Arkansas Warranty Reimbursement
Arkansas Dealers: Your State Law Guarantees Higher Warranty Rates
Ark. Code § 23-112-403 · 12-18% typical uplift
Arkansas dealers can still claim higher warranty reimbursement rates. Let us show you how.
Arkansas Warranty Reimbursement Law
Arkansas franchise law includes warranty reimbursement provisions for parts markup and labor rate adjustments.
Ark. Code § 23-112-403
State Tier
standard
Submission Deadline
No specific statutory deadline
OEM Response Window
60 days
What This Means for Your Dealership
Arkansas franchise law gives dealers the right to seek warranty reimbursement at rates that reflect their actual retail pricing. The law specifies a 60-day response window for manufacturers, giving you a clear timeline for the process.
For Arkansas dealers, the Motor Vehicle Commission provides an additional layer of protection. If a manufacturer disputes your rate increase request unreasonably, you have a formal avenue for resolution. This makes Arkansas stronger than many standard-tier states.
Key Provisions
- Manufacturers must reimburse dealers at reasonable rates for warranty work
- OEM has 60 days to respond to rate adjustment requests
- Motor Vehicle Commission oversees dealer-manufacturer disputes
- Dealers can submit based on documented retail repair orders
- Anti-retaliation provisions protect dealers who file claims
What's Excluded from Calculations
The following repair types and transactions are typically excluded when calculating your retail warranty reimbursement rate:
- Goodwill repairs and customer accommodations
- Internal dealership and employee vehicles
- Wholesale and fleet transactions
- Manufacturer-directed recall work
Full Statute Text
Ark. Code § 23-112-403 — Arkansas Warranty Reimbursement Law
Source: Arkansas State Legislature — This text is provided for informational purposes. Always consult the official state legislature website for the most current version.
Example: How Much Could You Recover?
An Arkansas dealership processing 180 warranty ROs per month at $230 average generates approximately $497,000 annually. With a 12-18% uplift, that's $60,000-$89,000 in additional revenue per year — significant for any single-rooftop operation.
Pro Tips for Arkansas Dealers
Take advantage of the 60-day OEM response requirement — if they miss it, escalate promptly
The Arkansas Motor Vehicle Commission is dealer-friendly — don't hesitate to use their dispute resolution process
Document at least 90 days of retail ROs before submitting for the strongest possible case
Arkansas Warranty Reimbursement FAQ
How long does the OEM have to respond in Arkansas?
Under Arkansas law, manufacturers have 60 days to respond to a warranty reimbursement rate adjustment request.
Can I file a complaint if my manufacturer denies my request?
Yes. The Arkansas Motor Vehicle Commission oversees manufacturer-dealer disputes and provides a formal process for resolving warranty reimbursement disagreements.
What documentation do I need for an Arkansas submission?
You'll need customer-pay repair orders documenting your retail labor rate and parts markup, typically covering 90+ days of service history.
What's the average uplift for Arkansas dealers?
Arkansas dealers typically see 12-18% increases, translating to $60,000-$89,000 per year for a mid-size dealership.
Estimate Your Annual Uplift
See what your dealership could be earning in additional warranty reimbursement.
Estimated Annual Uplift
Arkansas is a standard-tier state for warranty reimbursement. Learn more →
Nearby & Similar States
Frequently Asked Questions
Stop Leaving Money on the Table
Join the dealerships reclaiming what state law says they're owed. Zero risk. Zero upfront cost.