Motor vehicle dealers; manufacturers and factory branch transfers, etc. (HB2174)

Introduced By

Del. Jason Miyares (R-Virginia Beach) with support from co-patron Del. Chris Stolle (R-Virginia Beach)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Motor vehicle dealers and manufacturers. Provides that if a motor vehicle manufacturer or factory branch discontinues, sells, or transfers its right to manufacture a line-make of motor vehicles, and the acquiring manufacturer or factory branch does not honor an existing franchise agreement with motor vehicle dealers in Virginia, such discontinuation, sale, or transfer shall constitute a termination of the franchise and such motor vehicle dealers shall be entitled to compensation pursuant to Virginia law. The bill provides that a manufacturer or distributor's right to first refusal in the event of a proposed sale or transfer of a dealership does not apply if such sale or transfer is not to a dealer licensed anywhere in the United States as a dealer holding a franchise from any manufacturer or to a distributor licensed as a manufacturer or distributor in the Commonwealth unless the exercise of such right of first refusal by a manufacturer or distributor with a program promoting minority dealers would lead to a minority dealer having a majority ownership of a dealership. The bill exempts certain manufacturers and distributors from the limitations on the right of first refusal. Read the Bill »


Bill Has Passed


01/08/2019Prefiled and ordered printed; offered 01/09/19 19101456D
01/08/2019Referred to Committee on Transportation
01/14/2019Assigned Transportation sub: Subcommittee #3
01/22/2019Impact statement from DPB (HB2174)
01/22/2019House committee, floor amendments and substitutes offered
01/22/2019Subcommittee recommends reporting with substitute (8-Y 0-N)
01/29/2019Reported from Transportation with substitute (22-Y 0-N) (see vote tally)
01/29/2019Committee substitute printed 19105473D-H1
01/31/2019Read first time
02/01/2019Read second time
02/01/2019Committee substitute agreed to 19105473D-H1
02/01/2019Engrossed by House - committee substitute HB2174H1
02/04/2019Read third time and passed House (95-Y 2-N)
02/04/2019VOTE: PASSAGE (95-Y 2-N) (see vote tally)
02/05/2019Constitutional reading dispensed
02/05/2019Referred to Committee on Transportation
02/07/2019Impact statement from DPB (HB2174H1)
02/13/2019Reported from Transportation with amendments (11-Y 2-N) (see vote tally)
02/15/2019Constitutional reading dispensed (37-Y 0-N) (see vote tally)
02/18/2019Read third time
02/18/2019Reading of amendments waived
02/18/2019Committee amendments agreed to
02/18/2019Amendments by Senator McPike agreed to
02/18/2019Engrossed by Senate as amended
02/18/2019Passed Senate with amendments (40-Y 0-N) (see vote tally)
02/19/2019Placed on Calendar
02/19/2019Senate amendments agreed to by House (98-Y 0-N)
02/19/2019VOTE: ADOPTION (98-Y 0-N) (see vote tally)
02/22/2019Bill text as passed House and Senate (HB2174ER)
02/22/2019Impact statement from DPB (HB2174ER)
02/22/2019Signed by Speaker
02/22/2019Signed by President
03/04/2019Enrolled Bill communicated to Governor on March 4, 2019
03/04/2019G Governor's Action Deadline Midnight, March 26, 2019
03/21/2019G Approved by Governor-Chapter 738 (effective 7/1/19)
03/21/2019G Acts of Assembly Chapter text (CHAP0738)


This bill was discussed on the floor of the General Assembly. Below is all of the video that we have of that discussion, 1 clip in all, totaling 55 seconds.