HB 1288 -- Motorcycle, All-Terrain, and Personal Watercraft
Franchise Agreements

Sponsor:  Threlkeld

This bill establishes regulations for compensation agreements
between franchisors and franchisees.

The bill requires franchisors to specify in writing the
franchisee's obligation for preparation, delivery, and warranty
service on its products and provide the franchisee with a
schedule of compensation to be paid for parts, work, service, and
time allowance for the performance of work and services.

A franchisor will be prohibited from:

(1)  Failing to perform any warranty obligation;

(2)  Failing to include in writing notice of franchisor recalls
to the owner of new motorcycles, all-terrain vehicles, and
personal watercraft; and

(3)  Failing to compensate franchisees for repairs effected by
recalls.

Claims made by a franchisee for labor and parts must be paid
within 30 days after approval.  Franchisors must compensate
franchisees for franchisor-sponsored sales or service promotion
events, programs, or activities.

All claims must be approved or disapproved by the franchisor
within 30 days after their receipt of an approved form containing
the required information.

Missouri House of Representatives
92nd General Assembly, 2nd Regular Session
Last Updated September 23, 2004 at 11:15 am