Mazda
Mazda Motor of America, Inc. v. California New Motor Vehicle Board
Opinion
Opinion
Hull, J.
This case centers on a jurisdictional issue, namely, whether a dispute between plaintiff Mazda Motor of America, Inc. (Mazda), and one of its dealerships, real party in interest David J. Phillips Buick-Pontiac, Inc. (Phillips), should be resolved by the California New Motor Vehicle Board (the Board) or the courts. We agree with the trial court that this dispute is not within the limited jurisdictional scope of the Board and therefore affirm the judgment.
FACTS AND PROCEDURAL HISTORY
Mazda is a licensed motor vehicle distributor in California, and Phillips is a licensed Mazda dealer.
Phillips entered into an agreement to sell its Mazda dealership to a third party. The franchise agreement required “Mazda’s prior written consent, which shall not be unreasonably withheld,” to transfer ownership of the Phillips dealership. This contract provision parallels the statutory provisions of Vehicle Code section 11713.3, subdivisions (d)(1) and (e). (Further undesignated statutory references are to the Vehicle Code.)
Under both the franchise agreement and statutory provisions (§ 11713.3, subd. (d)(2)(A)), Phillips was required to give Mazda written notice of a transfer of the…