Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Commercial Law topic
No spam. Unsubscribe anytime.
Panel backs bill letting dealer trade associations sue makers for declaratory relief
Summary
Senate Bill 102 would allow qualified motor‑vehicle trade associations to seek declaratory or injunctive relief on behalf of dealers, streamlining multi‑dealer disputes; the committee adopted technical amendments and reported the bill favorably after testimony from the Louisiana Auto Dealers Association.
Senate Bill 102, filed by Senator Presley, would authorize qualified dealer trade associations to bring limited suits seeking declaratory or injunctive relief on behalf of member dealers, but would not permit monetary damages. The sponsor said the change would streamline disputes that otherwise might spawn multiple separate cases around the state.
Colter McMahon, president of the Louisiana Automobile Dealers Association, told the committee the measure gives associations “the opportunity to stand in the shoes of the dealer body” when multiple dealerships face similar legal issues from a manufacturer and to avoid duplicative litigation.
Lawmakers questioned whether the bill creates a new private right of action. The sponsor and legal witnesses said the measure codifies the U.S. Supreme Court’s Hunt four‑part test for association standing into state statute and limits relief to non‑monetary remedies.
Representative Jacob Landry and others voiced support; Representative Menon raised constitutional/standing questions but accepted the sponsor’s framing that the association would act only where a member has standing. Representative Landry later moved to report the bill favorable and the committee agreed; Senate Bill 102 will be reported favorably as amended.
What happens next: the bill moves from committee to the House floor; any further changes would be addressed in floor debate or in the other chamber.
