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Oklahoma Legislature· HB 1789Becomes law without Governor's signature 05/25/2025

An act relating to motor vehicles, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Oklahoma Legislature, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
1                   STATE OF OKLAHOMA

2   1st Session of the 60th Legislature (2025)

3 HOUSE BILL 1789                 By: Kerbs

4

5

6                   AS INTRODUCED

7   An Act relating to motor vehicles; amending 47 O.S.

    2021, Section 596.3, as amended by Section 23,

8   Chapter 29, O.S.L. 2023 (47 O.S. Supp. 2024, Section

    596.3), which relates to dealer sales responsibility;

9   modifying requirements for certain off-premises

    sales; prohibiting denial of certain permit; and

10  providing an effective date.

11

12

13 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:

14  SECTION 1.      AMENDATORY  47 O.S. 2021, Section 596.3, as

15 amended by Section 23, Chapter 29, O.S.L. 2023 (47 O.S. Supp. 2024,

16 Section 596.3), is amended to read as follows:

17  Section 596.3. A. All of the following conditions shall apply

18 to the area of sales responsibility of a dealer included in a dealer

19 agreement between a manufacturer and a dealer:

20  1. The manufacturer shall designate in the dealer agreement the

21 area of sales responsibility exclusively assigned to the dealer;

22  2. The manufacturer shall not change the area of sales

23 responsibility of a dealer or establish another dealer for the same

24 line-make in that area during the term of the dealer agreement; and

    Req. No. 10062                                          Page 1
1   3. The area of sales responsibility may not be reviewed or

2 changed without the consent of both parties until one (1) year after

3 the execution of the dealer agreement.

4   B. A Aside from sanctioned or unsanctioned recreational vehicle

5 shows detailed in subsection C of this section, a dealer shall not

6 conduct sales activity or display for sale recreational vehicles

7 outside of its designated area of sales responsibility.

8   C. A dealer may sell off-premises within the area of sales

9 responsibility of the dealer under the following circumstances:

10  1. At sanctioned recreational vehicle shows where the sales

11 event is held off-premises and at least sixty-seven percent (67%) of

12 the recreational vehicle dealers that are located within a sixty-

13 mile radius of the location of the show participate in the show is

14 either inside or outside of the dealer's manufacturer-approved area

15 of responsibility. A sanctioned recreational vehicle show may be

16 held only under the following conditions:

17  a. the sponsoring entity of the sales event shall obtain

18  a permit from the Oklahoma New Motor Vehicle

19  Commission at the rate of Two Hundred Dollars

20  ($200.00) per event. The permit shall be for a period

21  not to exceed ten (10) consecutive days,

22  b. dealer permits for a sanctioned recreational vehicle

23  show described in this paragraph shall be obtained

24  from the Commission at a rate of Fifteen Dollars

    Req. No. 10062                                                 Page 2
1   ($15.00) for each motor home per sanctioned

2   recreational vehicle show,

3   c. new recreational vehicle dealers whose manufacturer-

4   approved area of responsibility includes the event

5   location shall be eligible to participate in the

6   sanctioned recreational vehicle show a dealer shall

7   not be denied a permit on the grounds that the sales

8   promotion is to be held within the relevant market

9   area of another dealer of the same line-make,

10  d. new recreational vehicle dealers shall obtain written

11  approval from the manufacturer or distributor to

12  participate in the sanctioned recreational vehicle

13  show, and

14  e. the sanctioned recreational vehicle show shall be

15  conducted within municipal, county, or state-owned or

16  controlled facilities or within the grounds of any

17  county, district, or state fair; and

18  2. At nonsanctioned recreational vehicle shows where one or

19 more dealers may sell recreational vehicles off-premises under the

20 following conditions:

21  a. dealer permits for a nonsanctioned recreational

22  vehicle show described in this paragraph shall be

23  obtained from the Commission at a rate of Fifteen

24

    Req. No. 10062                                        Page 3
1   Dollars ($15.00) for each recreational vehicle per

2   nonsanctioned recreational vehicle show,

3   b. the location of the nonsanctioned recreational vehicle

4   show shall may be within or outside of the

5   manufacturer-approved area of responsibility,

6   c. the nonsanctioned recreational vehicle show shall

7   occur no more than five (5) consecutive days per

8   event, excluding county, district, or state fairs,

9   d. each dealer may participate in no more than eight

10  nonsanctioned recreational vehicle shows per calendar

11  year, and

12  e. nonsanctioned recreational vehicle shows shall be held

13  on privately owned property no closer than two and

14  one-half (2 1/2) miles to any other nonparticipating

15  recreational vehicle dealer; provided, however, a

16  nonsanctioned recreational vehicle show may be held on

17  county or municipally owned property with no mileage

18  barrier restriction.

19  D. A dealer may display a recreational vehicle within the

20 designated area of responsibility of the dealer for promotional

21 purposes. At an off-premises display event, no sales activities

22 shall be conducted including, but not limited to, negotiations,

23 financing, and accepting credit applications. Sales or finance

24 personnel shall not be permitted to participate at an off-premises

    Req. No. 10062                                                  Page 4
1 display event. A permit for the off-premises display event shall

2 not be required.

3   E. A dealer agreement shall include a designated principal of

4 the dealer. A dealer agreement may identify a family member as the

5 successor of the principal or include a succession plan of the

6 dealer. A dealer may at any time change a designation or succession

7 plan made in the dealer agreement by providing written notice to the

8 manufacturer.

9   SECTION 2. This act shall become effective November 1, 2025.

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11  60-1-10062      JBH  11/07/24

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    Req. No. 10062                                                Page 5
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