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Nebraska RV-Specific Franchise Law Proposal Gains Support From Industry Groups

A bill introduced in the Nebraska Legislature aims to establish a legal framework for recreational vehicle manufacturers and dealers, separating them from automobile franchise laws.

The proposal, LB 1121, would create a standalone chapter in Nebraska’s state code governing RV manufacturer-dealer relationships, addressing long-standing concerns about regulatory confusion and inconsistency. The legislation was introduced by Senator Beau Ballard, vice chair of the Transportation Committee.

“The result is a patchwork of laws across the country that create confusion on which part of what provision applies to which industry and under what circumstances,” the association said in a News and Insights report RVIA on January 22.

For years, the RV industry has worked alongside the automobile industry and state lawmakers to carve out exemptions from automobile franchise laws in Nebraska and other states. 

To address the issue, the RV Industry Association (RVIA) asked the Nebraska Senate to introduce legislation that would place the manufacturer-dealer relationship for recreational vehicles in a separate chapter of the state Code, allowing RV manufacturers and dealers to operate “separately” from the automobile industry in law as they do in practice.

LB 1121 is intended to address those concerns by formally separating RV franchise regulation from automobile franchise law in Nebraska. 

Under the proposal, RV manufacturers and dealers would be governed by a dedicated section of state law that reflects industry-specific business practices. 

The legislation is based on a model manufacturer-dealer agreement bill endorsed by both the RVIA and the national RV Dealers Association. The proposal emerged from negotiations held last year involving RVIA, Nebraska RV dealers, and the Nebraska Auto Dealers Association. 

The bill has been referred to the Transportation and Telecommunication Committee, which is considering holding a hearing in early February as part of the legislative review process.

RVIA, with offices in the Washington, D.C., area and Elkhart, Indiana, is a trade association representing the recreational vehicle industry. The association represents more than 500 manufacturers and component and aftermarket suppliers that together produce 98% of all RVs made in the United States. 

RVIA also serves as the primary trade voice for an industry valued at $140 billion and has represented the sector for more than 50 years.

The association works to unite the diverse RV industry and build alliances that create a coordinated voice on behalf of manufacturers and suppliers. 

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