Panel refers bill clarifying that auto dealers may exhibit at auto shows (but not sell)

State Rep. Perriman brought House File 320 to the House Commerce, Finance and Policy Committee on Feb. 20 and the committee voted to refer the bill to the General Register after testimony from trade groups.

The bill clarifies that licensed motor vehicle dealers may serve as exhibitors at auto shows and display vehicles outside their licensed sales location for promotional purposes, provided they do not sell or lease vehicles at the show. "The bill makes it clear that vehicles are not for sale or lease at the auto show," Amanda Dubert, director of government affairs for the Minnesota Automobile Dealers Association, told the committee.

Dubert told lawmakers that auto shows have shifted in recent years from manufacturer-led exhibits toward local dealers presenting fleets, and that dealer franchise agreements and dealer-license facility requirements have created confusion over whether dealers may participate. She said House File 320 also would prohibit dealers from appraising trade-ins or advertising pricing outside of MSRP while exhibiting and that manufacturers' trade group Alliance for Automotive Innovation had no concerns about the measure.

The chair asked for public testimony; none was offered. Representative Perriman renewed her motion and the committee approved referral to the General Register on a voice vote.

Why it matters: Dealers and organizers have sought clarity about whether dealer participation at auto shows violates licensing or franchise restrictions. The change is intended to remove uncertainty by distinguishing exhibition activities from sales and to limit promotional conduct that could be interpreted as on-site selling.