Florida regulates more dimensions of the automobile manufacturer-dealer business relationship and does so more stringently than does any other state. Manufacturer and dealer groups disagree on whether the program is needed and on its effects.
The program has typically upheld manufacturer- and dealer-proposed business actions, indicating that both parties generally are proposing business actions (terminating dealerships, establishing new dealerships, changing dealership management, or selling dealerships) that meet statutory criteria.
Recent professional literature concludes that programs like Florida's may reduce industry competition and increase consumer costs in vehicle purchases.
The level of competition among dealers should be determined by the free market rather than by government regulation. However, given the program's history, changing the law to streamline regulation appears the best alternative.

Follow-Up Report on the Automobile Manufacturer Licensing Program
Report 97-71 April 1998

Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.