Research About Meet PRIA

Support Data Sources Privacy Policy Terms of Servicehello@policyrisk.com

© 2026 PRIA Technologies, LLC. All rights reserved.

PRIA provides educational policy intelligence and is not a source of investment, legal, or financial advice. Content is for informational purposes only.

™

Your Policy Risk Impact Agent

Research

At My Address
Federal Courts
Daily Briefings
Medicare & Social Security
Policy Risk Index
Congressional Bills
Federal Register
Tariffs
Fed Decisions & The Economy
State Tracker
World Watch
U.S. Code
U.S. Constitution
Aliens

Knowledge

Search Polipedia
Daily Briefings
Calculators
Policy Risk Index
What is Policy Risk?
The Countdown

Company

About PRIA
Support

Get PRIA

Support Data Sources Privacy Policy Terms of Service

hello@policyrisk.com

© 2026 PRIA Technologies, LLC. All rights reserved.

PRIA is a trademark of PRIA Technologies, LLC.

PRIA provides educational policy intelligence and is not a source of investment, legal, or financial advice. Content is for informational purposes only.

Michigan Statutes, Title 445

™

Your Policy Risk Impact Agent

Michigan/Statutes

← All Michigan coverage

Title 445, TRADE AND COMMERCE

114 chapters · 762 sections in this title.

All chapters in Title 445762 Ch 173-of-1987, MORTGAGE BROKERS, LENDERS, AND SERVI…42 Ch 331-of-1976, MICHIGAN CONSUMER PROTECTION ACT37 Ch 269-of-1974, FRANCHISE INVESTMENT LAW34 Ch 332-of-1965, HOME IMPROVEMENT FINANCE ACT34 Ch 118-of-1981, MOTOR VEHICLE FRANCHISE ACT28 Ch 224-of-1966, RETAIL INSTALLMENT SALES ACT27 Ch 424-of-1984, RENTAL-PURCHASE AGREEMENT ACT20 Ch 452-of-2004, IDENTITY THEFT PROTECTION ACT20 Ch 274-of-1984, MICHIGAN ANTITRUST REFORM ACT19 Ch 229-of-2013, SECURITY FREEZE ACT18 Ch Initiated Law 1-of-1976, BEVERAGE CONTAINERS17 Ch 155-of-1981, OWNERSHIP RIGHTS IN DIES, MOLDS, AND…17 Ch 33-of-2009, RECREATIONAL VEHICLE FRANCHISE ACT15 Ch 15-of-2011, SHOPPING REFORM AND MODERNIZATION ACT14

28 sections·Filtered byTitle 445✕Ch 118-of-1981✕

Mich. Comp. Laws § 445.1561 Short title; Meanings of words and phrases.
0.3K chars
Sec. 1. (1) This act shall be known and may be cited as the "motor vehicle franchise act". (2) For the purposes of this act, the words and phrases defined in sections 2 to 6 have the meanings ascribed to them in those sections, except where the context clearly indicates a differe…
Mich. Comp. Laws § 445.1562 Definitions; C, D.
2.8K chars
Sec. 2. (1) "Closed dealership" means a new motor vehicle dealer whose dealer agreement has been terminated, canceled, discontinued, or not renewed. (2) "Coerce" means to compel or attempt to compel a person to act in a given manner or to refrain from acting in a given manner by …
Mich. Comp. Laws § 445.1563 Definitions; D to F.
2.5K chars
Sec. 3. (1) "Distributor" means any person, including importer, that is located in or outside of this state and is engaged in the business of offering for sale, selling, or distributing new and unaltered motor vehicles to a new motor vehicle dealer under a dealer agreement, that …
Mich. Comp. Laws § 445.1564 Definitions; G to M.
2.8K chars
Sec. 4. (1) "Good faith" means that term as defined in section 1201 of the uniform commercial code, 1962 PA 174, MCL 440.1201. (2) "Good moral character" means good moral character as defined in and determined under 1974 PA 381, MCL 338.41 to 338.47. (3) "Line-make" means a colle…

Mich. Comp. Laws § 445.1565 Definitions; N to P.

1.0K chars

Sec. 5. (1) "New motor vehicle" means a motor vehicle that is in the possession of the manufacturer, distributor, or wholesaler, or has been sold only to a new motor vehicle dealer and for which the new motor vehicle dealer has not issued an original title. (2) "New motor vehicle…

Mich. Comp. Laws § 445.1566 Definitions; R to U.

3.0K chars

Sec. 6. (1) "Relevant market area" means 1 of the following: (a) In a county that has a population of more than 150,000, the area within a radius of 9 miles of the site of the intended place of business of a proposed new vehicle dealer or the intended place of business of a new v…

Mich. Comp. Laws § 445.1567 Cancellation, termination, nonrenewal, or discontinuance of dealer agreement; conditions; existence of good cause; failure to comply with agreement; notification; evidence in writing.

3.8K chars

Sec. 7. (1) Notwithstanding any agreement, a manufacturer or distributor shall not cancel, terminate, fail to renew, or refuse to continue any dealer agreement with a new motor vehicle dealer unless the manufacturer or distributor meets all of the following: (a) Has satisfied the…

Mich. Comp. Laws § 445.1568 Acts not constituting good cause for termination, cancellation, nonrenewal, or discontinuance of dealer agreement.

2.1K chars

Sec. 8. Notwithstanding any agreement, the following alone shall not constitute good cause for the termination, cancellation, nonrenewal, or discontinuance of a dealer agreement under section 7(1)(c): (a) A change in ownership of the new motor vehicle dealer's dealership. This su…

Mich. Comp. Laws § 445.1569 Burden of proof.

0.3K chars

Sec. 9. For each termination, cancellation, nonrenewal, or discontinuance, the manufacturer or distributor shall have the burden of proof for showing that it has acted in good faith, that the notice requirement has been complied with, and that there was good cause for the termina…

Mich. Comp. Laws § 445.1570 Notice of termination, cancellation, nonrenewal, or discontinuance of dealer agreement.

2.3K chars

Sec. 10. Notwithstanding any agreement, prior to the termination, cancellation, nonrenewal, or discontinuance of any dealer agreement, the manufacturer or distributor shall furnish notice of the termination, cancellation, nonrenewal, or discontinuance to the new motor vehicle dea…

Mich. Comp. Laws § 445.1571 Compensation of dealer generally.

5.5K chars

Sec. 11. (1) Subject to section 12, if a manufacturer terminates, cancels, does not renew, or discontinues a dealer agreement for any reason other than a reason described in section 10(c), or if a dealer agreement is terminated, canceled, nonrenewed, or discontinued as a result o…

Mich. Comp. Laws § 445.1572 Payment of compensation; time; determination of amount; interest; definitions.

6.4K chars

Sec. 12. (1) A manufacturer shall pay the compensation for new motor vehicle inventory and items of personal property required under section 11(1) within 60 days after the effective date of the termination, cancellation, nonrenewal, or discontinuance, provided that the new motor …

Mich. Comp. Laws § 445.1573 Requiring dealer to perform certain duties prohibited; definitions.

9.4K chars

Sec. 13. (1) A manufacturer shall not require any new motor vehicle dealer in this state to do any of the following: (a) Order or accept delivery of any new motor vehicle, a part or accessory of a new motor vehicle, equipment, or any other commodity not required by law that is no…

Mich. Comp. Laws § 445.1574 Prohibited conduct by manufacturer.

21.8K chars

Sec. 14. (1) A manufacturer shall not do any of the following: (a) Adopt, change, establish, or implement a plan or system for the allocation and distribution of new motor vehicles to new motor vehicle dealers that is arbitrary or capricious or based on unreasonable sales and ser…

Mich. Comp. Laws § 445.1574a Property use agreement not required as condition; exception; termination of agreement between manufacturer and new motor vehicle dealer; effect of inconsistent provision; "property use agreement" defined.

2.6K chars

Sec. 14a. (1) A manufacturer shall not require that a new motor vehicle dealer, a proposed new motor vehicle dealer, or any owner of an interest in a dealership facility enter into or agree to a property use agreement as a condition to any of the following: (a) Awarding a dealer …

Mich. Comp. Laws § 445.1574b Right of first refusal; conditions; liability; definitions.

3.4K chars

Sec. 14b. (1) A manufacturer shall not exercise a right of first refusal or other right to acquire a new motor vehicle dealership from a new motor vehicle dealer, unless the manufacturer does all of the following: (a) Within 75 days after the manufacturer receives a complete writ…

Mich. Comp. Laws § 445.1575 Succession to dealership by designated family member of deceased or incapacitated dealer or executive manager of dealership; conditions; refusal to honor existing dealer agreement for good cause; personal and financial information; notice of refusal to approve succession; contents; service; designation of successor by written instrument.

3.3K chars

Sec. 15. (1) If a new motor vehicle dealer dies or becomes incapacitated, any designated family member of the dealer or executive manager of the dealership may succeed the dealer in the ownership or operation of the dealership under the existing dealer agreement if the designated…

Mich. Comp. Laws § 445.1576 Establishment or relocation of additional dealer; notice; declaratory judgment action; exception; judicial determination of good cause.

2.8K chars

Sec. 16. (1) As used in this section, "relocate" and "relocation" shall not include the relocation of a new motor vehicle dealer within 2 miles of its established place of business. (2) Before a manufacturer or distributor enters into a dealer agreement establishing or relocating…

Mich. Comp. Laws § 445.1577 Dealer's obligations for preparation, delivery, and warranty service; written specifications; compensating dealer for required warranty service; schedule of compensation; prohibited conduct; claims for labor and parts; payment; approval or disapproval; charge back for false or fraudulent claims; records of warranty repairs; compensation and claims for promotion events, programs, or activities; approval or disapproval of claims; meeting; disclosure of proprietary or confidential information; audit.

7.0K chars

Sec. 17. (1) A manufacturer shall specify in writing to each of its new motor vehicle dealers licensed in this state the dealer's obligations for preparation, delivery, recall service, and warranty service on its products. A manufacturer shall compensate a new motor vehicle deale…

Mich. Comp. Laws § 445.1577a Reasonable compensation for parts reimbursement and labor rates; factors.

7.2K chars

Sec. 17a. (1) The principal factors in determining what constitutes reasonable compensation for parts reimbursement and labor rates for purposes of section 17(1) are as follows: (a) The retail price charged for parts by other similarly situated new motor vehicle dealers in a comp…

Mich. Comp. Laws § 445.1577b Compensation to perform recall repairs; conditions; application of section; prohibited conduct; stop-sale order; exclusive remedy.

3.8K chars

Sec. 17b. (1) A manufacturer shall compensate its new motor vehicle dealers a reasonable amount for all labor and parts required by the manufacturer to perform recall repairs. (2) If parts or a remedy are not reasonably available to perform a recall service or repair on a used ve…

Mich. Comp. Laws § 445.1578 Liability for damage to new motor vehicles; rejection of new motor vehicle by dealer; credit.

1.1K chars

Sec. 18. (1) Notwithstanding the terms, provisions, or conditions of any agreement, a new motor vehicle dealer is solely liable for damages to new motor vehicles after acceptance from the carrier and before delivery to the ultimate purchaser. Acceptance by the new motor vehicle d…

Mich. Comp. Laws § 445.1579 Indemnification of dealer against certain judgments; payment of costs, fees, and judgments; notice.

1.7K chars

Sec. 19. (1) Notwithstanding the terms, provisions, or conditions of any dealer agreement, a manufacturer or distributor shall indemnify and hold harmless its new motor vehicle dealers against any judgment for damages or settlement agreed to in writing by the manufacturer, includ…

Mich. Comp. Laws § 445.1580 Action for damages or declaratory judgment; liability.

0.8K chars

Sec. 20. (1) If a manufacturer terminates, cancels, fails to renew, or discontinues a dealer agreement, without good cause as described in this act, the new motor vehicle dealer may bring an action against the manufacturer to recover actual damages reasonably incurred by the deal…

Mich. Comp. Laws § 445.1581 Injunctive relief.

0.4K chars

Sec. 21. Upon proper application to the circuit court, a manufacturer or distributor or new motor vehicle dealer may obtain appropriate injunctive relief against termination, cancellation, nonrenewal, or discontinuance of a dealer agreement or any other violation of this act. The…

Mich. Comp. Laws § 445.1582 Act inapplicable to dealer outside Michigan.

0.2K chars

Sec. 22. Notwithstanding the terms, provisions, or conditions of a dealer agreement, this act shall have no application to dealers located outside the state of Michigan.

Mich. Comp. Laws § 445.1582a Existing agreements and agreements entered into or renewed after effective date.

0.4K chars

Sec. 22a. (1) The 1998 amendments to this act that added this section apply to agreements in existence on December 30, 1998 and to agreements entered into or renewed after December 30, 1998. (2) The amendments to this act made by the amendatory act that added this subsection appl…

Mich. Comp. Laws § 445.1583 Repeal of MCL 445.521 to 445.534.

0.1K chars

Sec. 23. Act No. 331 of the Public Acts of 1978, being sections 445.521 to 445.534 of the Compiled Laws of 1970, is repealed.