Nevada § 482.363521 - Termination or discontinuation of franchise: Compensation of dealer

§ 482.363521. Termination or discontinuation of franchise: Compensation of dealer

1. Upon the termination or refusal to continue a franchise, the manufacturer or distributor

shall compensate the dealer for: (a) The dealer's inventory of new vehicles, including new vehicles not of the current

model year if delivered to the dealer during the 18-month period immediately preceding

the effective date of the termination or refusal to continue the franchise. As used in this paragraph, a “ new vehicle ” is one which has not been damaged, materially altered or registered with the Department

or with the appropriate agency of authority of any other state, the District of Columbia,

any territory or possession of the United States or any foreign state, province or

country. (b) The dealer's inventory of parts and accessories which: (1) Have been purchased by the dealer from the manufacturer or distributor; and (2) Are listed in a current parts catalog of the manufacturer or distributor. (c) Any special tools purchased by the dealer from the manufacturer or distributor,

less a reasonable allowance for depreciation. (d) Any equipment, furnishings or signs purchased by the dealer from the manufacturer

or distributor, less a reasonable allowance for depreciation. (e) Except as otherwise provided in subsection 4, the fair rental value for 90 days,

and any additional period allowed by the Director after considering the difficulty

of finding a new tenant for the dealer's premises affected, after the effective date

of the termination or refusal to continue of the portion of the dealer's place of

business that was used by the dealer to sell or service vehicles or other products

of the manufacturer or distributor. 2. Compensation paid pursuant to paragraphs (a) to (d), inclusive, of subsection 1

must be paid in an amount at least equal to the greater of: (a) The amount actually paid by the dealer for the vehicles, parts, tools and equipment;

or (b) The amount currently paid by other dealers in this State for the vehicles, parts,

tools and equipment. 3. If compensation is paid pursuant to paragraph (e) of subsection 1, the dealer shall

allow the manufacturer or distributor paying the compensation the use and possession

of the premises affected. 4. The manufacturer or distributor is not required to pay compensation pursuant to

paragraph (e) of subsection 1 if the dealer has been convicted of a crime involving

fraud in connection with his or her application for or operation of the franchise. 5. This section does not relieve a dealer of the obligation to mitigate damages resulting

from the termination or refusal to continue the franchise.