SB 81: Motor Vehicle Franchise Practices; protection of consumer data in motor vehicle sales; provide

Georgia law already limits how vehicle manufacturers, distributors, and franchisors can use consumer data collected by car dealers. This bill expands those protections to also cover affiliates of manufacturers and distributors, not just the companies themselves. It requires written consent before those companies or outside vendors can pull data directly from a dealer's own computer systems, and it lets dealers demand a list of who their data has been shared with. The bill also creates a brand new Code section (10-1-633) covering 'protected dealer data' held in dealer software systems, setting rules for secure data sharing through standardized interfaces, banning excessive integration fees, and requiring vendors to help dealers switch systems safely. It adds new required disclosures around vehicle allocation and remote software updates, adds a new unlawful practice for franchisors, and updates O.C.G.A. § 40-2-39 to spell out what counts as 'activity as a new motor v2ehicle dealer,' including online reservation systems and deposits, with several listed exceptions.

• Extends existing consumer data protections in motor vehicle sales (O.C.G.A. § 10-1-632) to cover affiliates of franchisors, manufacturers, and distributors, not just those companies directly.
• Creates a new Code section (10-1-633) that restricts third parties from accessing, selling, or using 'protected dealer data' stored in a dealer's software systems without the dealer's prior written consent.
• Requires dealer data system vendors to offer a secure open data interface so approved outside integrators can connect to dealer systems, and bans hidden or excessive integration fees.
• Adds a new unlawful franchisor practice: failing to disclose in writing which vehicle features can be remotely changed or updated by the manufacturer and what that costs consumers.
• Requires franchisors to explain their vehicle allocation process in writing within 30 days of a dealer's request and to compensate dealers for assisting customers with remote vehicle software updates.
• Rewrites O.C.G.A. § 40-2-39 to define specific activities, such as accepting deposits or processing online vehicle reservations, that count as acting as a licensed new motor vehicle dealer, with listed exceptions for things like informational websites.

Georgia's licensed new motor vehicle dealers, vehicle manufacturers, distributors, franchisors and their affiliates, outside software and data vendors that service dealerships, and consumers who buy or lease new vehicles and whose personal data passes through dealer computer systems.

The bill changes who can see and use data generated when Georgians buy or lease cars, and requires clearer written consent before manufacturers or outside companies can tap into a dealership's own data systems. It also clarifies which online vehicle-buying and reservation activities require a dealer license, affecting how digital car sales tools can operate in Georgia.

• Section 1 revises the legislative findings in O.C.G.A. § 10-1-621 to add recall service, inter-brand and intra-brand competition, and protection against monopolistic practices as stated public interests.
• Section 2 amends O.C.G.A. § 10-1-632 to extend data safeguard, disclosure, and indemnification duties to affiliates of franchisors, manufacturers, and distributors, and requires written, revocable consent before direct access to a dealer's data system.
• Section 3 adds new Code Section 10-1-633, defining 'protected dealer data,' 'authorized integrator,' and 'data access overcharge,' and banning third parties from accessing or misusing dealer data without prior written consent, while requiring secure data-sharing interfaces and vendor indemnification of dealers.
• Section 4 amends O.C.G.A. § 10-1-641 to require franchisors to compensate dealers for helping customers with remote vehicle software updates performed at the dealership.
• Section 5 amends O.C.G.A. § 10-1-662 to add new unlawful franchisor practices, including failing to disclose vehicle allocation processes within 30 days and failing to disclose remotely modifiable vehicle features and their costs.
• Section 6 amends O.C.G.A. § 40-2-39 to define specific online and in-person activities, such as accepting deposits, negotiating trade-in values, or processing vehicle reservations, as requiring a new motor vehicle dealer license, with listed exceptions.
• Section 7 repeals any conflicting laws.

1. 2025-05-14Effective Date 2025-07-01
2. 2025-05-14Act 282
3. 2025-05-14Senate Date Signed by Governor (Senado)
4. 2025-04-07Senate Sent to Governor (Senado)
5. 2025-03-13House Passed/Adopted (Cámara de Representantes)
6. 2025-03-13House Third Readers (Cámara de Representantes)
7. 2025-02-26House Committee Favorably Reported (Cámara de Representantes)
8. 2025-02-20House Second Readers (Cámara de Representantes)

• Matt Brass (R, SD-006)Patrocinador principal
• Larry Walker (R, SD-020)
• Carden Summers (R, SD-013)
• John Kennedy (R, SD-018)
• Harold Jones (D, SD-022)
• Ed Harbison (D, SD-015)
• Alan Powell (R, HD-033)

1. AprobadaVotación: Senado18 de febrero de 2025

   52 a favor, 1 en contra (0 sin votar, 3 ausentes)

   Passage By Substitute: Senate Vote #60

2. AprobadaVotación: Cámara de Representantes13 de marzo de 2025

   165 a favor, 5 en contra (5 sin votar, 5 ausentes)

   Passage: House Vote #274

• car dealer regulations
• consumer data privacy
• motor vehicle sales
• auto dealer franchise law
• data sharing rules