As Reported by the Senate Highways and Transportation Committee   1            

123rd General Assembly                                             4            

   Regular Session                             Sub. H. B. No. 306  5            

      1999-2000                                                    6            


    REPRESENTATIVES CAREY-BATEMAN-THOMAS-HARRIS-DAMSCHRODER-       8            

      EVANS-SULZER-PERRY-TERWILLEGER-VERICH-PRINGLE-CLANCY-        9            

   MOTTLEY-LOGAN-VESPER-PADGETT-HEALY-BUEHRER-JONES-SULLIVAN-      10           

HOLLISTER-ROMAN-KREBS-BUCHY-PATTON-TIBERI-SCHULER-AMSTUTZ- OPFER   12           


_________________________________________________________________   13           

                          A   B I L L                                           

             To amend sections 1547.01, 1547.052, 1548.09,         15           

                4503.31, 4517.01, and 4517.03 of the Revised Code  16           

                to provide that a place of business that is used   18           

                for selling, displaying, offering for sale, or                  

                dealing in motor vehicles by a licensed motor      19           

                vehicle dealer shall be considered as used         20           

                exclusively for those purposes even though                      

                outdoor power equipment, watercraft and related    21           

                products, or, in the case of a licensed new motor  22           

                vehicle dealer, products manufactured or           23           

                distributed by a motor vehicle manufacturer with   24           

                which the new motor vehicle dealer has a           25           

                franchise agreement, are sold or displayed there,  26           

                to modify eligibility for issuance of a motor      27           

                vehicle placard used by persons other than                      

                manufacturers, dealers, or distributors, to        29           

                reduce from ten to seven years the length of time  30           

                that a clerk of a court of common pleas is                      

                required to retain watercraft certificates of      31           

                title, to create a definition of a watercraft      33           

                dealer for purposes of the Watercraft Law, and to  34           

                require a person who leases, hires, or rents a                  

                powercraft powered by more than ten horsepower to  35           

                sign a statement, rather than an affidavit, that   36           

                the person has successfully completed an approved  37           

                                                          2      


                                                                 
                safe boater course or a proficiency examination.   38           




BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        40           

      Section 1.  That sections 1547.01, 1547.052, 1548.09,        42           

4503.31, 4517.01, and 4517.03 of the Revised Code be amended to    44           

read as follows:                                                   45           

      Sec. 1547.01.  (A)  As used in sections 1541.03, 1547.25,    54           

1547.26, 1547.39, 1547.40, 1547.53, 1547.54, 1547.541, 1547.542,   55           

1547.543, 1547.56, 1547.57, 1547.66, 3733.21, and 5311.01 of the   56           

Revised Code, "watercraft" means any of the following when used    57           

or capable of being used for transportation on the water:          58           

      (1)  A vessel operated by machinery either permanently or    60           

temporarily affixed;                                               61           

      (2)  A sailboat other than a sailboard;                      63           

      (3)  An inflatable, manually propelled boat having a hull    65           

identification number meeting the requirements of the United       66           

States coast guard;                                                67           

      (4)  A canoe or rowboat.                                     69           

      "Watercraft" does not include ferries as referred to in      71           

Chapter 4583. of the Revised Code.                                 72           

      Watercraft subject to section 1547.54 of the Revised Code    74           

shall be divided into five classes as follows:                     75           

      Class A:  Less than sixteen feet in length;                  77           

      Class 1:  At least sixteen feet, but less than twenty-six    79           

feet in length;                                                    80           

      Class 2:  At least twenty-six feet, but less than forty      82           

feet in length;                                                    83           

      Class 3:  At least forty feet, but less than sixty-five      86           

feet in length;                                                    87           

      Class 4:  At least sixty-five feet in length.                89           

      (B)  As used in this chapter:                                91           

      (1)  "Vessel" includes every description of watercraft,      93           

including nondisplacement craft and seaplanes, used or capable of  94           

                                                          3      


                                                                 
being used as a means of transportation on water.                  95           

      (2)  "Rowboat" means any vessel designed to be rowed and     97           

that is propelled by human muscular effort by oars or paddles and  100          

upon which no mechanical propulsion device, electric motor,                     

internal combustion engine, or sail has been affixed or is used    101          

for the operation of the vessel.                                   102          

      (3)  "Sailboat" means any vessel, equipped with mast and     104          

sails, dependent upon the wind to propel it in the normal course   105          

of operation.                                                      106          

      (a)  Any sailboat equipped with an inboard engine is deemed  108          

a powercraft with auxiliary sail.                                  109          

      (b)  Any sailboat equipped with a detachable motor is        111          

deemed a sailboat with auxiliary power.                            112          

      (c)  Any sailboat being propelled by mechanical power,       114          

whether under sail or not, is deemed a powercraft and subject to   115          

all laws and rules governing powercraft operation.                 116          

      (4)  "Powercraft" means any vessel propelled by machinery,   118          

fuel, rockets, or similar device.                                  119          

      (5)  "Person" includes any legal entity defined as a person  121          

in section 1.59 of the Revised Code and any body politic, except   122          

the United States and this state, and includes any agent,          123          

trustee, executor, receiver, assignee, or other representative     124          

thereof.                                                                        

      (6)  "Owner" includes any person who claims lawful           126          

possession of a vessel by virtue of legal title or equitable       127          

interest therein that entitled the person to that possession.      129          

      (7)  "Operator" includes any person who navigates or has     131          

under the person's control a vessel, or vessel and detachable      133          

motor, on the waters in this state.                                134          

      (8)  "Visible" means visible on a dark night with clear      136          

atmosphere.                                                        137          

      (9)  "Waters in this state" means all streams, rivers,       139          

lakes, ponds, marshes, watercourses, waterways, and other bodies   141          

of water, natural or humanmade, that are situated wholly or        143          

                                                          4      


                                                                 
partially within this state or within its jurisdiction and are     144          

used for recreational boating.                                                  

      (10)  "Navigable waters" means waters that come under the    146          

jurisdiction of the department of the army of the United States    147          

and any waterways within or adjacent to this state, except inland  148          

lakes having neither a navigable inlet nor outlet.                 149          

      (11)  "In operation" in reference to a vessel means that     151          

the vessel is being navigated or otherwise used on the waters in   153          

this state.                                                        154          

      (12)  "Sewage" means human body wastes and the wastes from   156          

toilets and other receptacles intended to receive or retain body   157          

waste.                                                             158          

      (13)  "Canoe" means a narrow vessel of shallow draft,        160          

pointed at both ends and propelled by human muscular effort, and   161          

includes kayaks.                                                   162          

      (14)  "Coast guard approved" means bearing an approval       164          

number assigned by the United States coast guard.                  165          

      (15)  "Type one personal flotation device" means a device    167          

that is designed to turn an unconscious person floating in water   169          

from a face downward position to a vertical or slightly face       170          

upward position and that has at least nine kilograms,              172          

approximately twenty pounds, of buoyancy.                          173          

      (16)  "Type two personal flotation device" means a device    175          

that is designed to turn an unconscious person in the water from   177          

a face downward position to a vertical or slightly face upward     178          

position and that has at least seven kilograms, approximately      180          

fifteen and four-tenths pounds, of buoyancy.                       181          

      (17)  "Type three personal flotation device" means a device  183          

that is designed to keep a conscious person in a vertical or       185          

slightly face upward position and that has at least seven          187          

kilograms, approximately fifteen and four-tenths pounds, of        188          

buoyancy.                                                          189          

      (18)  "Type four personal flotation device" means a device   191          

that is designed to be thrown to a person in the water and not     193          

                                                          5      


                                                                 
worn and that has at least seven and five-tenths kilograms,        196          

approximately sixteen and five-tenths pounds, of buoyancy.         197          

      (19)  "Type five personal flotation device" means a device   200          

that, unlike other personal flotation devices, has limitations on  201          

its approval by the United States coast guard, including, without  202          

limitation, all of the following:                                  203          

      (a)  The approval label on the type five personal flotation  205          

device indicates that the device is approved for the activity in   206          

which the vessel is being used or as a substitute for a personal   207          

flotation device of the type required on the vessel in use;        208          

      (b)  The personal flotation device is used in accordance     210          

with any requirements on the approval label;                       211          

      (c)  The personal flotation device is used in accordance     213          

with requirements in its owner's manual if the approval label      214          

refers to such a manual.                                           215          

      (20)  "Inflatable watercraft" means any vessel constructed   217          

of rubber, canvas, or other material that is designed to be        219          

inflated with any gaseous substance, constructed with two or more  220          

air cells, and operated as a vessel.  Inflatable watercraft        221          

propelled by a motor shall be classified as powercraft and shall   222          

be registered by length.                                           223          

      (21)  "Idle speed" means the slowest possible speed needed   225          

to maintain steerage or maneuverability.                           226          

      (22)  "Diver's flag" means a red flag not less than one      228          

foot square having a diagonal white stripe extending from the      229          

masthead to the opposite lower corner that when displayed          230          

indicates that divers are in the water.                            231          

      (23)  "Muffler" means an acoustical suppression device or    234          

system that is designed and installed to abate the sound of        235          

exhaust gases emitted from an internal combustion engine and that  236          

prevents excessive or unusual noise.                                            

      (24)  "Law enforcement vessel" means any vessel used in law  238          

enforcement and under the command of a law enforcement officer.    239          

      (25)  "Personal watercraft" means a vessel, less than        241          

                                                          6      


                                                                 
sixteen feet in length, that is propelled by machinery and         242          

designed to be operated by an individual sitting, standing, or     243          

kneeling on the vessel rather than by an individual sitting or     244          

standing inside the vessel.                                                     

      (26)  "No wake" has the same meaning as "idle speed."        246          

      (27)  "WATERCRAFT DEALER" MEANS ANY PERSON WHO IS REGULARLY  248          

ENGAGED IN THE BUSINESS OF MANUFACTURING, SELLING, DISPLAYING,     249          

OFFERING FOR SALE, OR DEALING IN VESSELS AT AN ESTABLISHED PLACE   250          

OF BUSINESS.  "WATERCRAFT DEALER" DOES NOT INCLUDE A PERSON WHO    251          

IS A MARINE SALVAGE DEALER OR ANY OTHER PERSON WHO DISMANTLES,     252          

SALVAGES, OR REBUILDS VESSELS USING USED PARTS.                                 

      (C)  Unless otherwise provided, this chapter applies to all  254          

vessels operating on the waters in this state.  Nothing in this    255          

chapter shall be construed in contravention of any valid federal   256          

act or regulation, but is in addition to the act or regulation     258          

where not inconsistent.                                                         

      The state reserves to itself the exclusive right to          260          

regulate the minimum equipment requirements of watercraft and      261          

vessels operated on the waters in this state.                      262          

      Sec. 1547.052.  (A)  No rental business shall lease, hire,   272          

or rent a powercraft powered by more than ten horsepower for       273          

operation on the waters in this state to a person born on or       274          

after January 1, 1982, unless the person meets one of the          275          

following requirements:                                            276          

      (1)  The person signs an affidavit A STATEMENT ON THE        278          

RENTAL AGREEMENT OR ATTACHED TO THE RENTAL AGREEMENT that the      279          

person has successfully completed a safe boater course approved    280          

by the national association of state boating law administrators    281          

or has successfully completed a proficiency examination as         282          

provided in section 1547.05 of the Revised Code.                   284          

      (2)  The person receives educational materials from the      286          

rental business and successfully passes, with a score of ninety    287          

per cent or better, an abbreviated examination given by the        288          

rental business.  The achievement of a passing score on the        289          

                                                          7      


                                                                 
examination shall be indicated on or attached to the powercraft    290          

rental agreement.                                                  291          

      (B)  Any person born on or after January 1, 1982, operating  295          

or supervising the operation of a leased, hired, or rented         296          

powercraft shall:                                                               

      (1)  Meet the requirements for boater education of division  299          

(A) of this section.                                               300          

      (2)  Be named as an operator on the agreement that leases,   302          

hires, or rents the powercraft.                                    303          

      (C)  The division of watercraft shall make available to all  306          

watercraft rental businesses in Ohio boater safety educational     308          

materials and an abbreviated examination that shall be used by     309          

the watercraft rental business for the purposes of division        310          

(A)(2) of this section.                                            311          

      Sec. 1548.09.  The clerk of the court of common pleas shall  320          

issue certificates of title in duplicate.  One copy shall be       322          

retained and filed by him THE CLERK in his THE CLERK'S office,     323          

and the information contained in it shall be transmitted on the    324          

day it is issued to the chief of the division of watercraft.  The  326          

clerk shall sign and affix his THE CLERK'S seal to the original    328          

certificate of title and, if there are no liens on the watercraft  329          

or outboard motor, shall deliver the certificate to the                         

applicant.  If there are one or more liens on the watercraft or    330          

outboard motor, the clerk shall deliver the certificate of title   331          

to the holder of the first lien.                                                

      The chief shall approve a uniform method of numbering        333          

certificates of title.  The numbering shall be in such manner      334          

that the county of issuance is indicated.  Numbers shall be        335          

assigned to certificates of title in the manner approved by the    336          

chief.  The clerk shall file all certificates of title according   337          

to policies prescribed by the chief, and the clerk shall maintain  338          

in his THE CLERK'S office indexes for the certificates of title.   339          

      The clerk need not retain on file any certificate of title,  341          

duplicate certificate of title, memorandum certificate of title,   342          

                                                          8      


                                                                 
or supporting evidence thereof covering any watercraft or          343          

outboard motor for a period longer than ten SEVEN years after the  344          

date of its filing; thereafter, the certificate and supporting     346          

information may be destroyed.  The clerk shall issue a duplicate   347          

title, when duly applied for, of any title that has been           348          

destroyed as provided in this section.                             349          

      Sec. 4503.31.  As used in this section, "person" includes,   358          

but is not limited to, any person engaged in the business of       359          

manufacturing or distributing, or selling at retail, displaying,   360          

offering for sale, or dealing in, motorized bicycles who is not    361          

subject to section 4503.09 of the Revised Code, or an Ohio         362          

nonprofit corporation engaged in the business of testing of motor  363          

vehicles.                                                          364          

      Persons other than manufacturers, dealers, or distributors   366          

may register annually with the registrar of motor vehicles and     367          

obtain placards to be displayed on motor vehicles as provided by   368          

this section.  Applications for annual registration shall be made  369          

at the time provided for payment of the tax and postage imposed    370          

on manufacturers, dealers, or distributors and shall be in the     371          

manner to be prescribed by the registrar.  The fee for such        372          

registration shall be twenty-five dollars and shall not be         373          

reduced when the registration is for a part of a year.             374          

Applicants may procure a reasonable number of certified copies of  375          

such registration upon the payment of a fee of five dollars and    377          

appropriate postage as required by the registrar for each copy.    378          

      Upon the filing of the application and the payment of the    380          

fee and postage prescribed by this section, the registrar shall    382          

issue to each applicant a certificate of registration and assign   383          

a distinctive number and furnish one placard with the number       384          

thereon.  With each of the certified copies of the registration    385          

provided for in this section the registrar shall furnish one       386          

placard with the same numbering assigned in the original           387          

registration certificate and shall add thereto such special        388          

designation as necessary to distinguish one set of placards from   389          

                                                          9      


                                                                 
another.  All placards furnished by the registrar pursuant to      390          

this section shall be so marked as to be distinguishable from      391          

placards issued dealers, manufacturers, or distributors.           392          

Placards issued pursuant to this section may be used only on       393          

motor vehicles or motorized bicycles owned and being used in       394          

testing or being demonstrated for purposes of sale or lease; or    395          

on motor vehicles subject to the rights and remedies of a secured  396          

party being exercised under sections 1309.01 to 1309.50 of the     397          

Revised Code; or on motor vehicles being held or transported by    398          

any insurance company for purposes of salvage disposition; or on   399          

motor vehicles being transported by any persons regularly engaged  400          

in salvage operations or scrap metal processing from the point of  401          

acquisition to their established place of business; or on motor    402          

vehicles owned by or in the lawful possession of an Ohio           403          

nonprofit corporation while being used in the testing of those     404          

motor vehicles.                                                    405          

      Placards issued pursuant to this section also may be used    407          

by persons regularly and primarily engaged in the business of      408          

rustproofing, reconditioning, or installing equipment or trim on   409          

motor vehicles for motor vehicle dealers AND SHALL BE USED         410          

EXCLUSIVELY when such motor vehicles are being transported to or   412          

from the motor vehicle dealer's place of business; and by persons  413          

engaged in manufacturing articles for attachment to motor          414          

vehicles when such motor vehicles are being transported to or      415          

from places where mechanical equipment is attached to the chassis  416          

of such new motor vehicles; or on motor vehicles being towed by    417          

any persons regularly and primarily engaged in the business of     418          

towing motor vehicles while such vehicle is being towed to a       419          

point of storage.                                                               

      Placards issued pursuant to this section also may be used    421          

on trailers being transported by persons engaged in the business   422          

of selling tangible personal property other than motor vehicles.   423          

      No person required to register an apportionable vehicle      425          

under the international registration plan shall apply for or       426          

                                                          10     


                                                                 
receive a placard for that vehicle under this section.             427          

      The fees collected by the registrar pursuant to this         429          

section shall be paid into the state bureau of motor vehicles      430          

fund established in section 4501.25 of the Revised Code and used   431          

for the purposes described in that section.                        432          

      Sec. 4517.01.  As used in sections 4517.01 to 4517.65 of     441          

the Revised Code:                                                  442          

      (A)  "Persons" includes individuals, firms, partnerships,    444          

associations, joint stock companies, corporations, and any         445          

combinations of individuals.                                       446          

      (B)  "Motor vehicle" means motor vehicle as defined in       448          

section 4501.01 of the Revised Code and also includes              449          

"all-purpose vehicle" and "off-highway motorcycle" as those terms  450          

are defined in section 4519.01 of the Revised Code.                451          

      (C)  "New motor vehicle" means a motor vehicle, the legal    453          

title to which has never been transferred by a manufacturer,       454          

remanufacturer, distributor, or dealer to an ultimate purchaser.   455          

      (D)  "Ultimate purchaser" means, with respect to any new     457          

motor vehicle, the first person, other than a dealer purchasing    458          

in the capacity of a dealer, who in good faith purchases such new  460          

motor vehicle for purposes other than resale.                      461          

      (E)  "Business" includes any activities engaged in by any    463          

person for the object of gain, benefit, or advantage either        464          

direct or indirect.                                                465          

      (F)  "Engaging in business" means commencing, conducting,    467          

or continuing in business, or liquidating a business when the      468          

liquidator thereof holds self out to be conducting such business;  471          

making a casual sale or otherwise making transfers in the          472          

ordinary course of business when the transfers are made in                      

connection with the disposition of all or substantially all of     473          

the transferor's assets is not engaging in business.               474          

      (G)  "Retail sale" or "sale at retail" means the act or      476          

attempted act of selling, bartering, exchanging, or otherwise      477          

disposing of a motor vehicle to an ultimate purchaser for use as   478          

                                                          11     


                                                                 
a consumer.                                                        479          

      (H)  "Retail installment contract" includes any contract in  481          

the form of a note, chattel mortgage, conditional sales contract,  482          

lease, agreement, or other instrument payable in one or more       483          

installments over a period of time and arising out of the retail   484          

sale of a motor vehicle.                                           485          

      (I)  "Farm machinery" means all machines and tools used in   487          

the production, harvesting, and care of farm products.             488          

      (J)  "Dealer" or "motor vehicle dealer" means any new motor  490          

vehicle dealer, any motor vehicle leasing dealer, and any used     491          

motor vehicle dealer.                                              492          

      (K)  "New motor vehicle dealer" means any person engaged in  494          

the business of selling at retail, displaying, offering for sale,  495          

or dealing in new motor vehicles pursuant to a contract or         496          

agreement entered into with the manufacturer, remanufacturer, or   497          

distributor of the motor vehicles.                                 498          

      (L)  "Used motor vehicle dealer" means any person engaged    500          

in the business of selling, displaying, offering for sale, or      501          

dealing in used motor vehicles, at retail or wholesale, but does   502          

not mean any new motor vehicle dealer selling, displaying,         503          

offering for sale, or dealing in used motor vehicles incidentally  504          

to engaging in the business of selling, displaying, offering for   505          

sale, or dealing in new motor vehicles, any person engaged in the  506          

business of dismantling, salvaging, or rebuilding motor vehicles   507          

by means of using used parts, or any public officer performing     508          

official duties.                                                   509          

      (M)  "Motor vehicle leasing dealer" means any person         511          

engaged in the business of regularly making available, offering    512          

to make available, or arranging for another person to use a motor  513          

vehicle pursuant to a bailment, lease, sublease, or other          514          

contractual arrangement under which a charge is made for its use   516          

at a periodic rate for a term of thirty days or more, and title    517          

to the motor vehicle is in and remains in the motor vehicle        519          

leasing dealer who originally leases it, irrespective of whether                

                                                          12     


                                                                 
or not the motor vehicle is the subject of a later sublease, and   520          

not in the user, but does not mean a manufacturer or its           522          

affiliate leasing to its employees or to dealers.                  523          

      (N)  "Salesperson" means any person employed by a dealer or  525          

manufactured home broker to sell, display, and offer for sale, or  526          

deal in motor vehicles for a commission, compensation, or other    528          

valuable consideration, but does not mean any public officer       529          

performing official duties.                                                     

      (O)  "Casual sale" means any transfer of a motor vehicle by  531          

a person other than a new motor vehicle dealer, used motor         532          

vehicle dealer, motor vehicle salvage dealer, as defined in        533          

division (A) of section 4738.01 of the Revised Code, salesperson,  534          

motor vehicle auction owner, manufacturer, or distributor acting   535          

in the capacity of a dealer, salesperson, auction owner,           536          

manufacturer, or distributor, to a person who purchases the motor  537          

vehicle for use as a consumer.                                     538          

      (P)  "Motor vehicle show" means a display of current models  540          

of motor vehicles whereby the primary purpose is the exhibition    541          

of competitive makes and models in order to provide the general    542          

public the opportunity to review and inspect various makes and     543          

models of motor vehicles at a single location.                     544          

      (Q)  "Motor vehicle auction owner" means any person who is   546          

engaged wholly or in part in the business of auctioning motor      547          

vehicles.                                                          548          

      (R)  "Manufacturer" means a person who manufactures,         550          

assembles, or imports motor vehicles, including motor homes, but   551          

does not mean a person who only assembles or installs a body,      552          

special equipment unit, finishing trim, or accessories on a motor  553          

vehicle chassis supplied by a manufacturer or distributor.         554          

      (S)  "Tent-type fold-out camping trailer" means any vehicle  556          

intended to be used, when stationary, as a temporary shelter with  557          

living and sleeping facilities, and which is subject to the        558          

following properties and limitations:                              559          

      (1)  A minimum of twenty-five per cent of the fold-out       561          

                                                          13     


                                                                 
portion of the top and sidewalls combined must be constructed of   562          

canvas, vinyl, or other fabric, and form an integral part of the   563          

shelter.                                                           564          

      (2)  When folded, the unit must not exceed:                  566          

      (a)  Fifteen feet in length, exclusive of bumper and         568          

tongue;                                                            569          

      (b)  Sixty inches in height from the point of contact with   571          

the ground;                                                        572          

      (c)  Eight feet in width;                                    574          

      (d)  One ton gross weight at time of sale.                   576          

      (T)  "Distributor" means any person authorized by a motor    578          

vehicle manufacturer to distribute new motor vehicles to licensed  579          

new motor vehicle dealers, but does not mean a person who only     580          

assembles or installs a body, special equipment unit, finishing    581          

trim, or accessories on a motor vehicle chassis supplied by a      582          

manufacturer or distributor.                                       583          

      (U)  "Flea market" means a market place, other than a        585          

dealer's location licensed under this chapter, where a space or    586          

location is provided for a fee or compensation to a seller to      587          

exhibit and offer for sale or trade, motor vehicles to the         588          

general public.                                                    589          

      (V)  "Franchise" means any written agreement, contract, or   591          

understanding between any motor vehicle manufacturer or            592          

remanufacturer engaged in commerce and any motor vehicle dealer,   593          

which purports to fix the legal rights and liabilities of the      594          

parties to such agreement, contract, or understanding.             595          

      (W)  "Franchisee" means a person who receives new motor      597          

vehicles from the franchisor under a franchise agreement and who   598          

offers, sells, and provides service for such new motor vehicles    599          

to the general public.                                             600          

      (X)  "Franchisor" means a new motor vehicle manufacturer,    602          

remanufacturer, or distributor who supplies new motor vehicles     603          

under a franchise agreement to a franchisee.                       604          

      (Y)  "Dealer organization" means a state or local trade      606          

                                                          14     


                                                                 
association the membership of which is comprised predominantly of  607          

new motor vehicle dealers.                                         608          

      (Z)  "Factory representative" means a representative         610          

employed by a manufacturer, remanufacturer, or by a factory        611          

branch primarily for the purpose of promoting the sale of its      612          

motor vehicles, parts, or accessories to dealers or for            613          

supervising or contacting its dealers or prospective dealers.      614          

      (AA)  "Administrative or executive management" means those   616          

individuals who are not subject to federal wage and hour laws.     617          

      (BB)  "Good faith" means honesty in the conduct or           619          

transaction concerned and the observance of reasonable commercial  620          

standards of fair dealing in the trade as is defined in division   621          

(S) of section 1301.01 of the Revised Code, including, but not     622          

limited to, the duty to act in a fair and equitable manner so as   623          

to guarantee freedom from coercion, intimidation, or threats of    624          

coercion or intimidation; provided however, that recommendation,   625          

endorsement, exposition, persuasion, urging, or argument shall     626          

not be considered to constitute a lack of good faith.              627          

      (CC)  "Coerce" means to compel or attempt to compel by       629          

failing to act in good faith or by threat of economic harm,        630          

breach of contract, or other adverse consequences.  Coerce does    631          

not mean to argue, urge, recommend, or persuade.                   632          

      (DD)  "Relevant market area" means any area within a radius  634          

of ten miles from the site of a potential new dealership, except   635          

that for manufactured home or recreational vehicle dealerships     636          

the radius shall be twenty-five miles.                             637          

      (EE)  "Wholesale" or "at wholesale" means the act or         639          

attempted act of selling, bartering, exchanging, or otherwise      640          

disposing of a motor vehicle to a transferee for the purpose of    641          

resale and not for ultimate consumption by that transferee.        642          

      (FF)  "Motor vehicle wholesaler" means any person licensed   644          

as a dealer under the laws of another state and engaged in the     646          

business of selling, displaying, or offering for sale used motor   647          

vehicles, at wholesale, but does not mean any motor vehicle                     

                                                          15     


                                                                 
dealer as defined in this section.                                 648          

      (GG)(1)  "Remanufacturer" means a person who assembles or    650          

installs passenger seating, walls, a roof elevation, or a body     651          

extension on a conversion van with the motor vehicle chassis       652          

supplied by a manufacturer or distributor, a person who modifies   654          

a truck chassis supplied by a manufacturer or distributor for use  655          

as a public safety or public service vehicle, a person who         656          

modifies a motor vehicle chassis supplied by a manufacturer or     657          

distributor for use as a limousine or hearse, or a person who      658          

modifies an incomplete motor vehicle cab and chassis supplied by   659          

a new motor vehicle dealer or distributor for use as a tow truck,  660          

but does not mean either of the following:                         661          

      (a)  A person who assembles or installs passenger seating,   663          

walls, a roof elevation, or a body extension on a manufactured     664          

home as defined in division (C)(4) of section 3781.06 of the       665          

Revised Code, a mobile home as defined in division (O) and         667          

referred to in division (B) of section 4501.01 of the Revised      668          

Code, or a recreational vehicle as defined in division (Q) and     669          

referred to in division (B) of section 4501.01 of the Revised      670          

Code;                                                                           

      (b)  A person who assembles or installs special equipment    672          

or accessories for handicapped persons, as defined in section      673          

4503.44 of the Revised Code, upon a motor vehicle chassis          674          

supplied by a manufacturer or distributor.                         675          

      (2)  For the purposes of division (GG)(1) of this section,   677          

"public safety vehicle or public service vehicle" means a fire     679          

truck, ambulance, school bus, street sweeper, garbage packing      680          

truck, or cement mixer, or a mobile self-contained facility        681          

vehicle.                                                                        

      (3)  For the purposes of division (GG)(1) of this section,   683          

"limousine" means a motor vehicle, designed only for the purpose   684          

of carrying nine or fewer passengers, that a person modifies by    685          

cutting the original chassis, lengthening the wheelbase by forty   686          

inches or more, and reinforcing the chassis in such a way that     688          

                                                          16     


                                                                 
all modifications comply with all applicable federal motor                      

vehicle safety standards.  No person shall qualify as or be        689          

deemed to be a remanufacturer who produces limousines unless the   690          

person has a written agreement with the manufacturer of the        691          

chassis the person utilizes to produce the limousines to complete  692          

properly the remanufacture of the chassis into limousines.         693          

      (4)  For the purposes of division (GG)(1) of this section,   695          

"hearse" means a motor vehicle, designed only for the purpose of   696          

transporting a single casket, that is equipped with a compartment  697          

designed specifically to carry a single casket that a person       698          

modifies by cutting the original chassis, lengthening the          699          

wheelbase by ten inches or more, and reinforcing the chassis in    700          

such a way that all modifications comply with all applicable       701          

federal motor vehicle safety standards.  No person shall qualify   702          

as or be deemed to be a remanufacturer who produces hearses        703          

unless the person has a written agreement with the manufacturer    704          

of the chassis the person utilizes to produce the hearses to       705          

complete properly the remanufacture of the chassis into hearses.   706          

      (5)  For the purposes of division (GG)(1) of this section,   708          

"mobile self-contained facility vehicle" means a mobile classroom  709          

vehicle, mobile laboratory vehicle, bookmobile, bloodmobile,       710          

testing laboratory, and mobile display vehicle, each of which is   711          

designed for purposes other than for passenger transportation and  713          

other than the transportation or displacement of cargo, freight,   714          

materials, or merchandise.  A vehicle is remanufactured into a     715          

mobile self-contained facility vehicle in part by the addition of  716          

insulation to the body shell, and installation of all of the       717          

following:  a generator, electrical wiring, plumbing, holding      718          

tanks, doors, windows, cabinets, shelving, and heating,                         

ventilating, and air conditioning systems.                         719          

      (6)  For the purposes of division (GG)(1) of this section,   722          

"tow truck" means both of the following:                                        

      (a)  An incomplete cab and chassis that are purchased by a   725          

remanufacturer from a new motor vehicle dealer or distributor of   726          

                                                          17     


                                                                 
the cab and chassis and on which the remanufacturer then installs  727          

in a permanent manner a wrecker body it purchases from a           728          

manufacturer or distributor of wrecker bodies, installs an         729          

emergency flashing light pylon and emergency lights upon the mast  730          

of the wrecker body or rooftop, and installs such other related    731          

accessories and equipment, including push bumpers, front grille    732          

guards with pads and other custom-ordered items such as painting,  733          

special lettering, and safety striping so as to create a complete  734          

motor vehicle capable of lifting and towing another motor          735          

vehicle.                                                                        

      (b)  An incomplete cab and chassis that are purchased by a   738          

remanufacturer from a new motor vehicle dealer or distributor of   739          

the cab and chassis and on which the remanufacturer then installs  740          

in a permanent manner a car carrier body it purchases from a       741          

manufacturer or distributor of car carrier bodies, installs an     742          

emergency flashing light pylon and emergency lights upon the       743          

rooftop, and installs such other related accessories and           744          

equipment, including push bumpers, front grille guards with pads   745          

and other custom-ordered items such as painting, special           746          

lettering, and safety striping.                                                 

      As used in division (G)(6)(b) of this section, "car carrier  749          

body" means a mechanical or hydraulic apparatus capable of         750          

lifting and holding a motor vehicle on a flat level surface so     751          

that one or more motor vehicles can be transported, once the car   752          

carrier is permanently installed upon an incomplete cab and        753          

chassis.                                                                        

      (HH)  "Operating as a new motor vehicle dealership" means    755          

engaging in activities such as displaying, offering for sale, and  756          

selling new motor vehicles at retail, operating a service          757          

facility to perform repairs and maintenance on motor vehicles,     758          

offering for sale and selling motor vehicle parts at retail, and   759          

conducting all other acts that are usual and customary to the      760          

operation of a new motor vehicle dealership.  For the purposes of  761          

this chapter only, possession of either a valid new motor vehicle  762          

                                                          18     


                                                                 
dealer franchise agreement or a new motor vehicle dealers          763          

license, or both of these items, is not evidence that a person is  764          

operating as a new motor vehicle dealership.                       765          

      (II)  "Manufactured home broker" means any person acting as  767          

a selling agent on behalf of an owner of a manufactured home that  768          

is subject to taxation under section 4503.06 of the Revised Code.  769          

      (JJ)  "OUTDOOR POWER EQUIPMENT" MEANS GARDEN AND SMALL       771          

UTILITY TRACTORS, WALK-BEHIND AND RIDING MOWERS, CHAINSAWS, AND    772          

TILLERS.                                                                        

      Sec. 4517.03.  (A)  A place of business that is used for     781          

selling, displaying, offering for sale, or dealing in motor        782          

vehicles shall be considered as used exclusively for those         783          

purposes even though snowmobiles, all-purpose vehicles, or farm    784          

machinery is, OUTDOOR POWER EQUIPMENT, WATERCRAFT AND RELATED      785          

PRODUCTS, OR PRODUCTS MANUFACTURED OR DISTRIBUTED BY A MOTOR       787          

VEHICLE MANUFACTURER WITH WHICH THE MOTOR VEHICLE DEALER HAS A     789          

FRANCHISE AGREEMENT ARE sold or displayed there, or if repair,     790          

accessory, gasoline and oil, storage, parts, service, or paint     791          

departments are maintained there, or such products or services     793          

are provided there, if the departments are operated or the         795          

products or services are provided for the business of selling,     796          

displaying, offering for sale, or dealing in motor vehicles.       797          

Places of business or departments in a place of business used to   798          

dismantle, salvage, or rebuild motor vehicles by means of using    799          

used parts, are not considered as being maintained for the         800          

purpose of assisting or furthering the selling, displaying,        801          

offering for sale, or dealing in motor vehicles.  A place of       802          

business shall be considered as used exclusively for selling,      803          

displaying, offering for sale, or dealing in motor vehicles even   804          

though a business owned by a motor vehicle leasing dealer as       805          

defined in section 4517.01 of the Revised Code or a motor vehicle  806          

renting dealer as defined in section 4549.65 of the Revised Code   808          

is located at the place of business.                               809          

      (B)  No new motor vehicle dealer shall sell, display, offer  811          

                                                          19     


                                                                 
for sale, or deal in motor vehicles at any place except an         812          

established place of business that is used exclusively for the     813          

purpose of selling, displaying, offering for sale, or dealing in   814          

motor vehicles.  The place of business shall have space, under     816          

roof, for the display of at least one new motor vehicle and        817          

facilities and space therewith for the inspection, servicing, and  818          

repair of at least one motor vehicle; except that a new motor      819          

vehicle dealer selling manufactured or mobile homes is exempt      820          

from the requirement that a place of business have space, under    821          

roof, for the display of at least one new motor vehicle and        822          

facilities and space for the inspection, servicing, and repair of  823          

at least one motor vehicle.                                                     

      Nothing contained in Chapter 4517. of the Revised Code       825          

shall be construed as prohibiting the sale of a manufactured home  826          

located in a manufactured home park by a licensed motor vehicle    827          

dealer who is the owner of the manufactured home park.             828          

      (C)  No used motor vehicle dealer shall sell, display,       830          

offer for sale, or deal in motor vehicles at any place except an   831          

established place of business that is used exclusively for the     832          

purpose of selling, displaying, offering for sale, or dealing in   833          

motor vehicles.                                                    834          

      (D)  No motor vehicle leasing dealer shall make a motor      836          

vehicle available for use by another, in the manner described in   837          

division (M) of section 4517.01 of the Revised Code, at any place  838          

except an established place of business that is used for leasing   839          

motor vehicles; except that a motor vehicle leasing dealer who is  840          

also a new motor vehicle dealer or used motor vehicle dealer may   841          

lease motor vehicles at the same place of business at which the    842          

dealer sells, offers for sale, or deals in new or used motor       843          

vehicles.                                                                       

      (E)  No motor vehicle leasing dealer or motor vehicle        845          

renting dealer as defined in section 4549.65 of the Revised Code   846          

shall sell a motor vehicle within ninety days after a certificate  847          

of title to the motor vehicle is issued to the dealer, except      848          

                                                          20     


                                                                 
when a salvage certificate of title is issued to replace the       849          

original certificate of title and except when a motor vehicle      850          

leasing dealer sells a motor vehicle to another motor vehicle      851          

leasing dealer at the end of a sublease pursuant to that           852          

sublease.                                                                       

      (F)  No distributor shall distribute new motor vehicles to   854          

new motor vehicle dealers at any place except an established       855          

place of business that is used exclusively for the purpose of      856          

distributing new motor vehicles to new motor vehicle dealers;      857          

except that a distributor who is also a new motor vehicle dealer   858          

may distribute new motor vehicles at the same place of business    859          

at which the distributor sells, displays, offers for sale, or      860          

deals in new motor vehicles.                                       861          

      (G)  No person, firm, or corporation that sells, displays,   863          

or offers for sale tent-type fold-out camping trailers is subject  864          

to the requirement that the person's, firm's, or corporation's     865          

place of business be used exclusively for the purpose of selling,  867          

displaying, offering for sale, or dealing in motor vehicles.  No   868          

person, firm, or corporation that sells, displays, or offers for   869          

sale tent-type fold-out camping trailers, trailers, or             870          

semitrailers is subject to the requirement that the place of       872          

business have space, under roof, for the display of at least one   873          

new motor vehicle and facilities and space for the inspection,     874          

servicing, and repair of at least one motor vehicle.                            

      (H)  No manufactured or mobile home broker shall engage in   876          

the business of brokering manufactured homes at any place except   878          

an established place of business that is used exclusively for the  879          

purpose of brokering manufactured homes.                                        

      (I)  Nothing in this section shall be construed to prohibit  881          

persons licensed under this chapter from making sales calls.       882          

      (J)  AS USED IN THIS SECTION:                                884          

      (1)  "MOTOR VEHICLE LEASING DEALER" HAS THE SAME MEANING AS  886          

IN SECTION 4517.01 OF THE REVISED CODE.                            887          

      (2)  "MOTOR VEHICLE RENTING DEALER" HAS THE SAME MEANING AS  889          

                                                          21     


                                                                 
IN SECTION 4549.65 OF THE REVISED CODE.                            890          

      (3)  "WATERCRAFT" HAS THE SAME MEANING AS IN SECTION         892          

1547.01 OF THE REVISED CODE.                                                    

      Section 2.  That existing sections 1547.01, 1547.052,        894          

1548.09, 4503.31, 4517.01, and 4517.03 of the Revised Code are     895          

hereby repealed.                                                   897          

      Section 3.  Section 1547.052 of the Revised Code, as         899          

amended by this act, shall take effect on January 1, 2000.         900          

      Section 4.  Section 4517.01 of the Revised Code is           902          

presented in this act as a composite of the section as amended by  903          

both Am. Sub. H.B. 611 and Am. Sub. S.B. 142 of the 122nd General  904          

Assembly, with the new language of neither of the acts shown in    906          

capital letters.  This is in recognition of the principle stated   907          

in division (B) of section 1.52 of the Revised Code that such      908          

amendments are to be harmonized where not substantively            909          

irreconcilable and constitutes a legislative finding that such is  910          

the resulting version in effect prior to the effective date of     911          

this act.