Iowa Code 323.7 – Department’s guidelines
Current as of: 2024 | Check for updates
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In determining whether good cause has been established for terminating or not renewing a distributor franchise or dealer franchise, the department shall take into consideration the existing circumstances, including, but not limited to:
1. Amount of business transacted by the distributor or dealer.
Terms Used In Iowa Code 323.7
- Dealer: means a person, other than an employee of a distributor or franchiser, who operates, maintains or conducts a place of business from which motor fuel or special fuel is sold or offered for sale at retail to the ultimate consumer, and who holds a license, issued as provided in chapter 214, for each pump and meter operated upon the retail premises. See Iowa Code 323.1
- Dealer franchise: means an agreement or contract, either written or oral, between a franchiser and a dealer or between a distributor and a dealer when all of the following conditions are included:a. See Iowa Code 323.1
- Department: means the state department of transportation. See Iowa Code 321H.2
- Department: means the department of inspections, appeals, and licensing. See Iowa Code 323.1
- Distributor: means a person, resident or nonresident, who sells or distributes all-terrain vehicles to all-terrain vehicle dealers in this state or who maintains distributor representatives. See Iowa Code 321I.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- 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
2. Investments made and obligations incurred by the distributor or dealer in performance of the franchise.3. Permanency of the investment.4. Whether it is injurious to the public welfare for the business of the distributor or dealer to be disrupted.5. Ability of the distributor or dealer to timely pay financial obligations.6. Whether the distributor or dealer has adequate equipment and qualified personnel to reasonably provide for the distribution and marketing of the motor fuel or special fuel sold to the distributor or dealer.7. Except as provided in section 323.6, failure of the distributor to substantially comply with those requirements of the distributor franchise that are determined by the department to be reasonable and material.8. Failure of the dealer to substantially comply with those requirements of the dealer franchise that are determined by the department to be reasonable and material.