VEHICLE DEALERSHIPS; HOURS OF OPERATION S.B. 128:
SUMMARY AS ENACTED
Senate Bill 128 (as enacted) PUBLIC ACT 90 of 2021
Sponsor: Senator Kimberly LaSata
Senate Committee: Regulatory Reform
House Committee: Regulatory Reform
CONTENT
The bill amended the Michigan Vehicle Code to require a vehicle dealership to post regular hours of operation of at least 30 hours per week for not less than 48 weeks per year with at least 15 of those hours per week being between the hours of 8 AM and 5 PM.
The bill took effect on December 14, 2021.
The Code specifies that, for a class (A) or class (B) dealer, "established place of business" means premises that meet certain requirements, including that the premises contain a conspicuous posting of the dealer's regular hours of operation. Previously, the posted hours could not be less than 30 hours per week. Under the bill, the posted hours may not be less than 30 hours per week for at least 48 weeks per year. Fifteen of the 30 hours per week must be between the hours of 8 AM and 5 PM, Monday through Friday. The dealer may change its posted hours of operation to be less than 30 hours per week for up to four weeks per year if the dealer notifies the Department of State (SOS) at least seven days before the change. The Department must waive the seven-day notice requirement for good cause, including a medical emergency or other extenuating circumstance.
MCL 257.14
BACKGROUND
A car dealer must have a dealer license if it, within a 12-month period, has been in business buying, selling, brokering, leasing, negotiating a lease, or dealing in five or more vehicles of a type required to be titled. All dealers must complete and submit a vehicle dealer license application to the SOS. A dealer with a class (A) license is a new vehicle dealer licensed to buy and sell new vehicles under a franchise agreement or contract with the manufacturer of a new vehicle. A dealer with a class (B) license is a used vehicle dealer, licensed to buy and sell used vehicles.[1]
Legislative Analyst: Eleni Lionas
FISCAL IMPACT
The bill will have no fiscal impact on State of local units of government.
Fiscal Analyst: Joe Carrasco, Jr.
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.
[1] "Dealers", Michigan Secretary of State, https://www.michigan.gov/sos/industry-services/dealers. Retrieved on 1-5-2023.