NY Gen Bus L § 813 (2021)
2021 New York Laws GBS - General Business Article 38 - Vessel Dealer Agreements 813 - Vessel Preparation, Warranty and Warranty Reimbursement.

§  813. Vessel preparation, warranty and warranty reimbursement. 1. If a manufacturer or distributor requires or permits a  dealer  to  provide parts  or  to  perform  labor  to  satisfy  a  warranty  created  by the manufacturer or distributor, the manufacturer or distributor shall:  (a) properly and promptly fulfill its warranty obligations;  (b)  adequately  and  fairly  compensate  the  dealer  for  any  parts provided,  the  shipping costs for parts provided and labor performed by the dealer to satisfy the warranty on  a  vessel,  including  the  hull, motor/engine, component parts, spars, sails and accessories; and  (c)  have the right to audit the dealer's warranty claims for a period of eighteen months following the submission thereof, and to charge  back to  the  dealer  any  amounts  paid  on  false, fraudulent, incorrect or unsubstantiated claims.   2. Compensation by the manufacturer or distributor for parts provided, the shipping costs for parts provided and labor performed by the  dealer shall be deemed adequate and fair if:  (a)  the  dealer  is  reimbursed for any parts provided and already in inventory and the shipping costs for such parts in an  amount  equal  to the  wholesale  price,  plus  forty percent thereof, provided that in no case shall such reimbursement exceed  the  retail  price,  and  shipping costs of the parts provided to the dealer; and  (b)  the dealer is reimbursed for any labor performed at the following rates:  (i) with respect to the first year of new  dealer  agreements  entered into on or after the effective date of this article, and with respect to the  first  year  of  the first renewals of a dealer agreement in effect prior to the effective date  of  this  article,  when  such  renewal  is entered  into  on or after the effective date of this article, at a rate of  not  less  than  seventy-five  percent  of  the  retail  labor  rate customarily charged and posted therefor,  (ii)  with respect to the second year of new dealer agreements entered into on or after the effective date of this article, and with respect to the second year of a renewal of a dealer agreement in  effect  prior  to the  effective date of this article, when the first year of such renewal commenced on or after the effective date of this article, at a rate  not less  than  ninety  percent of the retail labor rate customarily charged and posted therefor; and  (iii) with respect to the third and any subsequent year of new  dealer agreements  entered into on or after the effective date of this article, and with respect to the third and any subsequent year of a renewal of  a dealer  agreement in effect prior to the effective date of this article, when the first year of such renewal commenced on or after the  effective date of this article, at a rate not less than one hundred percent of the retail labor rate customarily charged and posted therefor.   Nothing  in  this  paragraph shall be deemed to require or provide for the payment of a lower rate than  is  provided  in  a  dealer  agreement entered into prior to the effective date of this article or of a renewal of  a  dealer  agreement, when such renewal is entered into prior to the effective date of this article.   3. To be entitled to compensation for labor  at  the  dealer's  retail rate,  the  dealer  shall have posted, in a place conspicuous to service customers, the rate for labor for nonwarranty work.   4. Except as provided in this section, no manufacturer or  distributor may  by  agreement  make  restrictions  on  reimbursement  or  otherwise restrict the nature or extent of parts provided or labor performed by  a dealer  if  such restriction impairs the dealer's ability to satisfy the warranty of the manufacturer  or  distributor  in  accordance  with  the generally  accepted  standards. However, the manufacturer or distributor  may provide printed repair manuals detailing  standard  labor  time  and parts  required  for  a specific repair to establish set requirements if such manual is provided to the dealer upon entry into a new contract  or renewal  of  a contract. Such standards shall reflect the labor time and parts' standards used by the  manufacturer  on  a  national  level.  Any repair or parts required by the manufacturer or distributor that are not in  repair  manuals  will  be  paid  in  actual  billable  hours  by the manufacturer or distributor.   5. A claim by a  dealer  for  compensation  for  parts  provided,  the shipping  costs  for  parts  provided  and  labor performed to satisfy a warranty,  provided  that  the  claim  includes  all   the   information reasonably  necessary  by  the manufacturer to make a determination upon the validity of the claim, shall  be  approved  or  disapproved  by  the manufacturer  or distributor in writing within thirty days of receipt of the claim  by  the  manufacturer  or  distributor  in  writing,  and  if approved, shall be paid within thirty days of the approval thereof.