32-6E-5. Determination of cause for additional franchises of same line/make.
139 words·~1 min read·
/sd/title-32/chapter-32-6/32-6e-5A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In determining whether cause is established for entering into an additional franchise for the same line/make, the department shall consider the existing circumstances:
(1)The amount of business transacted by existing franchisee's of the same line/make in that community;
(2)Whether the franchisee's of the same line/make in that community are making a good faith effort to sell the franchisor's product;
(3)Investment necessarily made and obligations incurred by existing franchisee's of the same line/make in the community in the performance of their part of their franchises;
(4)The effect on the retail snowmobile business as a whole in that community;
(5)The general quality and reputation of existing franchises in the community and their ability to provide consumer care and service; and
(6)Whether it is injurious to the public interest for an additional franchise to be established.