2016 US Code
Title 15 - Commerce and Trade
Chapter 27 - Automobile Dealer Suits Against Manufacturers
Sec. 1226 - Motor vehicle franchise contract dispute resolution process

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Citation 15 U.S.C. § 1226 (2016)
Section Name §1226. Motor vehicle franchise contract dispute resolution process
Section Text (a) Election of arbitration (1) Definitions

For purposes of this subsection—

(A) the term "motor vehicle" has the meaning given such term in section 30102(6) of title 49; 1 and

(B) the term "motor vehicle franchise contract" means a contract under which a motor vehicle manufacturer, importer, or distributor sells motor vehicles to any other person for resale to an ultimate purchaser and authorizes such other person to repair and service the manufacturer's motor vehicles.

(2) Consent required

Notwithstanding any other provision of law, whenever a motor vehicle franchise contract provides for the use of arbitration to resolve a controversy arising out of or relating to such contract, arbitration may be used to settle such controversy only if after such controversy arises all parties to such controversy consent in writing to use arbitration to settle such controversy.

(3) Explanation required

Notwithstanding any other provision of law, whenever arbitration is elected to settle a dispute under a motor vehicle franchise contract, the arbitrator shall provide the parties to such contract with a written explanation of the factual and legal basis for the award.

(b) Application

Subsection (a) shall apply to contracts entered into, amended, altered, modified, renewed, or extended after November 2, 2002.

Source Credit

(Pub. L. 107–273, div. C, title I, §11028, Nov. 2, 2002, 116 Stat. 1835.)

Editorial Notes REFERENCES IN TEXT

Section 30102(6) of title 49, referred to in subsec. (a)(1)(A), probably should be "section 30102(a)(6) of title 49", which was redesignated section 30102(a)(7) of title 49 by section 24109(b)(2) of Pub. L. 114–94, div. B, title XXIV, Dec. 4, 2015, 129 Stat. 1706.

CODIFICATION

Section was enacted as part of the 21st Century Department of Justice Appropriations Authorization Act, and not as part of act Aug. 8, 1956, ch. 1038, which comprises this chapter.

Footnotes

1 See References in Text note below.

Publication Title United States Code, 2012 Edition, Supplement 4, Title 15 - COMMERCE AND TRADE
Category Bills and Statutes
Collection United States Code
SuDoc Class Number Y 1.2/5:
Contained Within Title 15 - COMMERCE AND TRADE
CHAPTER 27 - AUTOMOBILE DEALER SUITS AGAINST MANUFACTURERS
Sec. 1226 - Motor vehicle franchise contract dispute resolution process
Contains section 1226
Date 2016
Laws In Effect As Of Date January 6, 2017
Positive Law No
Disposition standard
Statutes at Large References 116 Stat. 1835
129 Stat. 1706
Public Law References Public Law 107-273, Public Law 114-94
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