WASHINGTON STATUTES AND CODES

46.96.160 - Factors considered by administrative law judge.

Factors considered by administrative law judge.

In determining whether good cause exists for permitting the proposed establishment or relocation of a new motor vehicle dealer of the same line make, the administrative law judge shall take into consideration the existing circumstances, including, but not limited to:

     (1) The extent, nature, and permanency of the investment of both the existing motor vehicle dealers of the same line make in the relevant market area and the proposed additional or relocating new motor vehicle dealer, including obligations reasonably incurred by the existing dealers to perform their obligations under their respective franchises;

     (2) The growth or decline in population and new motor vehicle registrations during the past five years in the relevant market area;

     (3) The effect on the consuming public in the relevant market area;

     (4) The effect on the existing new motor vehicle dealers in the relevant market area, including any adverse financial impact;

     (5) The reasonably expected or anticipated vehicle market for the relevant market area, including demographic factors such as age of population, income, education, size class preference, product popularity, retail lease transactions, or other factors affecting sales to consumers in the relevant market area;

     (6) Whether it is injurious or beneficial to the public welfare for an additional new motor vehicle dealer to be established;

     (7) Whether the new motor vehicle dealers of the same line make in the relevant market area are providing adequate competition and convenient customer care for the motor vehicles of the same line make in the relevant market area, including the adequacy of motor vehicle sales and service facilities, equipment, supply of vehicle parts, and qualified service personnel;

     (8) Whether the establishment of an additional new motor vehicle dealer would increase competition and be in the public interest;

     (9) Whether the manufacturer is motivated principally by good faith to establish an additional or new motor vehicle dealer and not by noneconomic considerations;

     (10) Whether the manufacturer has denied its existing new motor vehicle dealers of the same line make the opportunity for reasonable growth, market expansion, establishment of a subagency, or relocation;

     (11) Whether the protesting dealer or dealers are in substantial compliance with their dealer agreements or franchises; and

     (12) Whether the manufacturer has complied with the requirements of RCW 46.96.140 and 46.96.150.

     In considering the factors set forth in this section, the administrative law judge shall give the factors equal weight, and in making a determination as to whether good cause exists for permitting the proposed establishment or relocation of a new motor vehicle dealer of the same line make, the administrative law judge must find that at least nine of the factors set forth in this section weigh in favor of the manufacturer and in favor of the proposed establishment or relocation of a new motor vehicle dealer.