Title 10, Chapter 1, Section 732
( 10-1-732)
(a) Notwithstanding the terms, provisions, or conditions of any
agreement, no supplier shall unilaterally amend, cancel, terminate,
or refuse to continue to renew any agreement, or unilaterally cause
a dealer to resign from an agreement, unless the supplier has first
complied with the provisions of this article and good cause exists
for amendment, termination, cancellation, nonrenewal,
noncontinuance, or causing a resignation. The term "good cause"
shall not include the sale or purchase of a supplier. The term
"good cause" shall be limited to withdrawal by the supplier, its
successors, and assigns of the sale of its products in Georgia or
multiline dealer performance deficiencies including, but not limited
to, the following: (1) Bankruptcy or receivership of the multiline dealer; (2) Assignment for the benefit of creditors or similar disposition
of the assets of the dealer, other than the creation of a security
interest in the assets of a multiline dealer for the purpose of
securing financing in the ordinary course of business; or (3)(A) Failure by the multiline dealer to comply substantially,
without reasonable cause or justification, with any reasonable
and material requirement imposed upon such dealer in writing by
the supplier, including, but not limited to, a substantial
failure by a multiline dealer to: (i) Maintain a sales volume or trend of his supplier's product
line or lines comparable to that of other similarly situated
dealers of that product line; or (ii) Render services comparable in quality, quantity, or
volume to the services rendered by other dealers of the same
product or product line similarly situated. (B) In any determination as to whether a multiline dealer has
failed to comply substantially, without reasonable excuse or
justification, with any reasonable and material requirement
imposed upon such dealer by the supplier, consideration shall be
given to the relative size, population, geographical location,
number of retail outlets, and demand for the products applicable
to the market area of the multiline dealer in question and to
comparable market area. (b) No supplier shall be required to give notice or show good cause
pursuant to subsection (a) of this Code section to amend
unilaterally agreements with multiline dealers to comply with
federal or state law or, where not inconsistent with this article,
to amend uniformly agreements as to all multiline dealers of the
supplier in question in all states in which the supplier is
marketing its products. (c) In any dispute as to whether a supplier has acted with good
cause as required by this Code section, the supplier shall have the
burden of proof to establish that good cause existed. |