Substantial alteration of existing facility of dealer: Restrictions on manufacturer; criteria that constitute modification of franchise agreement.

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1. A manufacturer shall not require a dealer:

(a) To alter substantially an existing facility of the dealer; or

(b) To construct a new facility,

for any new vehicles that are handled by the dealer unless the alteration or new construction constitutes a reasonable facility requirement in accordance with the franchise agreement.

2. If a manufacturer requires a substantial alteration of an existing facility of the dealer or requires the dealer to construct a new facility, that requirement constitutes a modification of the franchise of the dealer for the purposes of this section and NRS 482.36311 to 482.36425, inclusive.

(Added to NRS by 2011, 1026)


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