Section 3064 Of Article 4. Hearings On Franchise Modification, Replacement, Termination, Refusal To Continue, Delivery And Preparation Obligations, And Warranty Reimbursement From California Vehicle Code >> Division 2. >> Chapter 6. >> Article 4.
3064
. (a) Every franchisor shall specify to its franchisees the
delivery and preparation obligations of the franchisees prior to
delivery of new motor vehicles to retail buyers. A copy of the
delivery and preparation obligations, which shall constitute the
franchisee's only responsibility for product liability between the
franchisee and the franchisor but shall not in any way affect the
franchisee's responsibility for product liability between the
purchaser and either the franchisee or the franchisor, and a schedule
of compensation to be paid to franchisees for the work and services
they shall be required to perform in connection with those delivery
and preparation obligations shall be filed with the board by
franchisors, and shall constitute the compensation as set forth on
the schedule. The schedule of compensation shall be reasonable, with
the reasonableness thereof being subject to the approval of the
board, if a franchisee files a notice of protest with the board. In
determining the reasonableness of the schedules, the board shall
consider all relevant circumstances, including, but not limited to,
the time required to perform each function that the dealer is
obligated to perform and the appropriate labor rate.
(b) Upon delivery of the vehicle, the franchisee shall give a copy
of the delivery and preparation obligations to the purchaser and a
written certification that the franchisee has fulfilled these
obligations.