A franchisor intending to establish an additional franchise of the same line-make or relocate an existing franchise within 10 miles of where the same line-make is then represented must give written notice (containing specific language) to each dealer and the New Motor Vehicle Board. Dealers objecting to the additional franchise or relocation of an existing franchise may, within 20 day of receipt of the notice, file a protest with the New Motor Vehicle Board. The Board will then conduct a hearing and render a decision. The Board’s decision may be appealed to the Superior Court. See Cal. Vehicle Code §§ 3060, 3062.
Protests Against Establishment or Relocation of a Dealership
About the Author: Jonathan Michaels
Jonathan Michaels has litigated some of the most important cases in the automotive industry. He is responsible for filing Ponce v. General Motors – a national class action case against GM for the concealment of a deadly defect in its vehicles for 13 years; and Spitzer Motor City v. U.S. – where he represented terminated Chrysler dealers against the U.S. for the “taking” of their franchises in 2009, a violation of the 5th Amendment. He has also litigated cases against nearly every major auto manufacturer, including GM, Audi, Maserati, Mitsubishi, Kia, Nissan, Honda, AM General, Isuzu, Toyota, Hyundai, Harley-Davidson, Ford, Chrysler, Tesla, Volvo, Volkswagen, Aston Martin, Land Rover, Mercedes and Porsche.