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§ 5-107. Notice of intent to terminate or refuse to renew beer franchise agreement

West's Annotated Code of MarylandAlcoholic Beverages and CannabisEffective: January 1, 2020

West's Annotated Code of Maryland
Alcoholic Beverages and Cannabis (Refs & Annos)
Division I. General Provisions Affecting Multiple Jurisdictions [Titles 1-8] (Refs & Annos)
Title 5. General Beer Regulation (Refs & Annos)
Subtitle 1. Beer Franchise Fair Dealing Act (Refs & Annos)
Effective: January 1, 2020
MD Code, Alcoholic Beverages, § 5-107
Formerly cited as MD Code, Art. 2B, § 17-104
§ 5-107. Notice of intent to terminate or refuse to renew beer franchise agreement
Currentness
Scope of section
(a) This section does not apply to a temporary delivery agreement under § 2-209(c) of this article for a beer festival or a wine and beer festival.
Notice required
(b)(1) Except as provided in subsection (d) of this section, if a franchisor intends to terminate or refuses to renew a beer franchise agreement, the franchisor shall notify the franchisee in writing of its intent:
(i) at least 45 days before the termination or refusal to renew takes effect, for a franchisor that annually produces 20,000 or fewer barrels of beer in aggregate, in conjunction with any affiliate; and
(ii) at least 180 days before the termination or refusal to renew takes effect, for all other franchisors.
(2) The notices required by this section shall state all the reasons for the intended termination or nonrenewal.
Rectifying deficiency
(c)(1) If a deficiency is claimed in the notice provided under subsection (b)(1)(ii) of this section, the franchisee has 180 days to rectify the deficiency.
(2) If the franchisee rectifies the deficiency within 180 days after the notice provided under subsection (b)(1)(ii) of this section is received, the intended termination or nonrenewal of the beer franchise agreement is void.
Exception
(d) The notice requirement of subsection (b) of this section does not apply if the reason for the intended termination or nonrenewal is insolvency, the occurrence of an assignment for the benefit of creditors, or bankruptcy.

Credits

Added by Acts 2016, c. 41, § 2, eff. July 1, 2016. Amended by Acts 2019, c. 379, § 1, eff. Jan. 1, 2020.
MD Code, Alcoholic Beverages, § 5-107, MD AL BEV § 5-107
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document