SUPERIOR COURT OF NEW JERSEY
APPELLATE DIVISION
A-2114-95T5
THE NEW A.C. CHEVROLET, INC.,
Appellant,
v.
CHEVROLET DIVISION OF GENERAL
MOTORS CORPORATION AND DIFEO
CHEVROLET-GEO,
Respondents.
_______________________________________________________________
Argued December 10, 1996 - Decided February 7, 1997
Before Judges Dreier, D'Annunzio and Costello
On appeal from the Motor Vehicle
Franchise Committee
Martin G. Margolis argued the cause for
appellant (The Margolis Law Group, P.C.,
attorneys; Mr. Margolis and Thomas G.
Russomano, on the brief).
Michael S. Waters argued the cause for
respondent Chevrolet Division of General
Motors Corporation (Carpenter, Bennett &
Morrissey, attorneys; Mr. Waters and Lois H.
Goodman, on the brief; James J. Williams,
of counsel).
Eric Chase argued the cause for respondent
DiFeo Chevrolet-Geo (Bressler, Amery & Ross,
attorneys; Mr. Chase and Gladys W. Orr,
on the brief).
Vicki A. Mangiaracina, Deputy Attorney General,
argued the cause for the Motor Vehicle Franchise
Committee (Deborah T. Poritz, Attorney General,
Attorney; Ms. Mangiaracina, on the Statement in
Lieu of Brief).
The opinion of the court was delivered by
D'ANNUNZIO, J.A.D.
The New A.C. Chevrolet, Inc. (AC) appeals from a final
decision of the Motor Vehicle Franchise Committee rendered under
"An Act regulating the . . . relocation of motor vehicle
franchises" (Act). N.J.S.A. 56:10-16 to 25. The Franchise
Committee adopted by inaction the initial decision of
Administrative Law Judge Simonelli. See N.J.S.A. 52:14B-10. ALJ
Simonelli had determined that respondent DiFeo Chevrolet-Geo
(DiFeo) had the right, under N.J.S.A. 56:10-20(a), to relocate
its franchise from the intersection of Route 440 and Clendenny
Avenue in Jersey City to a location approximately .3 mile south
on Route 440 in Jersey City. Accordingly, the ALJ recommended
dismissal of AC's protest. We affirm.
N.J.S.A. 56:10-18 (section 18), prohibits the relocation of
a franchise if it will be injurious. N.J.S.A. 56:10-23
establishes factors the Franchise Committee must consider in
determining whether a relocation will be injurious.
N.J.S.A. 56:10-19 (section 19) requires a franchisor to give
notice to its existing franchisees within the relevant market of
the franchisor's intent to relocate a franchise. Any franchisee
entitled to notice may file a protest with the Franchise
Committee.
N.J.S.A. 56:10-20, as originally enacted, provided:
The provisions of sections [18 and 19]
of this act notwithstanding, a motor vehicle
franchisor may:
a. Permit an existing franchisee to
relocate his franchise within 2 miles of the
franchisee's existing franchise location; or
b. Reopen or reactivate a franchise or
business which has not been in operation for
a period of 1 year or less at a site within 2
miles of the prior site.
This section did not limit the number of times a franchisee could
relocate as long as the relocation was "within 2 miles of the
franchisee's existing franchise location." Ibid.
The Legislature, however, amended N.J.S.A. 56:10-20 (section
20) effective January 18, 1992. It now provides:
The provisions of section 3 and 4 of
P.L. 1982, c. 156 (C. 56:10-18 and 56:10-19)
notwithstanding, a motor vehicle franchisor
may:
a. Permit an existing franchisee to
relocate his franchise within 2 miles of the
franchisee's existing franchise location,
except that a franchise may not be relocated
pursuant to this subsection unless at least
five years have elapsed since any previous
relocation pursuant to this subsection;
b. Reopen or reactivate a franchise or
business which has not been in operation for
a period of 2 years or less at a site within
2 miles of the prior site; or
c. Permit the purchaser of a
controlling interest in the shares or
substantially all of the operating assets of
an existing franchise to relocate the place
of business of the franchise within 2 miles
of the previously approved franchise location
within 180 days of the date of purchase.
[Emphasis added.]
At issue is the application of section 20 to DiFeo's relocation in November 1992 to Clendenny Avenue in connection
with its purchase of an existing dealership, and its proposed
1995 relocation to Route 440. In 1992, Difeo purchased the
assets of Bell Chevrolet, Inc., a franchise located on Kennedy
Boulevard in Jersey City. Simultaneously, General Motors granted
DiFeo a franchise to operate the Chevrolet dealership at Route
440 and Clendenny Avenue, a location within two miles of the
Kennedy Boulevard site. In May 1995, General Motors approved
DiFeo's request to relocate the Chevrolet dealership to Route
440, .3 mile from the Clendenny Avenue site.
AC contends that the proposed move to Route 440 qualifies as
the second move within five years under section 20 and,
therefore, is subject to protest under sections 18 and 19. DiFeo
and General Motors argue that the 1992 move was under subsection
20c, and that the Route 440 move is the first move under
subsection 20a.
In construing a statute we must effectuate the Legislature's
intent. Monmouth County v. Wissell,
68 N.J. 35, 43-44 (1975).
Sources of legislative intent are the language of a statute, the
policy behind a statute, concepts of reasonableness, and
legislative history. Coletti v. Union County Bd. of Chosen
Freeholders,
217 N.J. Super. 31, 35 (App. Div. 1987); Shapiro v.
Essex County Bd. of Chosen Freeholders,
177 N.J. Super. 87, 92
(Law Div. 1980), aff'd,
183 N.J. Super. 24 (App. Div. 1982),
aff'd,
91 N.J. 430 (1982).
"[W]e must first look at the evident wording of the statute
to ascertain its plain meaning and intent." Renz v. Penn Central
Corp.,
87 N.J. 437, 440 (1981). Our duty is to apply the
legislative intent as expressed in the statute's language, and we
are not to presume that the Legislature intended something other
than what it expressed by its plain language. In re Jamesburg
High Sch. Closing,
83 N.J. 540, 548 (1980); In re Howell Tp.,
Monmouth County,
254 N.J. Super. 411, 419 (App. Div.), certif.
denied,
127 N.J. 548 (1991).
AC attempts to squeeze both DiFeo moves under subsection
20a. However, DiFeo's move to Clendenny Avenue was occasioned by
its purchase of Bell's assets, and the move was permitted under
subsection 20c. Subsection 20a permits a relocation unconnected
with the purchase of an existing franchise. Subsection 20a twice
uses the phrase "pursuant to this subsection." It prohibits a
free relocation "pursuant to this subsection," within five years
of "any previous relocation pursuant to this subsection."
DiFeo's relocation to Clendenny Avenue in 1992 was pursuant to
subsection "c" and not subsection "a," and the statute's express
language renders the five year restriction inapplicable.
AC argues that the legislative intent was to limit a
franchisee to one move in five years regardless of the reason for
the move. AC relies on the statement of a legislative committee
when it reported the bill. It states:
The Senate Labor, Industry and Professions
Committee reports favorably Senate No. 3487.
This bill amends the current exemptions from the law which established the Motor Vehicle Franchise Committee to regulate the
granting and relocation of motor vehicle
franchises by franchisors. The current
exemption provides that a motor vehicle
franchisor may permit an existing franchisee
to relocate his franchise within two miles of
its existing location without notifying other
franchisees of the same line make in the
relevant market area and providing them with
an opportunity for a hearing on the
relocation. This bill limits such
relocations to no more than one relocation
every five years. The bill also adds a new
exemption that provides that a motor vehicles
franchisor may permit the purchaser of a
controlling interest in an existing franchise
to relocate his franchise within two miles of
its existing location within 180 days of the
purchase date.
[Emphasis added.]
The statement does not compel the adoption of AC's position. In
referring to a purchase relocation as a "new exemption" it tends
to support the ALJ's construction of section 20. In any event,
it does not specifically address the issue; whether a subsection
"c" relocation precludes a free move under subsection "a" within
five years. As previously indicated, however, the language in
subsection a addresses the issue without ambiguity, because the
five year limitation in subsection "a" does not apply to a
subsection "c" move.
We are cognizant of the principle that "statutes are to be
read sensibly rather than literally and the controlling
legislative intent is to be presumed as `consonant to reason and
good discretion.'" Schierstead v. Brigantine,
29 N.J. 220, 230
(1959) (citations omitted). And "where a literal reading of the
statute leads to absurd consequences, `the court must restrain
the words' and seek the true legislative intent." Id. at 231
(citing In re Merrill
88 N.J. Eq. 261 (Prerog. Ct. 1917)).
Moreover, in construing a statute, we assume that the Legislature
intended a reasonable approach, and the statute should be
construed to effect a reasonable approach. Roman v. Sharper,
53 N.J. 338, 341 (1969).
Those principles do not require that we sidestep the Act's
language. We cannot conclude that application of the Act's
language "violates standards of reasonableness or common sense,
or leads to an absurd or anomalous result." Essex Crane Rental
Corp. v. Dir., Div. on Civil Rights,
294 N.J. Super. 101, 107
(App. Div. 1996).
Affirmed.