N.C. Gen. Stat. » Chapter 20
NC General Statutes

N.C. Gen. Stat. § 20-285 (2026)

Regulation of motor vehicle distribution in public interest

✓ current as of July 2026
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The General Assembly finds and declares that the distribution of motor vehicles in the State of North Carolina vitally affects the general economy of the State and the public interest and public welfare, and in the exercise of its police power, it is necessary to regulate and license motor vehicle manufacturers, distributors, dealers, salesmen, and their representatives doing business in North Carolina, in order to prevent frauds, impositions and other abuses upon its citizens and to protect and preserve the investments and properties of the citizens of this State. (1955, c. 1243, s. 1; 1983, c. 704, s. 1.)

 

Notes of Decisions
Cited in 12 cases (1 in the last 5 years), 1978–2023 · leading case: Mazda Motors of Am., Inc. v. Sw. Motors, Inc., 243 S.E.2d 793 (N.C. Ct. App. 1978).
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Mazda Motors of Am., Inc. v. Sw. Motors, Inc., 243 S.E.2d 793 (N.C. Ct. App. 1978). · cites it 2× “20-285), made specific legislative findings of fact as follows: The General Assembly finds and declares that the distribution of motor vehicles in the State of North Carolina vitally affects the general economy of the State and the public interest and public welfare, and in the…”
Nissan Div. of Nissan Motor Corp. in U.S.A. v. Fred Anderson Nissan, 434 S.E.2d 224 (N.C. Ct. App. 1993). · cites it 5× “On 1 October 1991, certain amendments to the Motor Vehicle Dealers and Manufacturers Licensing Law (the Licensing Law), N.C. Gen. Stat. §§ 20-285 to -308.2 (1989 and Supp.”
North Carolina Ass'n of Elec. Tax Filers, Inc. v. Graham, 429 S.E.2d 544 (N.C. 1993). · cites it 3× “1992); and automobile dealers and manufacturers, N.C.G.S. §§ 20-285 to 20-308.2 (1989 and Supp.”
Nissan Div. v. Nissan, 445 S.E.2d 600 (N.C. 1994). · cites it 3× “Mail it has waived any objection to defendant’s proposed relocation.”
Dew v. State Ex Rel. North Carolina Dep't of Motor Vehs., 488 S.E.2d 836 (N.C. Ct. App. 1997). · cites it 2× “§ 20-294, which states in pertinent part: The Division may deny, suspend, or revoke a license issued under this Article for any one or more of the following grounds: * * * (9) ... being convicted of a felony involving moral turpitude under the laws of this State, another state,…”
Carolina Truck & Body Co., Inc. v. Gen. Motors Corp., 402 S.E.2d 135 (N.C. Ct. App. 1991). “GMC withdrawal from the heavy duty truck business was in all respects in conformity with the requirements of the Motor Vehicle Dealers and Manufacturers Licensing Law (G.S. 20-285 et seq.). *266 In the companion case, Carolina Truck & Body Company, Inc.”
Mawyer v. Lumbermens Mut. Cas. Co., 377 S.E.2d 401 (Va. 1989). “The bond was issued in compliance with the North Carolina Motor Vehicle Dealers and Manufacturers Licensing Law, N.C. Gen. Stat. §§ 20-285 , et seq. (the North Carolina Statute), and the bond specifically incorporates the North Carolina Statute.”
Stott v. Martin, 783 F. Supp. 970 (E.D.N.C. 1992). “§ 20-285 et seq. The court finds as a matter of law that DMV addresses matters potentially subject to partisan political differences.”
Armstrong Ford, Inc. v. Ford Motor Co. (E.D.N.C. 2023). · cites it 2× “, along with 45 other franchised Ford dealerships, (collectively, “plaintiffs”) filed a petition with the Commissioner of the North Carolina Division of Motor Vehicles (the “Commissioner”) claiming that the EV Program violated the North Carolina Motor Vehicle Dealers and…”
Clark v. Alan Vester Auto Grp., Inc., 2009 NCBC 18 (N.C. Bus. Ct. 2009). · cites it 2× “By his Claim, Plaintiff Clark seeks to recover damages for alleged violation by one or more of the Vester Defendants of the Motor Vehicle Dealers and Manufacturers Licensing Law, N.C. Gen. Stat. § 20-285 , et seq. (the “Dealer Act”) (henceforth in this Order, references to the…”
Clark v. Alan Vester Auto Grp., Inc., 2009 NCBC 17 (N.C. Bus. Ct. 2009). · cites it 2× “Plaintiff Clark seeks to have certified a class of vehicle purchasers with regard to down payment practices under the Motor Vehicle Dealers and Manufacturers Licensing Law, N.C. Gen. Stat. § 20-285 , et seq. (the “Dealer Act”) (henceforth in this Order, references to sections of…”
Volvo Grp. N. Am., LLC v. Roberts Truck Ctr., Ltd., 2020 NCBC 28 (N.C. Bus. Ct. 2020). “at § 20-285 (emphasis added). 47. The policy statement makes no mention of non-resident dealership operations outside of North Carolina by dealers that are not doing business in or are not invested in North Carolina.”
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