The following is a report from WNDU.
A bill moving through the Indiana General Assembly is designed to bring smoother sailing to RV sales.
Senate Bill 484 was unanimously endorsed Monday by the House Roads and Transportation Committee. The panel heard that four out of every five RVs made in the United States are made in northern Indiana. The bill seeks to better regulate the relationship between those who manufacture RVs, and those who sell RVs.
In the auto industry, a Ford dealer typically only sells Fords. In the RV industry, one dealer typically sells many different brands and models.
The bill states that RV manufacturers “shall” designate an exclusive sales area and that a dealer may not sell outside that designated area.
“The consumer knows that there’s a warranty they’re going to stand behind. If there’s a recall on the product, they’re going to have an opportunity to know that that’s going to be processed properly,” Ron Breymier with the RV Indiana Council told the committee.
“We’ve operated in a lot of ways in the wild, wild west for 50 years, and I think with the growth we’ve seen, the consolidation we’ve seen, there’s the need for more than just a handshake,” added Ken Eckstein with Mount Comfort RV. “And the purpose of the bill is not to put restrictions but to bring clarity.”
The bill is 20 pages long and deals with a wide variety of matters ranging from warranty work, adequate attendance at RV shows, and who does what when a unit in for service is damaged.
The bill was approved by the Indiana Senate in January by a vote of 47-1. It now moves onto the House floor for further consideration.
Update:
Ron Breymier, executive director of the Indiana Manufactured Housing Association-Recreation Vehicle Indiana Council (IMHA-RVIC), issued a statement to correct an inaccurate media report that incorrectly stated pending state legislation would ban RV sales on Sunday:
A point of clarification on the story titled “Indiana Legislature Discusses Bill Regulating RV Sales.”
The real story about SB 484 is that it creates the first RV manufacturer/RV dealer franchise agreement in Indiana law. It is designed specifically for the RV industry as our business model differs greatly from the auto industry and its franchise agreements. If successful, Indiana will become one of approximately 25 states with specific RV franchise agreements in statute. SB 484 is endorsed by the RV Industry Association (RVIA), RV Dealers Association (RVDA) and the RV Indiana Council.
The bill does not prohibit Sunday sales of RVs. Towable RVs have been and will continue to be sold on Sundays under Indiana law.
Existing Indiana law prohibits the sale of motorized vehicles, including motorized RVs, on Sunday, except when participating in an industry show with multiple dealers participating. That has always been the Indiana law.
SB 484 only clarifies how manufacturers and dealers can work together to determine which units can be represented at shows by the dealers when participating in Sunday RV industry Shows.
