Virginia law § 46.2-1572.4 governs the use of performance standards by manufacturers and distributors for dealerships. It requires these standards to be fair, reasonable, and based on valid data, and mandates transparency when requested by dealers. The law also restricts the use of sales performance data for punitive purposes related to used vehicle recalls or technical issues during certain periods.
They must be fair, reasonable, equitable, and based on a statistically valid sample if survey-based. Manufacturers must also disclose how standards are designed upon dealer request.
No, they cannot use sales performance data for penalties related to incentive loss, breach claims, or termination during certain periods, especially concerning used vehicles under recall or technical notices.
Manufacturers must disclose in writing how a performance standard or program is designed and all relevant data used in its application.
Yes, it restricts manufacturers from using sales data to penalize dealers during recall or technical issue periods, including 90 days after agreement termination.