2021 South Carolina Code of Laws
Title 56 - Motor Vehicles
Chapter 15 - Regulation Of Manufacturers, Distributors And Dealers
Section 56-15-70. Certain unreasonable restrictions on dealers or franchisees unlawful.

Universal Citation: SC Code § 56-15-70 (2021)

It is unlawful to directly or indirectly impose unreasonable restrictions on the motor vehicle dealer or franchisee relative to transfer, sale, relocation, right to renew, termination, discipline, noncompetition covenants, site-control (whether by sublease, collateral pledge of lease, or otherwise), or to exercise a right of first refusal to purchase, option to purchase, or compliance with subjective standards and assertion of legal or equitable rights.

HISTORY: 1962 Code Section 46-150.157; 1972 (57) 2419; 2021 Act No. 31 (S.510), Section 10, eff August 4, 2021.

Editor's Note

2021 Act No. 31, Section 14, provides as follows:

"SECTION 14. This act takes effect ninety days after approval by the Governor and applies to all current and future franchises and other agreements in existence between any franchisee located in this State and a franchisor as of the effective date of this act."

Effect of Amendment

2021 Act No. 31, Section 10, substituted "It is unlawful to directly or indirectly" for "It shall be unlawful directly or indirectly to", inserted "relocation," and "or to exercise a", and "or" following "option to purchase,".

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