# RCW 46.96.035: RCW 46.96.035: Payment of fair market value of dealer goodwill upon request and termination, cancellation, or nonrenewal of franchise

> Washington · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S035

## Section

- **Citation:** RCW 46.96.035
- **Heading:** RCW 46.96.035: Payment of fair market value of dealer goodwill upon request and termination, cancellation, or nonrenewal of franchise
- **Jurisdiction:** Washington
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Washington Code / Title 46 / Chapter 96 / Section 035

## Text

(1) In the event of a termination, cancellation, or nonrenewal under this chapter, except for a termination, cancellation, or nonrenewal under RCW 46.96.070 (2), or a voluntary termination, cancellation, or nonrenewal initiated by the dealer, the manufacturer shall, at the request and option of the new motor vehicle dealer, also pay to the new motor vehicle dealer the fair market value of the motor vehicle dealer's goodwill for the make or line as of the date immediately preceding any communication to the public or dealer regarding termination. To the extent the franchise agreement provides for the payment or reimbursement to the new motor vehicle dealer in excess of the value specified in this section, the provisions of the franchise agreement control. (2) The manufacturer shall pay the new motor vehicle dealer the value specified in subsection (1) of this section within ninety days after the date of termination.

## Nearby sections

- [RCW 46.96.010 RCW 46.96.010: Legislative findings.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S010.md)
- [RCW 46.96.020 RCW 46.96.020: Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S020.md)
- [RCW 46.96.030 RCW 46.96.030: Termination, cancellation, or nonrenewal of franchise restricted.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S030.md)
- [RCW 46.96.035 RCW 46.96.035: Payment of fair market value of dealer goodwill upon request and termination, cancellation, or nonrenewal of franchise.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S035.md)
- [RCW 46.96.040 RCW 46.96.040: Determination of good cause, good faith—Petition, notice, decision, appeal.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S040.md)
- [RCW 46.96.050 RCW 46.96.050: Determination of good cause, good faith—Hearing, decision, procedures—Judicial review.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S050.md)
- [RCW 46.96.060 RCW 46.96.060: Good cause, what constitutes—Burden of proof.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S060.md)
- [RCW 46.96.070 RCW 46.96.070: Notice of termination, cancellation, or nonrenewal.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S070.md)
- [RCW 46.96.080 RCW 46.96.080: Payments by manufacturer to dealer for inventory, equipment, etc.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S080.md)
- [RCW 46.96.090 RCW 46.96.090: Payments by manufacturer for dealership facilities.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S090.md)
- [RCW 46.96.095 RCW 46.96.095: Compensation by manufacturer for labor and parts required to perform recall repairs—Applicability to certain used vehicles—Reimbursement claims—Recovery of costs—Remedy, exclusive.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S095.md)
- [RCW 46.96.100 RCW 46.96.100: Mitigation of damages.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S100.md)
- [RCW 46.96.105 RCW 46.96.105: Warranty work.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S105.md)
- [RCW 46.96.110 RCW 46.96.110: Designated successor to franchise ownership.](https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S110.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_WA_T46_C96_S035. Check the current official text before relying on it. Not legal advice.