Section 45.45.710. Disposition of merchandise remaining upon contract termination.

   (a) If a dealer maintains a stock of merchandise supplied for the dealer's resale under a distributorship agreement and if the distributor or the dealer terminates the distributorship agreement, the distributor shall, unless the dealer chooses to keep the merchandise, pay the dealer for the merchandise that was purchased from the distributor and that is held by the dealer on the date of the termination an amount equal to
        (1) the fair market value for merchandise that is unused and for which the retailer has paid the distributor, plus 100 percent of the transportation charges paid by the dealer to return the merchandise to the distributor; in this paragraph,
             (A) "fair market value" means the amount the distributor would realize from the sale of the merchandise to another retailer using reasonable good faith efforts;
             (B) "unused" means unopened merchandise that is still in the original factory packaging or container;
        (2) 85 percent of the current net price, as listed in the current price list or catalog of the distributor, for repair parts, including superseded parts; and
        (3) five percent of the current net price of repair parts to cover the handling, packing, and transportation of the repair parts back to the distributor.
   (b) Upon payment of the amounts required by (a) of this section, the title to the merchandise passes to the distributor making the payment, and the distributor is entitled to the possession of the merchandise for which the payment was made.
   (c) In (a) of this section, if a repair part is not listed in a current price list or catalog of the distributor, the current net price is the higher of the fair market value or the latest price published by the distributor for the repair part if a dealer has actual proof of the purchase of the repair part from the distributor and if the repair part was purchased within 10 years before the termination.

Authorities

45.45.720;45.45.730;45.45.740;45.45.760

Notes

References

AS 45.45.720 Time for payment.
AS 45.45.730 Death or disability of dealer or holder of majority interest in dealer.
AS 45.45.740 Required purchase, reimbursement, and supplies.
AS 45.45.760 Civil action.

History

(Sec. 1 ch 15 SLA 2002)