealer except for good cause. Good cause
includes:
(1) performing nonwarranty repairs;
(2) material noncompliance with the warrantor's published
policies and procedures;
(3) lack of material documentation; and
(4) fraud or misrepresentation on the part of the recreational
vehicle dealer.
(i) A recreational vehicle dealer shall submit a warranty claim not
later than forty-five (45) days after completing the diagnostic work or
warranty service.
(j) A recreational vehicle dealer shall notify the warrantor verbally
or in writing as soon as is reasonably possible if the recreational
vehicle dealer is unable or unwilling to perform a warranty repair.
(k) A warrantor shall disapprove a warranty claim in writing not
later than forty-five (45) days after the warranty claim is submitted by
the recreational vehicle dealer in a manner and form prescribed by the
warrantor. A warranty claim not disapproved under this subsection is
approved and must be paid not later than sixty (60) days after receiving
the submitted warranty claim from the recreational vehicle dealer.
(l) A warrantor may ship parts to the dealer to affect the campaign
work, and, if such parts are in excess of the dealer's requirements, the
dealer may return unused parts to the warrantor for credit after
completion of the campaign.
(m) A warrantor may not:
(1) fail to perform warranty obligations;
(2) fail to include the expected date by which parts and equipment
will be available to the recreational vehicle dealer to perform
warranty services in the written notice of factory campaigns to
recreational vehicle owners and recreational vehicle dealers;
(3) fail to compensate a recreational vehicle dealer for authorized
repairs performed by the recreational vehicle dealer of
merchandise damaged during the manufacturing process or in
transit to the recreational vehicle dealer, if the carrier is
designated by the warrantor;
(4) fail to compensate a recreational vehicle dealer for authorized
warranty service in accordance with the time allowances set in the
schedule of compensation if performed in a timely and competent
manner;
(5) intentionally misrepresent to purchasers of recreational
vehicles that warranties with respect to the manufacture,
performance, or design of the recreational vehicle are made by the
recreational vehicle dealer as a warrantor or a cowarrantor; or
(6) require the recreational vehicle dealer to make warranties to
customers in any manner related to the manufacture of the
recreational vehicle.
(n) A recreational vehicle dealer may not:
(1) fail to perform predelivery inspection functions, as specified
by the warrantor, in a competent and timely manner;
(2) fail to perform warranty services authorized by the warrantor
in a reasonably competent and timely manner on a transient
customer's recreational vehicle of the same line make unless the
recreational vehicle dealer determines that the customer is acting
in a manner detrimental to the recreational vehicle dealer's
business;
(3) fail to track actual time worked to perform warranty services
not governed by time allowances in the schedule of
compensation;
(4) claim an agency relationship with a warrantor, a recreational
vehicle manufacturer, or a recreational vehicle distributor; or
(5) misrepresent the terms of a warranty.

Legislative History

As added by P.L.42-2025, SEC.40.