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§ 19-103. Termination, cancellation, nonrenewal, or substantial change in contract

West's Annotated Code of MarylandCommercial Law

West's Annotated Code of Maryland
Commercial Law
Title 19. Equipment Dealer Contract Act (Refs & Annos)
Subtitle 1. Definitions; General Provisions (Refs & Annos)
MD Code, Commercial Law, § 19-103
§ 19-103. Termination, cancellation, nonrenewal, or substantial change in contract
(a) A supplier may not directly or through an officer, agent, or employee terminate, cancel, fail to renew, or substantially change the competitive circumstances of a contract without good cause.
(b)(1) Except as provided in paragraph (2) of this subsection, a supplier who terminates, cancels, fails to renew, or substantially changes the competitive circumstances of a contract with good cause is not required to provide any notice or the right to cure a deficiency to a dealer.
(2) If a supplier terminates, cancels, fails to renew, or substantially changes the competitive circumstances of a contract based upon the dealer's failure to capture the share of the market required in the contract and the supplier has worked with the dealer for a minimum of 12 months to gain the desired market share, the supplier shall provide a dealer with at least 90 days' written notice of the termination of the agreement and a 60 day right to cure.
(c) Notwithstanding any agreement to the contrary, a dealer who terminates a contract with a supplier shall notify the supplier of the termination within 90 days prior to the effective date of the termination.
(d) Each notification required under this section shall:
(1) Be in writing;
(2) Contain:
(i) A statement of intention to terminate the contract;
(ii) A statement of the reasons for the termination; and
(iii) The date on which the termination takes effect; and
(3) Be delivered to the supplier or dealer by:
(i) Certified mail; or
(ii) Personal delivery.

Credits

Added by Acts 2005, c. 433, § 2, eff. July 1, 2005.
MD Code, Commercial Law, § 19-103, MD COML § 19-103
Current with all legislation from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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