§ 32:1270.30.1 — Establishment of new recreational vehicle dealerships or relocations; protests;

Louisiana § 32:1270.30.1

• Jurisdiction: Louisiana
• Title 32: Levees

Text

§1270.30.1. Establishment of new recreational vehicle dealerships or relocations; protests;
procedure
A.(1) Whenever the commission receives an application for a recreational vehicle
dealer's license which would add a new recreational vehicle dealership or authorize an
existing recreational vehicle dealership to deal in a new or additional make of a recreational
vehicle, which would establish an additional franchise in that area, or which would authorize
an existing recreational vehicle dealership to deal in additional makes, models, or
classifications of recreational vehicles designated in the franchise or any addendum thereto,
it shall first notify the existing licensed recreational vehicle dealership or dealerships selling
the same line makes, models, or classifications within the community or territory in which
the applicant proposes to conduct business. Any same line makes, models, or classifications
dealership whose assigned community or territory includes the location of the proposed new
recreational vehicle dealership may object to the granting of the license.
(2) The reopening or replacement of a dealership in a location where the same line
makes, models, or classifications has been sold by a licensed recreational vehicle dealer
within the previous two years shall not be considered an additional recreational vehicle
dealer under Paragraph (1) of this Subsection.
B.(1) Whenever the commission receives an application for a recreational vehicle
dealer's license which would relocate an existing recreational vehicle dealership, including
the transfer of a franchise and relocation to an existing recreational vehicle dealership, it shall
first notify the existing licensed recreational vehicle dealership or dealerships selling the
same line makes, models, or classifications within the community or territory in which the
applicant proposes to conduct business. The existing same line makes, models, or
classifications dealership or dealerships shall have the right to object to the granting of the
license only if the proposed relocation is within a certain radius of its facility. The radius
shall be two hundred miles for a dealership selling motor homes and one hundred miles for
a dealership selling towable recreational vehicles. However, without regard to distance,
whenever the commission receives an application for the relocation of a recreational vehicle
dealership which would add an additional franchise to an existing same line makes, models,
or classifications in a dealership's community or territory, the affected dealership shall have
the right to object.
(2) Whenever the commission receives a protest pursuant to the provisions of
Paragraph (1) of this Subsection, the applicant and the manufacturer or distributor shall
show, by a preponderance of the evidence, that the existing same line makes, models, or
classifications recreational vehicle dealership or dealerships will not be substantially harmed
by locating the dealership within the area. Notwithstanding the provisions of R.S. 32:1251
to the contrary, the commission shall consider the financial impact on both the applicant and
the existing dealership or dealerships.
C. The objection shall be in writing and shall be received by the commission within
a thirty-day period after receipt of the notice. The thirty-day objection period shall be waived
upon written notification to the commission from all licensees, who are entitled to object,
that the licensees have no objections to the proposed change or addition for which the notice
of intent was issued. If timely objection is lodged, and prior to the issuance of the license,
the commission shall hold a hearing within thirty days after receipt of the objection, or
forty-five days after the request is made for the three-member panel, and issue its decision
within ninety days after date of the hearing. Notice of hearing, and an opportunity to
participate therein, shall be given to the manufacturer or distributor, to the applicant for the
license as a recreational vehicle dealer, and to the protesting dealership or dealerships. The
absence of a timely protest shall not prevent the commission from considering the effect of
the issuance of a license on other recreational vehicle dealerships, located either within or
outside the community or territory as part of its determination of whether or not the license
sought should be issued.
D.(1) Whenever the commission receives a protest pursuant to the provisions of this
Section, the commission shall consider the following in determining whether there is good
cause to issue a license:
(a) Whether the community or territory can support an additional dealership.
(b) Notwithstanding the provisions of R.S. 32:1251 to the contrary, the financial
impact on both the applicant and the existing dealership or dealerships.
(c) Whether the existing recreational vehicle dealerships of the same line makes,
models, or classifications in the dealership's community or territory are providing adequate
representation and convenient consumer care for the recreational vehicles of the same line
makes, models, or classifications located within that area.
(d) Whether the issuance of the license would increase competition or be in the public
interest, or both.
(2) The applicant and manufacturer or distributor shall have the burden of proof in
demonstrating good cause by a preponderance of the evidence.
E. The provisions of this Section shall not apply to any dealership which has a validly
binding dealer agreement with a manufacturer or distributor as of August 1, 2025, including
any future, uninterrupted renewals thereof, that authorizes the sale of the same line makes,
models, or classifications of recreational vehicles within a specified territory that would
otherwise violate these provisions.
F. The provisions of this Section shall apply only to recreational vehicles as defined
in R.S. 32:1252 and shall not apply to any other recreational products.

Legislative History

Acts 2025, No. 405, §1.