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SB 1182

An Act amending the act of December 22, 1983 (P.L.306, No.84), known as the Board of Vehicles Act, further providing for title of act; in preliminary provisions, further providing for definitions; and, in vehicles, further providing for license to engage in business, for reimbursement for all parts and service required by the manufacturer or distributor and reimbursement audits, for unlawful acts by manufacturers or distributors and for manufacturer or distributor repurchase of inventory and equipment and providing for consumer data protection.

2025-2026 Regular Session Introduced by Dave Argall and 31 co-sponsors

PA SB 1182 modernizes vehicle dealer regulation by tightening reimbursements, repurchase rules, and consumer data protections to improve accountability and protections for dealers

Referred to Commerce
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WeVote Research Nonpartisan
Bill Summary · SB 1182

Overview

SB 1182 (2025-2026, Pennsylvania) amends the Board of Vehicles Act (Act of December 22, 1983, P.L.306, No.84) in several areas: title of the act, definitions, and numerous provisions related to licensing, manufacturer/distributor obligations (including reimbursement for parts/services, reimbursement audits, unlawful acts), repurchase of inventory and equipment, and consumer data protection. The bill has been referred to the Consumer Protection & Professional Licensure committee, with a broad slate of co-sponsors, and was reported as committed in June 2026 after initial consideration.

Main purpose and intent

  • Modernize and strengthen regulatory framework governing vehicle dealers, manufacturers, and distributors in Pennsylvania.
  • Enhance consumer protections through clearer definitions, tighter controls on reimbursements and audits, and explicit rules on repurchase obligations.
  • Expand consumer data protection provisions related to the handling of consumer information by manufacturers, distributors, and dealers.

Key provisions and changes (subject to final text)

  1. Preliminary provisions and definitions

    • Revisions to the act’s definitions to reflect current industry practices and to tighten or clarify terms used in licensing, reimbursements, audits, and repurchase obligations.
    • Potential updating of terms to align with emerging technologies and marketplace changes in the vehicle sector.

  2. License to engage in business (vehicles)

    • Modifications to licensing requirements for dealers, manufacturers, distributors, or related entities.
    • Possible changes to license qualifications, renewal processes, fees, compliance expectations, and grounds for suspension or revocation.

  3. Reimbursement for all parts and service required by the manufacturer or distributor; reimbursement audits

    • Expanded or clarified obligations for manufacturers/distributors to reimburse dealers for parts and service that are required by the manufacturer or distributor agreements.
    • Establishment or strengthening of audit processes to ensure timely and accurate reimbursements.
    • Potential timelines, documentation requirements, and remedies if reimbursements are underpaid or delayed.

  4. Unlawful acts by manufacturers or distributors

    • Specification of prohibited or unfair practices by manufacturers or distributors toward dealers or consumers.
    • Potential penalties, enforcement mechanisms, and consumer remedies for violations.

  5. Manufacturer or distributor repurchase of inventory and equipment

    • Rules governing repurchase obligations (e.g., when a dealer’s inventory or equipment must be repurchased by the manufacturer/distributor, at what price, and under what conditions).
    • Procedures for determining repurchase prices, timelines, and dispute resolution.

  6. Consumer data protection

    • Provisions addressing how consumer data is collected, stored, used, and protected by manufacturers, distributors, and dealers.
    • Requirements for data security, breach notification, and possibly limitations on data sharing or resale.
    • Potential penalties for data privacy violations and enforcement mechanisms.

Who is affected

  • Vehicle dealers, manufacturers, and authorized distributors operating in Pennsylvania.
  • Service centers and automotive repair businesses affiliated with manufacturers or distributors.
  • Consumers who purchase or service vehicles through these channels, due to enhanced protections and data safeguards.
  • Regulatory bodies responsible for enforcing the Board of Vehicles Act and consumer protection provisions.

Procedural and timeline aspects

  • Referred to the House committee on Consumer Protection & Professional Licensure (February 13, 2026).
  • Reported as committed and advanced to first consideration (June 10, 2026), indicating it has passed committee consideration and is moving through the legislative process.
  • Specific effective dates, implementation timelines, and any transitional provisions will be defined in the bill’s final language or accompanying fiscal/implementation notes.

Potential impacts and considerations

  • Strengthened accountability for manufacturers/distributors in reimbursements and repurchase practices, potentially reducing dealer squeeze and improving cash flow.
  • Increased regulatory oversight and potential penalties for unlawful acts, benefiting dealers and consumers.
  • Enhanced consumer privacy protections in automotive transactions and data handling practices.
  • Administrative and compliance burdens for manufacturers, distributors, and dealers, including possible audits and reporting requirements.
  • The net fiscal impact (costs or savings) would depend on final text, enforcement intensity, and any accompanying funding or fee adjustments.

If you’d like, I can tailor this summary to focus on specific sectors (e.g., dealer-only implications, consumer perspectives) or extract the exact proposed definitions and penalties once the final bill language is available.

Compiled from official sources — confirm details with the bill’s official record.

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