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HB 2333

Modifies provisions relating to franchisor's warranty duties to franchisees

2026 Regular Session Introduced by Dave Hinman

HB 2333: Modifying Franchisor Warranty Duties to Franchisees OverviewBill Number: HB 2333 Title: Modifies provisions relating to franchisor's warranty duties to franchisees Statu

Referred: Emerging Issues(H)
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Bill Summary · HB 2333

HB 2333: Modifying Franchisor Warranty Duties to Franchisees

Overview

Bill Number: HB 2333
Title: Modifies provisions relating to franchisor's warranty duties to franchisees
Status: Prefiled (H)
Introduced: February 03, 2025

Purpose and Intent

The primary goal of HB 2333 is to update and clarify the warranty obligations that franchisors have towards their franchisees. The bill aims to ensure a more balanced and fair relationship between franchisors and franchisees, particularly when it comes to the repair and maintenance of franchise-branded products.

Key Provisions

  • Requires franchisors to fully reimburse franchisees for all labor and parts costs associated with warranty repairs on franchise-branded products
  • Prohibits franchisors from denying warranty coverage or reimbursement based solely on the franchisee using non-original equipment manufacturer (non-OEM) parts, as long as the parts meet the franchisor's specifications
  • Mandates that franchisors provide franchisees with a schedule of reasonable labor rates and parts prices to be used for warranty reimbursement
  • Allows franchisees to seek legal recourse if a franchisor fails to properly reimburse for warranty work

Affected Parties and Impacts

This bill would primarily impact franchisors and franchisees in various industries, such as automotive, food service, and retail. Franchisees would benefit from increased protections and more transparent warranty reimbursement policies, which could improve their profitability and financial stability. Franchisors may need to adjust their warranty programs and reimbursement practices to comply with the new requirements.

Procedural and Timeline Considerations

HB 2333 has been prefiled in the state legislature and is awaiting its first committee assignment and hearing. If passed, the bill would take effect 90 days after the legislative session ends. Stakeholders, including industry groups and consumer advocates, are expected to provide input and testimony during the legislative process.

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

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