Notwithstanding the terms, provisions, or conditions of any agreement or franchise, subject to subdivision (2) of section 60-1429, in the event of the sale or a contract for sale or transfer of ownership of the franchisee‘s dealership by sale or transfer of the business or by stock transfer or in the event of change in the executive management of the franchisee’s dealership, the franchisor shall give effect to such a change in the franchise unless (1) the transfer of the franchisee’s license under the Motor Vehicle Industry Regulation Act is denied or the new owner is unable to obtain a license under the act, as the case may be, or (2) the proposed sale or transfer of the business or change of executive management will be substantially detrimental to the distribution of the franchisor’s motor vehicles, combination motor vehicles and trailers, motorcycles, or trailer products or to competition in the community if the franchisor has given written notice of such fact to the franchisee within sixty days of receipt by the franchisor of information reasonably necessary to evaluate the proposed change.

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Terms Used In Nebraska Statutes 60-1430

  • Community: means a franchisee's area of responsibility as stipulated in the franchise or, if the franchise fails to designate a community, (1) the community of the franchisee is the area surrounding the location of the franchisee in a five-mile radius from the dealership if the location is within a city of the metropolitan class and (2) the community of the franchisee is the county in which the franchisee is located if the location is not within a city of the metropolitan class. See Nebraska Statutes 60-1401.09
  • Contract: A legal written agreement that becomes binding when signed.
  • Franchise: means a contract between two or more persons when all of the following conditions are included:

    (1) A commercial relationship of definite duration or continuing indefinite duration is involved. See Nebraska Statutes 60-1401.19

  • Franchisee: means a new motor vehicle dealer who receives motor vehicles from the franchisor under a franchise and who offers and sells such motor vehicles to the general public. See Nebraska Statutes 60-1401.20
  • Franchisor: means a person who manufactures or distributes motor vehicles and who may enter into a franchise. See Nebraska Statutes 60-1401.21
  • Motor vehicle: means any vehicle for which evidence of title is required as a condition precedent to registration under the laws of this state but does not include trailers. See Nebraska Statutes 60-1401.25
  • Trailer: means semitrailers and trailers as defined in sections Nebraska Statutes 60-1401.36
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