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Introduced Version House Bill 2357 History

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Key: Green = existing Code. Red = new code to be enacted

WEST virginia legislature

2019 regular session

Introduced

House Bill 2357

By Delegate Howell, Hanna, Hott, Linville, Pack, Phillips, Worrell, Hill and Wilson

[Introduced January 14, 2019; Referred
to the Committee on Technology and Infrastructure then the Judiciary. ]

 

A BILL to amend the Code of West Virginia, 1931, as amended, by adding thereto a new article, designated §17A-16F-1, §17A-16F-2, §17A-16F-3, §17A-16F-4, §17A-16F-5,  and §17A‑16F-6, all related to creating the Right to Repair Act; requiring a manufacturer of motor vehicles sold in the state to make diagnostic and repair information available to owners independent repair facilities that the manufacturer makes available to its dealers through the manufacturer's Internet-based diagnostic and repair information system; providing exceptions; providing additional remedies; and defining terms.

Be it enacted by the Legislature of West Virginia:


ARTICLE 16F. RIGHT TO REPAIR ACT.

§17A-16F-1. Definitions.

As used in this article, the following words, unless the context clearly indicates a different meaning, have the following meanings:

“Dealer,” any person or business who, in the ordinary course of its business, is engaged in the business of selling or leasing new motor vehicles to consumers or other end users pursuant to a franchise agreement and is engaged in the diagnosis, service, maintenance or repair of motor vehicles or motor vehicle engines pursuant to said franchise agreement.

“Franchise agreement,” an oral or written arrangement for a definite or indefinite period in which a manufacturer or distributor grants to a motor vehicle dealer a license to use a trade name, service mark or related characteristic and in which there is a community of interest in the marketing of new motor vehicles or services related thereto at wholesale, retail, leasing or otherwise.

“Fair and Reasonable Terms.” In determining whether a price is on “fair and reasonable terms,” consideration may be given to relevant factors, including, but not limited to, the following:

(A) The net cost to the manufacturer franchised dealerships for similar information obtained from manufacturers, less any discounts, rebates, or other incentive programs.

(B) The cost to the manufacturer for preparing and distributing the information, excluding any research and development costs incurred in designing and implementing, upgrading or altering the onboard computer and its software or any other vehicle part or component. Amortized capital costs for the preparation and distribution of the information may be included.

(C) The price charged by other manufacturers for similar information.

(D) The price charged by manufacturers for similar information prior to the launch of manufacturer web sites.

(E) The ability of aftermarket technicians or shops to afford the information.

(F) The means by which the information is distributed.

(G) The extent to which the information is used, which includes the number of users, and frequency, duration, and volume of use.

(H) Inflation.

“Immobilizer system,” an electronic device designed for the sole purpose of preventing the theft of a motor vehicle by preventing the motor vehicle in which it is installed from starting without the correct activation or authorization code.

“Independent repair facility,” a person or business operating in the state that is not affiliated with a manufacturer or manufacturer’s authorized dealer of motor vehicles, which is engaged in the diagnosis, service, maintenance or repair of motor vehicles or motor vehicle engines; provided, however, that, for the purposes of this chapter, a dealer, notwithstanding its affiliation with any manufacturer, is considered to be an independent repair facility for purposes of those instances when said dealer engages in the diagnosis, service, maintenance or repair of motor vehicles or motor vehicle engines that are not affiliated with the dealer’s franchise manufacturer.

“Manufacturer,” any person or business engaged in the business of manufacturing or assembling new motor vehicles.

“Motor vehicle,” a vehicle, originally manufactured for distribution and sale in the United States, driven or drawn by mechanical power and manufactured primarily for use on public streets, roads and highways, but excluding: (A) A vehicle that may be operated only on a rail line; (B) a recreational vehicle or auto home equipped for habitation; (C) an ambulance; (D) a bus, motor coach or trackless trolley designed for the carriage of persons for hire or for school-related purposes; (E) vehicles used exclusively for the building, repair and maintenance of highways or designed primarily for use elsewhere than on the traveled part of ways; (F) any vehicle with a gross vehicle weight rating of more than 10,000 pounds; (G) any vehicle that is not a “motor vehicle” as defined in §17A-1-1 of this code; and (viii) a motorcycle, as defined in that section.

“Owner,” a person or business who owns or leases a motor vehicle registered in the commonwealth.

“Trade secret,” anything, tangible or intangible or electronically stored or kept, which constitutes, represents, evidences or records intellectual property including secret or confidentially held designs, processes, procedures, formulas, inventions, or improvements, or secret or confidentially held scientific, technical, merchandising, production, financial, business or management information, or anything within the definition of 18 U.S.C. §1839(3).

§17A-16F-2.  Availability of diagnostic and repair information; independent repair facilities; exceptions.  


(a) Except as provided in §17A-16F-2(e) of this code, for Model Year 2002 motor vehicles and thereafter, a manufacturer of motor vehicles sold in the state shall make available for purchase by owners of motor vehicles manufactured by the manufacturer and by independent repair facilities the same diagnostic and repair information, including repair technical updates, that the manufacturer makes available to its dealers through the manufacturer’s Internet-based diagnostic and repair information system or other electronically accessible manufacturer’s repair information system. All content in any the manufacturer’s repair information system shall be made available to owners and to independent repair facilities in the same form and manner and to the same extent as is made available to dealers utilizing the diagnostic and repair information system. Each manufacturer shall provide access to the manufacturer’s diagnostic and repair information system for purchase by owners and independent repair facilities on a daily, monthly and yearly subscription basis and upon fair and reasonable terms.

(b) Any manufacturer that sells any diagnostic, service, or repair information to any independent repair facility or other third party provider in a format that is standardized with other manufacturers, and on terms and conditions more favorable than the manner and the terms and conditions pursuant to which the dealer obtains the same diagnostic, service or repair information, is prohibited from requiring any dealer to continue purchasing diagnostic, service, or repair information in a proprietary format, unless the proprietary format includes diagnostic, service, repair or dealership operations information or functionality that is not available in the standardized format.

(c)(1) For Model Year 2002 motor vehicles and thereafter, each manufacturer of motor vehicles sold in the state shall make available for purchase by owners and independent repair facilities all diagnostic repair tools incorporating the same diagnostic, repair and wireless capabilities that the manufacturer makes available to its dealers. The tools shall incorporate the same functional repair capabilities that the manufacturer makes available to dealers. Each manufacturer shall offer the tools for sale to owners and to independent repair facilities upon fair and reasonable terms.

(2) Any diagnostic tool or information necessary to diagnose, service or repair a motor vehicle that a manufacturer sells to any independent repair facility in a manner and on terms and conditions more favorable than the manner and the terms and conditions pursuant to which the dealer obtains the same diagnostic tool or information necessary to diagnose, service or repair a motor vehicle, shall also be offered to the dealer in the same manner and on the same terms and conditions as provided to the independent repair facility.

(3) Any manufacturer that sells to any independent repair facility any diagnostic tool necessary to diagnose, service or repair a motor vehicle and the diagnostic tool communicates with the vehicle using the same nonproprietary interface used by other manufacturers, the manufacturer delivering the diagnostic tool is prohibited from requiring any dealer from continuing to purchase that manufacturer’s proprietary tool and interface unless the proprietary interface has a capability not available in the non-proprietary interface.

(4) Each manufacturer shall provide diagnostic repair information to each aftermarket scan tool company and each third-party service information provider with whom the manufacturer has appropriate licensing, contractual or confidentiality agreements for the sole purpose of building aftermarket diagnostic tools and third-party service information publications and systems. Once a manufacturer makes the information available pursuant to this section, the manufacturer will have fully satisfied its obligations under this section and thereafter not be responsible for the content and functionality of aftermarket diagnostic tools or service information systems.

(d)(1) Commencing in Model Year 2020, except as provided in §17A-16F-2(e) of this code, manufacturers of motor vehicles sold in the state shall provide access to their onboard diagnostic and repair information system, as required under this section, using an off-the-shelf personal computer with sufficient memory, processor speed, connectivity and other capabilities as specified by the vehicle manufacturer and: (A) A nonproprietary vehicle interface device that complies with the Society of Automotive Engineers SAE J2534, the International Standards Organizations ISO 22900 or any successor to SAE J2534 or ISO 22900 as may be accepted or published by the Society of Automotive Engineers or the International Standards Organizations; (B) an on-board diagnostic and repair information system integrated and entirely self-contained within the vehicle including, but not limited to, service information systems integrated into an onboard display; or (C) a system that provides direct access to on-board diagnostic and repair information through a nonproprietary vehicle interface such as Ethernet, Universal Serial Bus or Digital Versatile Disc. Each manufacturer shall provide access to the same on-board diagnostic and repair information available to their dealers, including technical updates to the on-board systems, through the nonproprietary interfaces as referenced in this paragraph.

(2) Nothing in this article may be construed to require a dealer to use the nonproprietary vehicle interface (i.e., SAE J2534 or ISO 22900 vehicle interface device) specified in this subsection, nor may this article be construed to prohibit a manufacturer from developing a proprietary vehicle diagnostic and reprogramming device: Provided, That: (A) The manufacturer also complies with §17A-16F-2(d)(1) and §17A-16F-2(d)(2) of this code; and (B) the manufacturer also makes this device available to independent repair facilities upon fair and reasonable terms, and otherwise complies with §17A-16F-2(a) of this code.

(3) No manufacturer may be prohibited from making proprietary tools available to dealers if the tools are for a specific specialized diagnostic or repair procedure developed for the sole purpose of a customer service campaign meeting the requirements set out in 49 CFR §579.5, or performance of a specific technical service bulletin or recall after the vehicle was produced, and where original vehicle design was not originally intended for direct interface through the nonproprietary interface set out in §17A-16F-2(d)(1) of this code. Provision of the proprietary tools under this subdivision does not constitute a violation of this article even if the tools provide functions not available through the interface set forth in §17A-16F-2(d)(1) of this code: Provided, That the proprietary tools are also available to the aftermarket upon fair and reasonable terms. Nothing in this subdivision authorizes manufacturers to exclusively develop proprietary tools, without a nonproprietary equivalent as set forth in §17A-16F-2(d)(1) of this code, for diagnostic or repair procedures that fall outside the provisions of this subdivision or to otherwise operate in a manner inconsistent with the requirements of §17A-16F-2(d)(1) of this code.

(e) Manufacturers of motor vehicles sold in the state may exclude diagnostic, service and repair information necessary to reset an immobilizer system or security-related electronic modules from information provided to owners and independent repair facilities. If excluded under this paragraph, the information necessary to reset an immobilizer system or security-related electronic modules shall be obtained by owners and independent repair facilities through the secure data release model system as currently used by the National Automotive Service Task Force or other known, reliable and accepted systems.

(f) With the exception of telematics diagnostic and repair information that is provided to dealers, necessary to diagnose and repair a customer’s vehicle, and not otherwise available to an independent repair facility via the tools specified in §17A-16F-2(c)(1) and §17A-16F-2(d)(1) of this code, nothing in this article applies to telematics services or any other remote or information service, diagnostic or otherwise, delivered to or derived from the vehicle by mobile communications; provided, however, that nothing in this article may be construed to abrogate a telematics services or other contract that exists between a manufacturer or service provider, a motor vehicle owner, and/or a dealer. For purposes of this chapter, telematics services include but are not limited to automatic airbag deployment and crash notification, remote diagnostics, navigation, stolen vehicle location, remote door unlock, transmitting emergency and vehicle location information to public safety answering points as well as any other service integrating vehicle location technology and wireless communications. Nothing in this article requires a manufacturer or a dealer to disclose to any person the identity of existing customers or customer lists.

§17A-16F-3. Trade secrets.  


Nothing in this article may be construed to require a manufacturer to divulge a trade secret.

§17A-16F-4. Franchise agreements.


Notwithstanding any general or special law or any rule or regulation to the contrary, no provision in this article may be read, interpreted or construed to abrogate, interfere with, contradict or alter the terms of any franchise agreement executed and in force between a dealer and a manufacturer including, but not limited to, the performance or provision of warranty or recall repair work by a dealer on behalf of a manufacturer pursuant to the franchise agreement: Provided, That any provision in the franchise agreement that purports to waive, avoid, restrict or limit a manufacturer’s compliance with this article is void and unenforceable.

§17A-16F-5.  Access to nondiagnostic and repair information.


Nothing in this article may be construed to require manufacturers or dealers to provide an owner or independent repair facility access to nondiagnostic and repair information provided by a manufacturer to a dealer, or by a dealer to a manufacturer pursuant to the terms of a franchise agreement.

§17A-16F-6.  Additional remedies.


(a) In addition to any other remedies that may be available under law, a violation of this article is an unfair method of competition and an unfair or deceptive act or practice in the conduct of trade or commerce in violation of this code.

(b) An independent repair facility or owner who believes that a manufacturer has failed to provide information or a tool required by this article must notify the manufacturer in writing through the National Automotive Service Task Force (NASTF) Service Information Request process or its successor organization or process, and give the manufacturer 30 days from the time the manufacturer receives the complaint to cure the failure. If the manufacturer cures said complaint within the cure period, damages are limited to actual damages in any subsequent unfair method of competition and an unfair or deceptive act or practice in the conduct of trade or commerce litigation.

(c) If the manufacturer fails to respond to the notice provided pursuant to §17A-16F-6(b) of this code, or if an independent repair facility or owner is not satisfied with the manufacturer’s cure, the independent repair facility or owner may file a complaint in the superior court, or if applicable in the federal district court for the district of Massachusetts. The complaint must include, but not be limited to, the following: (1) Written information confirming that the complainant has visited the relevant manufacturer website and attempted to effect a proper repair utilizing information provided on the website, including communication with customer assistance via the manufacturer’s toll-free call-in assistance, if made available by the manufacturer; (2) written information confirming that the complainant has obtained and utilized the relevant manufacturer’s scan or diagnostic tool necessary for the repair; and (3) evidence of manufacturer notification as set out in §17A-16F-6(b) of this code.

(d) Except in the instance of a dispute arising between a franchisor manufacturer and its franchisee dealer related to either party’s compliance with an existing franchise agreement a dealer has all the rights and remedies provided in this chapter, including, but not limited to, in the instance when exercising rights and remedies as allowed as an independent repair facility.

 

 

NOTE: The purpose of this bill is to create the Right to Repair Act. The bill requires a manufacturer of motor vehicles sold in the state to make diagnostic and repair information available to owners independent repair facilities that the manufacturer makes available to its dealers through the manufacturer's Internet-based diagnostic and repair information system. The bill provides exceptions. The bill provides additional remedies. The bill defines terms.

Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.

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