Iowa Code 323.2 – Discontinuing distributor franchise
Current as of: 2023 | Check for updates
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Terms Used In Iowa Code 323.2
- Bankruptcy: Refers to statutes and judicial proceedings involving persons or businesses that cannot pay their debts and seek the assistance of the court in getting a fresh start. Under the protection of the bankruptcy court, debtors may discharge their debts, perhaps by paying a portion of each debt. Bankruptcy judges preside over these proceedings.
- Days: means calendar days. See Iowa Code 322G.2
- Department: means the department of inspections and appeals. See Iowa Code 323.1
- Distributor: means distributor as defined in section 452A. See Iowa Code 323.1
- Distributor franchise: means a written agreement or contract, either written or oral, between a franchiser and a distributor when all of the following conditions are included:a. See Iowa Code 323.1
- Franchiser: means a person who is engaged in the importation, refining or distribution of motor fuel or special fuel and who has entered into a distributor franchise or a dealer franchise. See Iowa Code 323.1
- Motor fuel: means motor fuel as defined in chapter 452A. See Iowa Code 323.1
- Special fuel: means special fuel as defined in chapter 452A. See Iowa Code 323.1
- state: when applied to the different parts of the United States, includes the District of Columbia and the territories, and the words "United States" may include the said district and territories. See Iowa Code 4.1
Notwithstanding the terms, provisions or conditions of any distributor franchise, a franchiser shall not terminate or refuse to renew a distributor franchise except as provided in this chapter. A franchiser shall not terminate or refuse to renew a distributor franchise unless the franchiser gives to the distributor thirty days‘ written notice of franchiser’s intent to terminate or not renew. Notice shall be given by restricted certified mail, as defined in section 618.15. If a distributor, within thirty days after the date of delivery of the notice from the franchiser, applies to the department for a hearing under this chapter, the distributor franchise shall remain in effect pending a final order by the department. The application filed by the distributor shall state, under oath, that the distributor has not filed a petition in bankruptcy or been declared bankrupt within six months preceding the filing of the application, that the franchiser has not withdrawn entirely from the sale for resale of motor fuel and special fuel in this state, that there are no past due sums owing by the distributor to the franchiser, and that the distributor has not consented in writing to the termination or nonrenewal of the distributor franchise.