Pub. 2 2013 Issue 1

12 San Diego Dealer T he Dealer Franchise Bill – SB 155 authored by Senator Alex Padilla (D-Pacoima) continues to have success in the Legislature. The measure contains provisions prohibiting a fixed percentage reduc- tion in time allowance for warranty repair, warranty and incentive audit procedures and timelines, easing strict liability “export” rules, requiring manufactures to establish reasonable metrics for performance standards and allowing dealers to use local vendors for substantially similar products needed in facility updates. SB 155 has received unanimous approval by the Senate and was approved on a 15-0 vote in the Assembly Transportation Committee several weeks ago. CNCDA continues to work with the manufacturers on a few minor remaining issues and the bill will be in Assembly Judiciary Committee following the Legislature’s summer recess. Final Recall Bill Stalled in the Assembly, No Action Now Taken Until 2014 This year saw the introduction of two legislative bills – AB 964 (Bonta) and SB 686 (Jackson) – that sought to prohibit dealers from selling any used vehicles subject to a manufacturer’s recall – regardless of howminor the recall is or where the dealer has access to information about the recall. Following significant dealer lobbying efforts earlier this year, AB 964 authored by Assemblyman Rob Bonta (D-Oakland) was not taken up on the Assembly Floor and cannot be acted upon until January 2014. Similarly, dealer lobbying efforts also recently stalled SB 686 authored by Senator Hannah-Beth Jackson in Assembly Business, Professions and Consumer Protection Committee. Senator Jackson attempted to pull on the committee’s heartstrings by offering a victim who testified about her family’s tragic auto accident. Ironically, the family’s auto accident was not caused by a recalled vehicle. As the members began to debate the bill, they openly used dealer arguments about why the rental car companies were excluded and the lack of a distinction between serious and minor recalls. The dealer lobbying effort was so successful that Senator Jackson did not even get an opportunity to have a vote taken. Like AB 964, it is through dealer efforts that SB 686 cannot be taken up again until 2014. Dealer Franchise Bill Proceeding through the Assembly NCDA Legislative Update Earlier this year, Cliff Costa joined the California New Car Dealers Association as Director of Government Affairs, replacing Brian Maas who was pro- moted to President of CNCDA. He is a graduate of UC Berkeley and McGeorge School of Law, University of the Pacific. After nearly a decade of working in the California State Assembly and State Senate, Cliff brings extensive knowledge and experience to advocate on behalf of California’s franchised dealers. If you have any legislative or political questions, you can reach him at ccosta@cncda.org . The California New Car Dealers Association is pleased to introduce Hao Nguyen as the most recent addition to its robust legal team. Having clerked for two judges in the Superior Court of Santa Clara County, Hao brings with him a strong understanding of the law and will bolster CNCDA’s efforts in navigating through the legal issues it faces on a daily basis. Hao’s com- mitment to excellence and hard work aligns harmoniously with CNCDA’s vision in providing the highest level of service to its members throughout California.