A manufacturer or distributor may terminate an agreement with a motorboat dealer upon written notice and without a cure period described in Section 13-58-302, if:

(1) the motorboat dealer:

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Terms Used In Utah Code 13-58-402

  • Agreement: means an agreement between:
         (1)(a) a motorboat dealer; and
         (1)(b)
              (1)(b)(i) a manufacturer; or
              (1)(b)(ii) a distributor. See Utah Code 13-58-102
  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • 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.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Distributor: means a person who:
         (2)(a) has an agreement with a manufacturer of motorboats to distribute motorboats within this state; and
         (2)(b) in whole or in part sells or distributes motorboats to motorboat dealers. See Utah Code 13-58-102
  • Fraud: Intentional deception resulting in injury to another.
  • Manufacturer: means a person engaged in the business of constructing, manufacturing, assembling, producing, or importing new motorboats for the purpose of sale or trade. See Utah Code 13-58-102
  • Motorboat: means the same as that term is defined in Section 73-18-2. See Utah Code 13-58-102
  • Motorboat dealer: means a person who:
         (5)(a) is engaged in the business of buying, selling, offering for sale, or exchanging new motorboats either outright or on conditional sale, bailment, lease, chattel mortgage, or otherwise; and
         (5)(b) has established in this state a place of business for the sale, lease, trade, or display of new motorboats. See Utah Code 13-58-102
  • Nolo contendere: No contest-has the same effect as a plea of guilty, as far as the criminal sentence is concerned, but may not be considered as an admission of guilt for any other purpose.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Plea: In a criminal case, the defendant's statement pleading "guilty" or "not guilty" in answer to the charges, a declaration made in open court.
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
     (1)(a) financially defaults to the manufacturer, the distributor, or a financing source;
     (1)(b) becomes subject to an order for relief, as defined in 11 U.S.C. § 102;
     (1)(c) files a voluntary petition in bankruptcy;
     (1)(d) has had an involuntary petition in bankruptcy filed against the motorboat dealer;
     (1)(e) engages in an act of material fraud in relation to the performance of a right or obligation under the agreement;
     (1)(f) is a corporation that ceases to exist;
     (1)(g) becomes insolvent;
     (1)(h) takes or fails to take an action that constitutes an admission of inability to pay debts as the debts mature;
     (1)(i) makes a general assignment for the benefit of creditors to an agent authorized to liquidate any substantial amount of assets;
     (1)(j) applies to a court for the appointment of a receiver for any assets or properties;
     (1)(k) fails to substantially comply with a federal, state, or local law, rule, regulation, ordinance, or order applicable to the agreement;
     (1)(l) receives three valid notices of a default under Section 13-58-302 for the same default within a 12-month period, regardless of whether the dealer cures the default;
     (1)(m) transfers an interest in the dealership without the manufacturer’s written consent;
     (1)(n) has pleaded guilty to or has been convicted of a felony, or of any misdemeanor relating to the relationship between the motorboat dealer and manufacturer;
     (1)(o) or one of the owners of the motorboat dealer is convicted or enters a plea of nolo contendere to a felony; or
     (1)(p) makes a material misrepresentation;
(2) there is a closeout or sale of a substantial part of the dealer’s assets related to the motorboat dealership;
(3) there is a commencement or dissolution or liquidation of the motorboat dealership;
(4) there is a change without the prior written approval of the manufacturer in the location of the motorboat dealer’s principal place of business under the dealership agreement; or
(5) the motorboat dealer’s license is suspended, revoked, or is not renewed.