37-5-14. Certain circumstances not cause for termination of dealership contract or entering into new dealership contract.
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/sd/title-37/chapter-37-5/37-5-14A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The following circumstances are not cause for the termination or discontinuance of a dealership contract, nor for entering into a dealership contract for the establishment of an additional dealership in a community for the same line - make:
(1)The change of executive management or ownership of the dealer, unless the manufacturer can show that the change would be detrimental to the representation or reputation of the manufacturer's product;
(2)Refusal by the dealer to purchase or accept delivery of any machinery, parts, accessories, or any other commodity or service not ordered by the dealer unless such machinery, parts, accessories, or other commodity or service is necessary for the operation of machinery commonly sold in the dealer's area of responsibility;
(3)The sole fact that the manufacturer desires further penetration of the market;
(4)The fact that the dealer owns, has an investment in, participates in the management of, or holds a dealership contract for the sale of another line - make of machinery, or that the dealer has established another line - make of machinery in the same dealership facilities as those of the manufacturer, if the dealer maintains a reasonable line of credit for each line - make of machinery; or
(5)Refusal by the dealer to participate in any national advertising campaign or contest or purchase any promotional materials, display devices, or display decoration or materials which are at the expense of the dealer.