An Act To Amend The Law Governing Watercraft Franchisor Warranty Reimbursements

LD 1296 amends Maine law to clarify how watercraft franchisors must reimburse franchisees for warranty repairs. It requires franchisors to pay franchisees the full retail price for parts used in repairs (capped at 100% of the labor cost for that repair) or the difference between the franchisee's cost and retail price if the franchisor provides the part. For labor, franchisors must reimburse franchisees at their standard retail rate for non-warranty work, provided the work is reasonable and documented. This directly affects watercraft dealers (franchisees) and manufacturers (franchisors) by setting clear reimbursement standards for warranty service.