Vermont Statutes Title 7 Sec. 707
Terms Used In Vermont Statutes Title 7 Sec. 707
- Certificate of approval: means an authorization by the Board of Liquor and Lottery pursuant to section 274 of this title to a manufacturer or distributor of malt beverages, vinous beverages, or ready-to-drink spirits beverages not licensed under the provisions of this title, to sell those beverages to holders of a packager's or wholesale dealer's license issued by the Board pursuant to section 272 or 273 of this title. See
- State: when applied to the different parts of the United States may apply to the District of Columbia and any territory and the Commonwealth of Puerto Rico. See
- Wholesale dealer: means a packager licensed pursuant to section 272 of this title or a wholesale dealer licensed pursuant to section 273 of this title. See
§ 707. Sale or transfer; purchase by manufacturer
(a) A wholesale dealer wishing to sell or otherwise transfer its interests in a franchise shall give at least 90 days’ written notice to the certificate of approval holder or manufacturer, prior to the sale or transfer. The notice of intended sale or transfer shall give the full name and address of the proposed transferee, along with full details outlining the qualifications of the proposed transferee that, in the opinion of the wholesale dealer, make the proposed transferee competent to operate the franchise.
(b) In the event the certificate of approval holder or manufacturer wishes to resist the proposed sale or transfer to the proposed transferee, the certificate of approval holder or manufacturer shall petition the Superior Court for a hearing not later than 60 days prior to the date of the proposed sale or transfer. The petition shall clearly state the certificate of approval holder’s or manufacturer’s reasons for resisting the proposed sale or transfer.
(c) Upon receipt of a petition brought resisting a sale or transfer, the Superior Court shall hold a hearing on the proposed transfer or sale. The court shall make a full inquiry into the qualifications of the proposed transferee and shall determine whether or not the proposed transferee is in a position to substantially continue the operations of the franchise, to assume the obligations of the franchise holder, and to conduct the business in a manner that will protect the legitimate interests of the certificate of approval holder or manufacturer.
(d) If the Superior Court finds the proposed transferee to be qualified to operate the franchise, it shall approve the transfer of the franchise to the proposed transferee.
(e) The provisions of subsections (b) through (d) of this section shall not apply to the sale or transfer of a franchise to the spouse, child, grandchild, sibling, parent, foster child, child-in-law, sibling-in-law, niece, or nephew of the owner of the wholesale dealer. (Added 1975, No. 199 (Adj. Sess.); amended 1983, No. 197 (Adj. Sess.), § 6; 2017, No. 83, § 127; 2017, No. 145 (Adj. Sess.), § 4, eff. Jan. 1, 2019; 2021, No. 105 (Adj. Sess.), § 152, eff. July 1, 2022.)