The Vermont Statutes Online
The Statutes below include the actions of the 2025 session of the General Assembly.
NOTE: The Vermont Statutes Online is an unofficial copy of the Vermont Statutes Annotated that is provided as a convenience.
(Cite as: 9 V.S.A. § 4088)
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§ 4088. Product liability indemnification
Notwithstanding the terms of any franchise agreement, it shall be a violation of this
law for any new motor vehicle manufacturer to fail to indemnify and hold harmless
its franchised dealers against any judgment or settlement for damages, after reasonable
notice of the proposed settlement to the manufacturer, including court costs and reasonable
attorney’s fees of the new motor vehicle dealer, arising out of complaints, claims,
or lawsuits including strict liability, negligence, misrepresentation, warranty (express
or implied), or rescission of the sale as is defined in 9A V.S.A. § 2—608 of the Uniform Commercial Code, to the extent that the judgment or settlement relates
to the alleged defective or negligent manufacture, assembly, or design of new motor
vehicles, parts, or accessories or other functions by the manufacturer, beyond the
control of the dealer. (Added 1981, No. 157 (Adj. Sess.), § 1, eff. April 14, 1982.)