Iowa Code 322C.20 – Inspection and rejection by dealer
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1. Whenever a new towable recreational vehicle is damaged prior to transit or is damaged in transit to a dealer and the carrier or means of transportation has been selected by the manufacturer or distributor, the dealer shall notify the manufacturer or distributor of the damage within the time frame specified in the manufacturer-dealer agreement and shall do either of the following:
a. Request from the manufacturer or distributor authorization to replace the components, parts, or accessories damaged, or otherwise repair the vehicle to make it ready for sale at retail.
b. Reject the vehicle within the time frame set forth in the manufacturer-dealer agreement pursuant to subsection 4.
Terms Used In Iowa Code 322C.20
- at retail: means to sell a towable recreational vehicle to a person who will devote it to a consumer use. See Iowa Code 322C.2
- Days: means calendar days. See Iowa Code 322G.2
- dealer: means a person required to be licensed under this chapter who is authorized to sell and service towable recreational vehicles. See Iowa Code 322C.2
- Distributor: means a person who sells or distributes towable recreational vehicles to towable recreational vehicle dealers either directly or through a representative employed by a distributor. See Iowa Code 322C.2
- following: when used by way of reference to a chapter or other part of a statute mean the next preceding or next following chapter or other part. See Iowa Code 4.1
- Manufacturer: means a person engaged in the manufacture of towable recreational vehicles. See Iowa Code 322C.2
- Manufacturer-dealer agreement: means a written agreement or contract entered into between a manufacturer or distributor and a towable recreational vehicle dealer that specifies the rights and responsibilities of the parties and authorizes the dealer to sell and service new towable recreational vehicles. See Iowa Code 322C.2
- New towable recreational vehicle: means a towable recreational vehicle that has not been sold at retail. See Iowa Code 322C.2
- Towable recreational vehicle: includes a travel trailer, toy-hauler travel trailer, fifth-wheel travel trailer, toy-hauler fifth-wheel travel trailer, folding camping trailer, truck camper, and park model recreational vehicle. See Iowa Code 322C.2
- Vehicle: means any vehicle as defined in chapter 321. See Iowa Code 321H.2
2. If the manufacturer or distributor refuses to authorize repair of the new towable recreational vehicle within ten days after receipt of a dealer’s notification, or if the dealer rejects the new towable recreational vehicle because of damage to the vehicle, ownership of the vehicle shall revert to the manufacturer or distributor.
3. The dealer shall exercise due care when in custody of a damaged new towable recreational vehicle, but the dealer shall have no other obligations, financial or otherwise, with respect to the vehicle following rejection in accordance with the manufacturer-dealer agreement pursuant to subsection 4.
4. The time frame for inspection and rejection of a damaged new towable recreational vehicle by a dealer shall be specified in the manufacturer-dealer agreement, but shall not be less than two business days after the physical delivery of the vehicle to the dealer.