32A-11a-109 (Repealed 07/01/11) - Sale or transfer of supplier's business. - Utah Statutes

32A-11a-109 (Repealed 07/01/11). Sale or transfer of supplier's business.
(1) (a) A successor to a supplier that after July 1, 1998, acquires a supplier's products orbrands in this state shall be bound by all of the terms and conditions of each distributorshipagreement with a wholesaler in this state that was in effect on the date on which the successorreceived the assets or rights of the previous supplier.
(b) Notwithstanding Subsection (1)(a), a successor may contractually require itswholesalers to:
(i) execute a new distributorship agreement; and
(ii) comply with the successor's operational standards of performance if:
(A) the operational standards of performance are consistent with this chapter;
(B) the operational standards of performance are uniformly imposed by the successor onsimilarly situated wholesalers; and
(C) the successor provides the wholesaler at least one year to:
(I) execute a new distributorship agreement; and
(II) comply with the operational standards of performance.
(2) (a) For purposes of this section, "successor" means a supplier who obtains thedistribution rights of a brand that a wholesaler distributes in this state pursuant to adistributorship agreement with another supplier who previously had the distribution rights of thebrand.
(b) For purposes of Subsection (2)(a), the successor may obtain the distribution right:
(i) by any means, including:
(A) merger;
(B) purchase of corporate shares; or
(C) purchase of assets; and
(ii) from:
(A) a supplier; or
(B) a person acting in an official capacity who is not a supplier including a nominee,representative, or fiduciary.

Repealed by Chapter 276, 2010 General Session
Enacted by Chapter 328, 1998 General Session