§ 31-16-111 — Limitations on establishing or relocating new vehicle dealers

Wyoming § 31-16-111

• Jurisdiction: Wyoming
• Title 31: Motor Vehicles
• Ch. 16: MOTOR VEHICLE FRANCHISES

Text

(a) If a manufacturer seeks to enter into a franchise
establishing an additional new vehicle dealer or relocating an
existing new vehicle dealer within a radius of ten (10) miles
from where the same line make is then represented the
manufacturer shall in writing notify the department and each new
vehicle dealer in that line make within a ten (10) mile radius
of the intention to establish an additional dealer or to
relocate an existing dealer within the ten (10) mile radius.
Within twenty (20) days of receiving the notice or within twenty
(20) days after the end of any appeal procedure provided by the
manufacturer, any new vehicle dealer notified may file with the
department to protest the establishing or relocating of the new
vehicle dealer. When a protest is filed, the department shall
inform the manufacturer that a timely protest has been filed,
and the manufacturer has forty-five (45) days to respond to the
protest. The manufacturer shall not establish or relocate the
proposed new vehicle dealer until the department has held a
hearing under the Wyoming Administrative Procedure Act, nor
thereafter, if the department has determined that there is good
cause for not permitting the addition or relocation of the new
vehicle dealer which determination shall be made within sixty
(60) days of receipt by the department of the response to the
protest from the manufacturer. All hearing costs shall be borne
as prescribed in W.S. 31-16-109(g).
(b) This section does not apply:
(i) To the relocation of an existing new vehicle
dealer within that dealer's relevant market area, provided that
the relocation not be at a site within seven (7) miles of a new
vehicle dealer for the same line make of vehicle;
(ii) If the proposed new vehicle dealer is to be
established at or within two (2) miles of a location at which a
former new vehicle dealer for the same line make had ceased
operating within the previous two (2) years;
(iii) To the reopening of a new vehicle dealer who
temporarily has been out of business;
(iv) If the protesting new vehicle dealer has not
established to the department that he:
(A) Is a licensed new motor vehicle dealer of
the same line make located within ten (10) miles of the proposed
location of the additional new vehicle dealer or of the proposed
relocation site of an existing new vehicle dealer;
(B) Is providing facilities, equipment, parts,
capital and personnel in substantial compliance with its
contractual obligations to the manufacturer; and
(C) Has attained in the last three (3) years
sales penetration for the manufacturer in his area of
responsibility that is equal to or greater than the average
penetration of all same line make new vehicle dealers in the
state; or
(v) Where the relocation is two (2) miles or less
from the existing location of the relocating new vehicle dealer.
(c) In determining whether good cause has been established
for not entering into or relocating an additional new vehicle
dealer for the same line make, the department shall take into
consideration the existing circumstances including, but not
limited to:
(i) Permanency of the investment of both the existing
and proposed new vehicle dealers;
(ii) Growth or decline in population and new motor
vehicle registrations in the relevant market area;
(iii) Effect on the consuming public in the relevant
market area;
(iv) Whether it is injurious or beneficial to the
public welfare for an additional new vehicle dealer to be
established;
(v) Whether the new vehicle dealers of the same line
make in that relevant market area are providing adequate
competition and convenient customer care for the vehicles of the
line make in the market area, including the adequacy of vehicle
sales and service facilities, equipment, supply of vehicle parts
and qualified service personnel;
(vi) Whether the establishment of an additional new
vehicle dealer would increase competition and be in the public
interest.
(d) The protesting new vehicle dealer shall have the
burden of establishing that good cause does not exist for the
establishment of an additional new vehicle dealer or the
relocation of an existing new vehicle dealer.