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Sponsor: 

Bill Requested by: Western Equipment Dealers Association 

Summary: Making certain contract requirements for farm equipment and dealership agreements for farm equipment, outdoor power equipment and lawn and garden equipment.

Chair    Vice Chair 

Ranking Minority Member 

Members .  .  .   .      –   –   – 

Kansas State Senate Districts – Yellow Districts Transportation Committee Members

In Kansas Senate Bill 426, what would be removed from the language is as important as what the sponsor proposes to add.

For example, the bill removes this entire section of current law: Nothing in this act shall apply to, or operate or be construed to invalidate, impair or otherwise infringe upon the specific requirements of any contract or dealership agreement between a dealer and a manufacturer entered into prior to the effective date of this act, if such contract or dealership agreement is in effect on the effective date of this act. The provisions of this section shall not apply to a manufacturer who provides in a written dealer agreement for compensation to a dealer for warranty labor costs either as a discount in the pricing of the equipment to the dealer or, a lump sum payment to the dealer, provided such payment is not less than 5% of the suggested retail price of the equipment.

And adds this: Manufacturer’s warranty reimbursement policies and procedures shall be deemed unreasonable to the extent they conflict with any of the provisions of this section.

Any term of a contract, either expressed or implied, that is inconsistent with the terms of this act shall be void and unenforceable and shall not waive any rights that are provided to any person by this act. Repair parts used in warranty repair work shall be reimbursed at the current net parts cost to purchase such parts from the manufacturer plus 15% and the cost of freight.