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Texas Statutes (Last Updated: January 4, 2014) |
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OCCUPATIONS CODE |
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Title 14. REGULATION OF MOTOR VEHICLES AND TRANSPORTATION |
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Subtitle A. REGULATIONS RELATED TO MOTOR VEHICLES |
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Chapter 2301. SALE OR LEASE OF MOTOR VEHICLES |
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Subchapter J. MANUFACTURERS, DISTRIBUTORS, AND REPRESENTATIVES |
Sec. 2301.455. DETERMINATION OF GOOD CAUSE FOR TERMINATION, DISCONTINUANCE, MODIFICATION, OR REPLACEMENT
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(a) Notwithstanding the terms of any franchise, in determining whether good cause has been established under Section 2301.453 or 2301.454, the board shall consider all existing circumstances, including:
(1) the dealer's sales in relation to the sales in the market;
(2) the dealer's investment and obligations;
(3) injury or benefit to the public;
(4) the adequacy of the dealer's service facilities, equipment, parts, and personnel in relation to those of other dealers of new motor vehicles of the same line-make;
(5) whether warranties are being honored by the dealer;
(6) the parties' compliance with the franchise, except to the extent that the franchise conflicts with this chapter; and
(7) the enforceability of the franchise from a public policy standpoint, including issues of the reasonableness of the franchise's terms, oppression, adhesion, and the parties' relative bargaining power.
(b) The desire of a manufacturer, distributor, or representative for market penetration does not by itself constitute good cause.