Sen. Reny bill to support Maine marinas by requiring full manufacturer reimbursement for repairs under warranty receives unanimous committee support
AUGUSTA — On Thursday, May 8, the Joint Standing Committee on Housing and Economic Development voted unanimously to advance LD 1296, “An Act to Amend the Law Governing Watercraft Franchisor Warranty Reimbursements.” This bill, sponsored by Sen. Cameron Reny, D-Bristol, would support Maine marinas by requiring manufacturers to provide full reimbursement for parts and labor used for repairs performed under warranty.
“I’d like to thank the Committee for demonstrating how much they value the small businesses that keep Maine boaters on the water by voting to support this bill,” said Sen. Reny. “My district, like many others, is surrounded by water that we depend on economically and for recreation. Running a boat business in a state where the water can stay frozen and unfriendly until mid-April isn’t easy. Engine sales and service, including those under warranty from big engine manufacturers, are a critical component to keeping these small businesses going. LD 1296 will ensure that Maine dealers get paid for the full cost of the service they provide on boats under warranty.”
LD 1296 seeks to provide support to Maine watercraft servicers by requiring manufacturers to fully reimburse a dealer for any parts and labor provided by the dealer while fulfilling a manufacturer’s warranty commitment to its customer. The Committee amended the bill to add an emergency clause, ensuring the payment changes would take effect immediately upon the governor’s signing this bill (should it receive a 2/3 majority in the House and Senate).
Currently, some manufacturers are taking advantage of loopholes, like denying dealers markups on parts by providing them directly to dealers or by only paying a fixed price for the labor that goes into the repair, rather than reimbursing the actual time it takes a dealer to fix a part. LD 1296 seeks to close this loophole by requiring the dealer to be reimbursed for the markup on parts, regardless of who provided it, and for the actual time it takes the dealer to complete the warranty repair.
In his testimony in support of LD 1296 at its public hearing on May 2, Jason Curtis, Vice President of Operations at Portland Yacht Services (PYS), said, “I have been in the marine service business since I was 13 years old…. This warranty re-imbursement shortfall has been a subject among dealers since I started in the business. … I believe our time on each warranty job is justified and we should be fully re-imbursed. … We are absolutely in support of LD 1296 and hope that you will support it also.”
LD 1296 now faces votes in the Senate and House.
Sen. Reny represents Senate District 13, which includes most of Lincoln County and the towns of Washington and Windsor.
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