Motor Fuel Law and Legal Definition

Motor fuel is regulated under state and federal laws. Motor fuel legislation governs standards for content, emissions, transportation, and fair business practices in the sale and distribution of motor fuel. Motor fuel is also subject to taxation legislation.

Some state enact laws dealing with motor fuel to encourage fair and honest competition, and to safeguard the public against creation of monopolies or unfair methods of competition, in transactions involving the sale of, or offer to sell, or inducement to sell motor fuel in the wholesale and retail trades within the state. Such laws may aim to prevent unfair trade practices by prohibiting the advertising, offering for sale, or sale of motor fuel below cost or at a cost lower than charged other persons on the same marketing level with the intent of injuring competitors or destroying or substantially lessening competition.