In March, Gov. Glenn Youngkin signed into law new protections to ensure fair reimbursement for Virginia’s automotive technicians and dealerships performing warranty and recall repairs. Backed by strong bipartisan support in the General Assembly, the legislation marks a major victory for dealerships, which are often small businesses, across the Commonwealth — closing loopholes, preventing price manipulation by manufacturers and guaranteeing pay for diagnostic and communication time. The law takes effect on July 1, 2025.
Dealers should look forward to:
- OEMs no longer having the ability to challenge warranty rates based on their definition of “reasonableness.”
- Protection from decreases in markup on recall and recall-like repair parts.
- The ability to return unused recall parts.
- Strengthened protection for payment for diagnostic repair time.
- The right to full reimbursement for rental vehicles within 30 days, regardless of the vehicle’s make or model.
“We thank our great bill patrons, Del. Sewell and Sen. McPike, for championing fairness for Virginia’s dealerships and the technicians who keep our communities moving and Gov. Youngkin for signing the bills,” said Don Hall, president and CEO of VADA. “In many ways, this legislation is about one thing: doing what’s right. Dealerships shouldn’t be forced to eat the cost of a manufacturer’s mistake, and technicians deserve to be paid for the work they actually do. These new protections are something to be proud of — and something our industry can look forward to benefiting from for years to come.”
View the details of the legislation.
Del. Briana Sewell (D-Prince William) carried HB1683, and Sen. Jeremy McPike (D-Prince William) served as patron to the identical SB1308.
