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SOUTH DAKOTA STATUTES AND CODES

Section 37-5-15 - Certain terms or conditions in dealership contract or lease prohibited--Not applicableto lease or sale of real property.

37-5-15. Certain terms or conditions in dealership contract or lease prohibited--Not applicable to lease or sale of real property. No manufacturer may require a dealer to agree to the inclusion of a term or condition in a dealership contract, or in any lease or agreement ancillary or collateral to a dealership contract, as a condition to the offer, grant, or renewal of such dealership contract, lease, or agreement, that:
(1) Requires the dealer to waive trial by jury in cases involving the manufacturer;
(2) Requires that disputes between the manufacturer and dealer be submitted to arbitration or to any other binding alternate dispute resolution procedure. However, any dealership contract, lease, or agreement may authorize the submission of a dispute to arbitration or to binding alternate dispute resolution if the manufacturer and dealer voluntarily agree to submit the dispute to arbitration or binding alternate dispute resolution at the time the dispute arises; or
(3) Requires a dealer to pay the attorney fees of a manufacturer.
This section does not apply to any agreement that has as its main objective the lease or sale of real property.

Source: SL 1999, ch 200, § 3.

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