Okla. Stat. tit. 47, § 47-565.3
This is the official text of Okla. Stat. tit. 47, § 47-565.3, part of Oklahoma’s Stat. tit. 47, — part of the compiled statutory law of Oklahoma, published by the state as "Stat. tit. 47,." Browse the sections below, each linked to its official government source.
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Notice to manufacturer or distributor of proposed sale,
Official statutory text
transfer, or assignment of franchise.
A. A franchised new motor vehicle or new powersports vehicle
dealer proposing a sale, transfer, or assignment of a franchise
agreement or the business and assets of a dealership or an interest
in a dealership to another person, hereinafter transferee, shall
notify the manufacturer or distributor whose vehicles the dealer is
Oklahoma Statutes - Title 47. Motor Vehicles Page 835
franchised to sell of the proposed action of the dealer. The
manufacturer or distributor may make written request to the proposed
transferee to submit completed application forms and related
information generally utilized by a manufacturer to evaluate such a
proposal and a copy of all agreements related to the proposed sale,
transfer, or assignment.
B. The approval by the manufacturer or distributor of the sale,
transfer, or assignment shall not be unreasonably withheld unless
the proposed transferee is not of good moral character or fails to
meet the written, reasonable, and uniformly applied requirements of
the manufacturer or distributor relating to prospective franchisees.
Approval of the transfer shall not be made contingent upon the
transferee meeting unreasonable facility requirements or performance
standards different than those contained in the transferor's
franchise agreement and related addendum and agreements, and any
written notices provided to the existing dealer prior to the
manufacturer's or distributor's receipt of any written notice from
the existing dealer of the proposed transfer. However, to be valid,
any proposed change to the franchise pursuant to written notice from
the manufacturer or distributor shall be in compliance with existing
law. The burden of proof shall be upon the manufacturer or
distributor to show good cause existed to withhold approval. The
manufacturer or distributor that has made such a determination shall
send a letter by certified mail to the dealer and the applicant of
its refusal to approve the proposal, which shall include a statement
of the specific grounds for refusal, within sixty (60) days after
the later of:
1. Receipt by the manufacturer or distributor of the notice of
the proposed sale, transfer, or assignment; or
2. Receipt by the manufacturer or distributor of the
information requested from the proposed transferee pursuant to
subsection A of this section if the manufacturer or distributor has
requested such information within fifteen (15) days of receipt of
written notice of the proposed sale, transfer, or assignment.
C. Failure of the manufacturer or distributor to send its
notice of refusal pursuant to subsection B of this section shall
mean that the application for the proposed sale, transfer, or
assignment is approved.
D. If the proposed sale, transfer, or assignment is to an
existing owner's family member or other existing owner, the
manufacturer or distributor's evaluation of the proposal is limited
to the written, reasonable, and uniformly applied requirements of
the manufacturer or distributor relating to good moral character and
financial qualifications. Notwithstanding the foregoing, a change
in dealer operator shall be addressed pursuant to the provisions of
Section 565.1 of this title.
Oklahoma Statutes - Title 47. Motor Vehicles Page 836
E. A dealership or dealership owner receiving notice of refusal
of the sale, transfer, or assignment shall have the right to file a
protest with the Oklahoma New Motor Vehicle Commission within thirty
s. Notwithstanding the foregoing, a change
in dealer operator shall be addressed pursuant to the provisions of
Section 565.1 of this title.
Oklahoma Statutes - Title 47. Motor Vehicles Page 836
E. A dealership or dealership owner receiving notice of refusal
of the sale, transfer, or assignment shall have the right to file a
protest with the Oklahoma New Motor Vehicle Commission within thirty
(30) days of receipt of the refusal. In the event a protest is
filed, the manufacturer or distributor shall have the burden of
proof to establish the proposed transferee or the proposed
transferee's controlling executive management is not of good moral
character or fails to meet the written reasonable and uniformly
applied requirements of the manufacturer or distributor relating to
prospective franchisees or that the facility requirements are not
different than those contained in the transferor's franchise
agreement.
F. Notwithstanding any other provision of this section, the
dealer shall submit a signed copy of the dealer sales and service
agreement resulting from any completed sale, transfer, or assignment
of a franchise to the Oklahoma New Motor Vehicle Commission within
fifteen (15) business days.
A. A franchised new motor vehicle or new powersports vehicle
dealer proposing a sale, transfer, or assignment of a franchise
agreement or the business and assets of a dealership or an interest
in a dealership to another person, hereinafter transferee, shall
notify the manufacturer or distributor whose vehicles the dealer is
Oklahoma Statutes - Title 47. Motor Vehicles Page 835
franchised to sell of the proposed action of the dealer. The
manufacturer or distributor may make written request to the proposed
transferee to submit completed application forms and related
information generally utilized by a manufacturer to evaluate such a
proposal and a copy of all agreements related to the proposed sale,
transfer, or assignment.
B. The approval by the manufacturer or distributor of the sale,
transfer, or assignment shall not be unreasonably withheld unless
the proposed transferee is not of good moral character or fails to
meet the written, reasonable, and uniformly applied requirements of
the manufacturer or distributor relating to prospective franchisees.
Approval of the transfer shall not be made contingent upon the
transferee meeting unreasonable facility requirements or performance
standards different than those contained in the transferor's
franchise agreement and related addendum and agreements, and any
written notices provided to the existing dealer prior to the
manufacturer's or distributor's receipt of any written notice from
the existing dealer of the proposed transfer. However, to be valid,
any proposed change to the franchise pursuant to written notice from
the manufacturer or distributor shall be in compliance with existing
law. The burden of proof shall be upon the manufacturer or
distributor to show good cause existed to withhold approval. The
manufacturer or distributor that has made such a determination shall
send a letter by certified mail to the dealer and the applicant of
its refusal to approve the proposal, which shall include a statement
of the specific grounds for refusal, within sixty (60) days after
the later of:
1. Receipt by the manufacturer or distributor of the notice of
the proposed sale, transfer, or assignment; or
2. Receipt by the manufacturer or distributor of the
information requested from the proposed transferee pursuant to
subsection A of this section if the manufacturer or distributor has
requested such information within fifteen (15) days of receipt of
written notice of the proposed sale, transfer, or assignment.
C. Failure of the manufacturer or distributor to send its
notice of refusal pursuant to subsection B of this section shall
mean that the application for the proposed sale, transfer, or
assignment is approved.
D. If the proposed sale, transfer, or assignment is to an
existing owner's family member or other existing owner, the
manufacturer or distributor's evaluation of the proposal is limited
to the written, reasonable, and uniformly applied requirements of
the manufacturer or distributor relating to good moral character and
financial qualifications. Notwithstanding the foregoing, a change
in dealer operator shall be addressed pursuant to the provisions of
Section 565.1 of this title.
Oklahoma Statutes - Title 47. Motor Vehicles Page 836
E. A dealership or dealership owner receiving notice of refusal
of the sale, transfer, or assignment shall have the right to file a
protest with the Oklahoma New Motor Vehicle Commission within thirty
s. Notwithstanding the foregoing, a change
in dealer operator shall be addressed pursuant to the provisions of
Section 565.1 of this title.
Oklahoma Statutes - Title 47. Motor Vehicles Page 836
E. A dealership or dealership owner receiving notice of refusal
of the sale, transfer, or assignment shall have the right to file a
protest with the Oklahoma New Motor Vehicle Commission within thirty
(30) days of receipt of the refusal. In the event a protest is
filed, the manufacturer or distributor shall have the burden of
proof to establish the proposed transferee or the proposed
transferee's controlling executive management is not of good moral
character or fails to meet the written reasonable and uniformly
applied requirements of the manufacturer or distributor relating to
prospective franchisees or that the facility requirements are not
different than those contained in the transferor's franchise
agreement.
F. Notwithstanding any other provision of this section, the
dealer shall submit a signed copy of the dealer sales and service
agreement resulting from any completed sale, transfer, or assignment
of a franchise to the Oklahoma New Motor Vehicle Commission within
fifteen (15) business days.
Status: in_force · Read it on the official government site
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