§ 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.