IC 9-32-11-20: Applicability; prohibition on direct sales by manufacturers; exceptions; effect of conveying majority interest

Sec. 20. (a) This section does not apply to:

(1) a manufacturer of a trailer or semitrailer; or

(2) a manufacturer that produces fewer than one thousand (1,000) units per year.

(b) Except as provided in subsection (d) or under IC 9-32-13-23(a)(3), a manufacturer or distributor may not sell or offer to sell, directly or indirectly, a new motor vehicle to the general public in Indiana except through a new motor vehicle dealer holding a franchise for the line make covering the new motor vehicle. This subsection does not apply to the sales of new motor vehicles by a manufacturer or franchisor to:

(1) the federal government;

(2) a charitable organization; or

(3) an employee of the manufacturer or distributor.

(c) Except as provided in subsection (d), a manufacturer or distributor may not engage in sales directly to the general public in Indiana.

(d) A manufacturer or distributor may engage in sales directly to the general public in Indiana only if:

(1) the manufacturer or distributor was granted an initial license to sell new motor vehicles before July 1, 2015; and

(2) the manufacturer or distributor establishes at least one (1) physical location in Indiana that is a warranty repair service center before January 1, 2018.

(e) A manufacturer or distributor described in subsection (d) must stop engaging in sales directly to the general public in Indiana if the manufacturer or distributor sells, transfers, or conveys a majority interest in the manufacturer or distributor to another person that is required to be licensed under this chapter.