{"data":{"id":"us-ky/krs-190.0491","jurisdiction":"us-ky","citation":"KRS 190.0491","heading":"\"Delivery\" defined -- Dealer's duties concerning vehicle damaged  in","body":"transit -- Reversion of ownership -- Certification to consumer  -- Failure of\nmanufacturer to indemnify dealer.\n(1) \"Delivery\" of a motor vehicle to a dealer by a manufacturer or distributor for the\npurposes of this section shall be accomplished by the:\n(a) Tender of the motor vehicle and any documents necessary to enable the\ndealer to obtain title and possession of the motor vehicle at the dealer's\nplace of business or designated place of delivery, and\n(b) The giving of notice of the tender of the motor vehicle and documents to\nthe dealer.\n(2) Whenever  a motor vehicle is damaged  while in transit when the carrier or the\nmeans  of transportation is designated by the manufacturer or distributor, or\nwhenever a motor vehicle is otherwise damaged  prior to delivery to the dealer,\nthe dealer must:\n(a) Notify the manufacturer or distributor of the damage  within three (3)\nworking days of the occurrence of the delivery of the motor vehicle as\ndefined in subsection (1) of this section; and\n(b) Request from the manufacturer or distributor authorization to repair the\ndamages  sustained or to replace the parts or accessories damaged.\nNotification of damage  by the dealer must be by certified mail, with a notice of\ndelivery requested to be returned to the dealer, and shall be presumed to have\noccurred upon deposit of the notice with the United States Postal Service.\n(3) In the event the manufacturer or distributor refuses or fails to authorize repair\nor replacement of the damage  within three (3) working days of notification of\ndamage  by the dealer, ownership of the motor vehicle shall revert to the\nmanufacturer or distributor, and the dealer shall incur no obligations, financial\nor otherwise, for the damage  to the motor vehicle. In determining when the\nnotification of the damage  by the dealer to the manufacturer or distributor\noccurs, the date the notice is received by the manufacturer or distributor by the\nUnited States Postal Service indicated on the notice of delivery returned to the\ndealer shall be controlling.\n(4) In computing the lapse of three (3) working days under this section, the day of\nthe  occurrence of delivery of the motor vehicle to the dealer by the\nmanufacturer or distributor, as defined in subsection (1) of this section, or the\nday  of notification of the damage  to the manufacturer or distributor by the\ndealer, as described in subsection (3) of this section, shall not be included, but\nthe last working day of the period so computed shall be included.\n(5) Prior to the sale of any motor vehicle damaged  prior to delivery to the dealer as\ndescribed in subsection (2) of this section, excluding damage  to glass, tires,\nand  bumpers when  replaced by identical manufacturer's original equipment\nand  any damage  not exceeding six percent (6%) of the sticker price of the\nvehicle, the occurrence and extent of the damage  must be disclosed by the\ndealer to the consumer, and  upon  repair of the damage  sustained, or\nreplacement of the parts or accessories damaged, the manufacturer and/or\ndealer, must certify to the consumer that the motor vehicle has been repaired\nor remanufactured to the manufacturer's standards; if the dealer makes  the\ncertification he  shall be  indemnified by  the manufacturer. Upon  this\ncertification, liability for any concealed damages  then remaining with the motor\nvehicle shall lie with the manufacturer.\n(6) Whenever  a motor vehicle is damaged  resulting in repairs, for items other than\nwheels, tires, or glass, that exceed two thousand dollars ($2,000) after delivery\nto the dealer by the manufacturer or distributor, as defined in subsection (1) of\nthis section, but before sale by the dealer to the consumer, the occurrence and\nextent of the damage  must be disclosed by the dealer to the consumer prior to\na sale, and upon repair of the damage  sustained, or replacement of parts or\naccessories damaged, the dealer must certify to the consumer that this motor\nvehicle has been repaired or remanufactured according to the manufacturer's\nstandards. Upon  this certification, liability for any concealed damages  then\nremaining with the motor vehicle shall lie with the dealer.\n(7) Notwithstanding the terms of any franchise agreement, it shall be a violation of\nthis section for any new motor vehicle manufacturer to fail to indemnify and\nhold harmless its franchised dealers against any judgment or settlement\nagreed to in writing by the manufacturer for damages, including, but not limited\nto, court costs and reasonable attorneys' fees of the new motor vehicle dealer,\narising out of complaints, claims, or lawsuits including, but not limited to, strict\nliability, negligence, misrepresentation, warranty (express or implied), or\nrescission of the sale as is defined in KRS  355.2-608, to the extent that the\njudgment or settlement agreed to in writing by the manufacturer relates to the\nalleged defective or negligent manufacture, assembly, or design of new motor\nvehicles, parts, or accessories or other functions by the manufacturer, beyond\nthe control of the dealer.","path":["KRS Chapter 190"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=46720","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:51:45Z","sha256":"692dc645c6809c2b6a00824bcd8a361a67c9ee0c4eabc1ef82263b8e960a3b61","source_id":"us-ky","stale":false,"prev":"us-ky/krs-190.049","next":"us-ky/krs-190.050"},"notice":"GroundRules: Original legal text. Not legal advice."}
