§ 18B-1302. Franchise agreement.

220 words·~1 min read·/nc/chapter-18b/18b-1302

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)Nature of Agreement. - A franchise agreement is a commercial relationship between a wholesaler and supplier of a definite or indefinite duration, whether written or oral, including:

(1)A relationship whereby a wholesaler is granted the right to offer and sell the brands of malt beverages offered by the supplier; or

(2)An agreement whereby a supplier grants to a wholesaler a license to use a trade name, trademark, service mark or related characteristic and in which there is a community of interest in the marking of the products of the supplier by lease or otherwise.

(b)Existence of Agreement. - A franchise agreement as described in subsection

(a)exists when:

(1)The supplier has shipped malt beverages to a wholesaler or accepted an order for malt beverages from the wholesaler;

(2)A wholesaler has paid or the supplier has accepted payment for an order of malt beverages intended for sale within this State;

(3)The supplier and wholesaler have filed with the Commission a distribution agreement as required by G.S. 18B-1303; or

(4)A supplier acquires the right to manufacture a malt beverage product, or the trade name for such product, or the right to distribute a product, for which a wholesaler has a franchise agreement. (1989, c. 142, s. 1; 2005-350, s. 5.)