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USA Statutes : maine
Title : Title 10. COMMERCE AND TRADE
Chapter : Chapter 208-B. FARM MACHINERY DEALERSHIPS (HEADING. PL 1995, c. 462, Pt. A, @22 (new))
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Title 10 - §1285. Definitions
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1285. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
1. Current net price. "Current net price" means the price listed in the supplier's price list or catalog in effect at the time the dealer agreement
is terminated, less any applicable discounts allowed.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Dealer. "Dealer" means a person, corporation or partnership primarily engaged in the business of retail sales of farm and utility
tractors, farm implements, farm machinery, yard and garden equipment, attachments, accessories and repair parts. "Dealer"
does not include a person, corporation or partnership primarily engaged in the business of retail sales of heavy construction,
industrial and utility equipment, attachments, accessories and repair parts.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
3. Dealer agreement. "Dealer agreement" means a written or oral contract or agreement between a dealer and a wholesaler, manufacturer or distributor
by which the dealer is granted the right to sell or distribute goods or services or to use a trade name, trademark, service
mark, logotype or advertising or other commercial symbol.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
4. Inventory. "Inventory" means farm, utility or industrial equipment, implements, machinery, yard and garden equipment, attachments or
repair parts. These terms do not include heavy construction equipment.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
5. Net cost. "Net cost" means the price the dealer paid the supplier for the inventory, less all applicable discounts allowed, plus the
amount the dealer paid for freight costs from the supplier's location to the dealer's location, plus reasonable cost of assembly
or disassembly performed by the dealer.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
6. Supplier. "Supplier" means a wholesaler, manufacturer or distributor of inventory as defined in this chapter who enters into a dealer
agreement with a dealer.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
7. Termination. "Termination" of a dealer agreement means the cancellation, nonrenewal or noncontinuance of the agreement.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1286. Usage of trade
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1286. Usage of trade
The terms "utility" and "industrial," when used to refer to equipment, machinery, attachments, yard and garden equipment or
repair parts, have the meanings commonly used and understood among dealers and suppliers of farm equipment as usage of trade
in accordance with Title 11, section 1-205, subsection 2.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1287. Notice of termination of dealer agreements
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1287. Notice of termination of dealer agreements
1. Notice of termination. Notwithstanding any agreement to the contrary, prior to the termination of a dealer agreement, a supplier shall notify the
dealer of the termination not less than 90 days prior to the effective date of the termination. The supplier may immediately
terminate the agreement at any time upon the occurrence of any of the following events:
A. The filing of a petition for bankruptcy or for receivership either by or against the dealer;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
B. The making by the dealer of an intentional and material misrepresentation as to the dealer's financial status;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
C. Any default by the dealer under a chattel mortgage or other security agreement between the dealer and the supplier;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
D. Discontinuance by the dealer of more than 50% of the dealer's business related to the handling of goods provided by the
supplier;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
E. The commencement of voluntary or involuntary dissolution or liquidation of the dealer if the dealer is a partnership or
corporation;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
F. A change in location of the dealer's principal place of business as provided in the agreement without the prior written
approval of the supplier;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
G. Withdrawal of an individual proprietor, partner, major shareholder or the involuntary termination of the manager of the
dealership or a substantial reduction in the interest of a partner or major shareholder without the prior written consent
of the supplier; or
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
H. Breach by the dealer of a written obligation contained in the agreement.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Time of notice. Unless there is an agreement to the contrary, a dealer who intends to terminate a dealer agreement with a supplier shall
notify the supplier of that intent not less than 90 days prior to the effective date of the termination.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
3. Notice in writing. Notification required by this section must be in writing and be made by certified mail or by personal delivery and must
contain:
A. A statement of intention to terminate the dealer agreement;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
B. A statement of the reasons for the termination; and
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
C. The date on which the termination is effective.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1288. Supplier's duty to repurchase
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1288. Supplier's duty to repurchase
1. Repurchase. Whenever a dealer enters into a dealer agreement under which the dealer agrees to maintain an inventory, and the agreement
is terminated by either party as provided in this chapter, the supplier, upon written request of the dealer filed within 30
days of the effective date of the termination, shall repurchase the dealer's inventory as provided in this chapter. There
is no requirement for the supplier to repurchase inventory pursuant to this section if:
A. The supplier and dealer have made a written agreement with respect to repurchase;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
B. The dealer has made an intentional and material misrepresentation as to the dealer's financial status;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
C. The dealer has defaulted under a chattel mortgage or other security agreement between the dealer and supplier; or
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
D. The dealer has filed a voluntary petition in bankruptcy.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Death of dealer. Whenever a dealer enters into a dealer agreement in which the dealer agrees to maintain an inventory and the dealer or the
majority stockholder of the dealer, if the dealer is a corporation, dies or becomes incompetent, the supplier shall, at the
option of the heir, personal representative, or guardian of the dealer, or the person who succeeds to the stock of the majority
stockholder, repurchase the inventory as if the agreement had been terminated. The heir, personal representative, guardian
or succeeding stockholder has one year from the date of the death of the dealer or majority stockholder to exercise the option
under this chapter.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1289. Repurchase terms
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1289. Repurchase terms
1. Examination of records. Within 90 days from receipt of the written request of the dealer, a supplier under the duty to repurchase inventory pursuant
to section 1288 may examine any books or records of the dealer to verify the eligibility of any item for repurchase. Except
as otherwise provided in this chapter, the supplier shall repurchase from the dealer all inventory previously purchased from
the supplier in the possession of the dealer on the date of termination of the dealer agreement.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Payment terms. The supplier shall pay the dealer:
A. One hundred percent of the net cost of all new and undamaged and complete farm, utility and industrial equipment, implements,
machinery, yard and garden equipment and attachments, less a reasonable allowance for deterioration attributable to weather
conditions at the dealer's location;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
B. Ninety percent of the current net prices of all new and undamaged repair parts; and
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
C. Eighty-five percent of the current net prices of all new and undamaged superseded repair parts.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
3. Return costs. The party that initiates the termination of the dealer agreement shall pay the cost of the return, handling, packing and
loading of the inventory.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
4. Payment date. Payment to the dealer required under this section must be made by the supplier not later than 60 days after receipt of the
inventory by the supplier. The supplier is entitled to apply any payment required under this section to be made to the dealer,
as a setoff against any amount owed by the dealer to the supplier.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1290. Exceptions to repurchase requirement
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1290. Exceptions to repurchase requirement
1. Exceptions. The provisions of this chapter do not require the repurchase from a dealer of:
A. A repair part with a limited storage life or otherwise subject to physical or structural deterioration including, but not
limited to, gaskets or batteries, but excluding industrial "press on" or industrial pneumatic tires;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
B. A single repair part normally priced and sold in a set of 2 or more items;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
C. A repair part that, because of its condition, can not be marketed as a new part without repackaging or reconditioning by
the supplier or manufacturer;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
D. An item of inventory for which the dealer does not have title free of all claims, liens and encumbrances other than those
of the supplier;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
E. Any inventory that the dealer elects to retain;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
F. Any inventory ordered by the dealer after receipt of notice of termination of the dealer agreement by either the dealer
or supplier;
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
G. Any inventory that was acquired by the dealer from a source other than the supplier; or
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
H. Any farm, utility or industrial equipment, implements, machinery, yard and garden equipment or attachments that were purchased
by the dealer more than 30 months prior to the termination of the dealer agreement.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1291. Transfer of business
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1291. Transfer of business
1. Transfer. A supplier may not unreasonably withhold or delay consent to any transfer of the dealer's business or transfer of the stock
or other interest in the dealership, whenever the dealer to be substituted meets the material and reasonable qualifications
and standards required of its dealers. If a supplier determines that a proposed transferee does not meet its qualifications
and standards, it shall give the dealer written notice thereof, stating the specific reasons for withholding consent. A prospective
transferee may not be disqualified from being a dealer because it is a publicly held corporation. A supplier has 45 days
to consider a dealer's request to make a transfer under this subsection.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Withhold consent. Notwithstanding subsection 1, no supplier may withhold consent to, or in any manner retain a right of prior approval of,
the transfer of the dealer's business to a member or members of the family of the dealer or the principal owner of the dealer.
As used in this subsection, "family" means and includes the spouse, parent, siblings, children, stepchildren and lineal descendants,
including those by adoption of the dealer or principal owner of the dealer.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
3. Assume obligations. Whenever a transfer of a dealer's business occurs, the transferee shall assume all the obligations imposed on and succeed
to all the rights held by the selling dealer by virtue of any agreement, consistent with this chapter, entered into prior
to the transfer between the selling dealer and one or more suppliers.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
4. Burden of proof. In any dispute as to whether a supplier has denied consent in violation of this section, the supplier has the burden of
proving a substantial and reasonable justification for the denial of consent.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1292. Uniform commercial practice
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1292. Uniform commercial practice
1. Security interest. Nothing contained in this chapter may be construed to release or terminate a perfected security interest of the supplier
in the inventory of the dealer.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1293. Warranty obligations
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1293. Warranty obligations
1. Payment of warranty claim. Whenever a supplier and a dealer enter into an agreement providing consumer warranties, the supplier shall pay any warranty
claim made by the dealer for warranty parts or service within 30 days after its receipt and approval. The supplier shall
approve or disapprove a warranty claim within 30 days after its receipt. If a claim is not specifically disapproved in writing
within 30 days after its receipt, it is deemed to be approved and payment must be made by the supplier within 30 days.
A. A dealer that performs warranty work as provided for in this section must be compensated for the dealer's labor in an amount
that is not less than the reasonable and customary amount of time required to complete such work, expressed in hours and fractions
of hours, multiplied by the dealer's established hourly labor rate. Prior to filing a claim for warranty work, the dealer
shall notify the supplier of the dealer's hourly retail labor rate.
[2005, c. 317, §1 (new).]
B. A dealer that performs warranty work as provided for in this section must be compensated for parts used in fulfilling such
warranty work in an amount that is not less than the dealer's costs for such parts plus 15%, including all freight and handling
charges applicable to such parts, to reimburse the dealer's reasonable costs of doing business and providing such warranty
service on behalf of the supplier. If the warranty work is provided on behalf of the supplier on a product sold by a nonservicing
dealer, the compensation for parts used in fulfilling such warranty work must be at an amount that is not less than the supplier's
suggested list price or dealer's cost plus 30%, whichever is greater, plus freight and handling charges applicable to such
parts.
[2005, c. 317, §1 (new).]
[2005, c. 317, §1 (amd).]
2. Indemnity. Whenever a supplier and a dealer enter into a dealer agreement, the supplier shall indemnify and hold harmless the dealer
against any judgment for damages arising from breach of warranty or rescission of the sale by the supplier.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1294. Remedies
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1294. Remedies
1. Jurisdiction. Concurrent jurisdiction under this chapter is in the District Court or Superior Court of the city or county where the dealer
has its principal place of business. The court may grant equitable relief as is necessary to remedy the effects of conduct
that it finds to exist and is prohibited under this chapter, including, but not limited to, declaratory judgment and injunctive
relief.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Recovery. In addition to any other remedies available at law or in equity, if a supplier has attempted or accomplished an annulment,
cancellation or termination, or refused to continue or renew an agreement without good cause or withheld or delayed consent
in violation of section 1287 or 1291, then the dealer is entitled to recover losses and damages, together with the cost of
the action and reasonable legal fees. These damages include compensation for the value of the agreement and the good will
of the dealer's business.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
3. Arbitration. Nothing contained in this section may bar the right of an agreement to provide for binding arbitration of disputes. Any
arbitration must be consistent with the provisions of this chapter and Title 14, chapter 706, and the place of any arbitration
must be in the city or county in which the dealer maintains the dealer's principal place of business in the State.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
4. Renewal of agreement. No supplier may cancel, terminate or refuse to continue to renew an agreement during the 90-day period set forth in section
1287 or during the pendency of litigation or arbitration, except under the conditions set forth in section 1287, subsection
1.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1295. Management
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1295. Management
A supplier may not require or prohibit any change in management or personnel of any dealer unless the current or potential
management or personnel fails to meet reasonable qualifications and standards required by the supplier for its dealers.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1297. Applicability
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1297. Applicability
This chapter applies to agreements in effect as of October 1, 1989. In addition, this chapter applies to any agreements entered
into after October 1, 1989. The provisions of this chapter are also applicable to any renewal or amendment of the agreements.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007Title 10 - §1298. Reasonableness and good faith
Title 10: COMMERCE AND TRADE
Part 3: REGULATION OF TRADE
Chapter 208-B: FARM MACHINERY DEALERSHIPS (HEADING: PL 1995, c. 462, Pt. A, @22 (new))
§1298. Reasonableness and good faith
1. Good faith. Every agreement entered into under this chapter imposes on the parties the obligation to act in good faith.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
2. Reasonableness. This chapter imposes on every term and provision of any agreement a requirement of reasonableness. Every term or provision
of any agreement must be interpreted so that the requirements or obligations imposed are reasonable.
[1995, c. 462, Pt. A, §22 (new); §23 (aff).]
The Revisor's Office cannot provide legal advice or
interpretation of Maine law to the public. If you need legal
advice, please consult
a qualified attorney.
Office of the Revisor of Statutes
7 State House Station
State House Room 108
Augusta, Maine 04333-0007
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