Bill Summaries: S631 (2021)

  • Summary date: Apr 7 2021 - View summary

    Amends GS 20-354.2 as follows. Amends the definition of motor vehicle repair to include software updates. Amends the definition of motor vehicle repair shop to include companies offering virtual, digital, or Internet-enabled repairs, updates, or software updates.

    Amends GS 20-305.2 to make it unlawful for any motor vehicle manufacturer, factory branch, distributor, distributor branch, or subsidiary to own any ownership interest in, operate, or control any motor vehicle dealer in this state or any entity in this state that provides updates at retail, whether performed physically, virtually, or digitally, to file a motor vehicle dealer application. Also includes as an unfair method of competition software updates that are made or provided directly by a manufacturer or distributor to any motor vehicle located within this state requiring the direct participation of a dealer franchised by the manufacturer or distributor and without the dealer receiving reasonable compensation.

    Amends GS 20-305 to make it unlawful for any manufacturer, factory branch, distributor, or distributor branch, or any field representative, officer, agent, or any representative whatsoever of any of them, to prohibit or unreasonably limit or restrict a dealer from using electronic signature technology to facilitate or execute loaner, demonstrator, rental, and test drive agreements and forms.

    Amends GS 20-183.4C, concerning vehicle inspections of new vehicles (which must be inspected before being delivered to a purchaser at retail) and used vehicles (which must be inspected before they are offered for sale at retail), by adding that inspection is not required if the vehicle was previously inspected by an affiliated dealership, or between dealerships having common or interrelated ownership, and the inspection occurred either within 180 days from the date of sale or within 300 miles from the mileage recorded at the date of sale.

    Effective October 1, 2021.