{"data":{"id":"us-ok/okla.-stat.-tit.-47-47-596.6","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 47, § 47-596.6","heading":"Dealer termination of dealer agreement - Good cause -","body":"Notice - Repurchase of inventory.\n\nA. A dealer may terminate a dealer agreement with a\n\nmanufacturer with or without good cause. If the dealer terminates\n\nor does not renew the dealer agreement with good cause, the\n\nmanufacturer shall comply with the provisions of paragraphs D and E\n\nof this section. If the dealer terminates or does not renew the\n\ndealer agreement without good cause, the provisions of paragraphs D\n\nand E of this section shall not apply. A dealer that terminates a\n\ndealer agreement shall provide the manufacturer with written notice\n\nat least ninety (90) days prior to the effective date of the\n\ntermination of the dealer agreement.\n\nB. All of the following conditions shall apply to a termination\n\nof a dealer agreement under this section for good cause:\n\n1. The notice described in subsection A of this section shall\n\nstate all reasons for the proposed termination;\n\n2. The notice described in subsection A of this section shall\n\nstate that if the manufacturer provides to the dealer a written\n\nnotification of intent to cure all claimed deficiencies within\n\nthirty (30) days after the manufacturer receives the notice, the\n\nmanufacturer shall have one hundred twenty (120) days after the date\n\nof the notice to correct the deficiencies. If all of the\n\ndeficiencies are corrected within the one-hundred-twenty-day period,\n\nthe notice shall be deemed void and the dealer shall not terminate\n\nthe dealer agreement because of the claimed deficiencies stated in\n\nthe notice. If the manufacturer does not provide a notification of\n\nintent to cure deficiencies within thirty (30) days of receiving the\n\nnotice to terminate the dealer agreement, the termination shall take\n\neffect sixty (60) days after the manufacturer received from the\n\ndealer the notice to terminate;\n\n3. A dealer may reduce the notice period described in\n\nsubsection A of this section from ninety (90) days to thirty (30)\n\ndays and shall not be required to allow the manufacturer an\n\nopportunity to correct the deficiencies if the grounds for\n\ntermination or nonrenewal of the dealer agreement by the dealer are\n\nany of the specific categories of good cause described in subsection\n\nC of this section; and\n\n4. A dealer is not required to provide notice or an opportunity\n\nto correct deficiencies under this section if the grounds for\n\ntermination or nonrenewal of the dealer agreement by the dealer\n\nincludes one of the following:\n\na. the manufacturer becomes insolvent,\n\nb. the manufacturer is bankrupt, or\n\nc. the manufacturer makes an assignment for the benefit\n\nof creditors.\n\nC. The dealer has the burden of showing good cause. Any one of\n\nthe following categories is considered good cause for a proposed\n\ntermination of a dealer agreement by a dealer:\n\n1. A conviction of a felony or a plea of guilty or nolo\n\ncontendere to a felony by a manufacturer of a crime that was\n\ncommitted during the time frame of the current dealer agreement;\n\nprovided, there is full disclosure, in writing, of any felony\n\nconviction or plea of guilty or nolo contendere to any such felony\n\ncrime that occurred within ten (10) years of entering into such\n\ndealer agreement;\n\n2. Abandonment or permanent closing of the business operations\n\nof the manufacturer for twenty-one (21) consecutive business days\n\nwithout contacting the dealer prior to the closing unless the\n\nclosing is due to an act of God, strike, labor difficulty, or other\n\ncause over which the manufacturer has no control;\n\n3. A material misrepresentation to the dealer by the\n\nmanufacturer that severely affects the business relationship between\n\nthe dealer and manufacturer;\n\n4. A material violation of any of the provisions of the\n\nRecreational Vehicle Franchise Act by the manufacturer;\n\n5. A material breach of the dealer agreement by the\n\nmanufacturer; or\n\n6. The manufacturer becomes insolvent, is bankrupt, or makes an\nA material misrepresentation to the dealer by the\n\nmanufacturer that severely affects the business relationship between\n\nthe dealer and manufacturer;\n\n4. A material violation of any of the provisions of the\n\nRecreational Vehicle Franchise Act by the manufacturer;\n\n5. A material breach of the dealer agreement by the\n\nmanufacturer; or\n\n6. The manufacturer becomes insolvent, is bankrupt, or makes an\n\nassignment for the benefit of creditors.\n\nD. If the manufacturer fails to cure any claimed deficiencies\n\npursuant to subsection B of this section, the dealer may require\n\nthat the manufacturer repurchase any of the following from the\n\ndealer:\n\n1. All new, untitled recreational vehicles that were acquired\n\nfrom the manufacturer within eighteen (18) months prior to the\n\neffective date of the notice of termination of the dealer agreement\n\nthat have not been used, except for demonstration purposes, and that\n\nhave not been altered or damaged, may be repurchased at one hundred\n\npercent (100%) of the net invoice cost of the recreational vehicles,\n\nincluding transportation, less applicable rebates and discounts to\n\nthe dealer;\n\n2. All current and undamaged accessories and proprietary parts\n\nsold to the dealer for resale within eighteen (18) months prior to\n\nthe effective date of the termination of the dealer agreement that\n\nare accompanied by the original invoice may be repurchased at one\n\nhundred five percent (105%) of the original net price paid to the\n\nmanufacturer to compensate the dealer for handling, packing, and\n\nshipping the accessories and parts; and\n\n3. Any properly functioning diagnostic equipment, special\n\ntools, current signage, and other equipment and machinery, purchased\n\nby the dealer within five (5) years prior to the effective date of\n\nthe termination of the dealer agreement if such equipment or\n\nmachinery cannot be used in the normal course of the ongoing\n\nbusiness of the dealer, may be repurchased at one hundred percent\n\n(100%) of the net cost of the dealer, plus freight, destination,\n\ndelivery, and distribution charges and sales taxes.\n\nE. The dealer shall promptly return or arrange for the return\n\nof all of the items the manufacturer is required to repurchase under\n\nsubsection D of this section at the expense of the manufacturer.","path":["OK Code","Title 47"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os47.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"3ebaeb891effb4443d5159894f8271ac297798fa2131b874cb89109fe2a20bda","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-47-47-596.5","next":"us-ok/okla.-stat.-tit.-47-47-596.7"},"notice":"GroundRules: Original legal text. Not legal advice."}