13-14-308. Private right of action.
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13-14-308. Private right of action.
(1)A franchisee has a private right of action for actual damages and reasonable attorney fees against a franchisor for a violation of this chapter that results in damage to the franchisee.
(a)As used in this Subsection
(2):
(i)"New franchisor" has the same meaning as defined in Section 13-14-302.5 .
(ii)"Reinstated franchise" has the same meaning as defined in Section 13-14-302.5 .
(iii)"Reinstated franchisee" has the same meaning as defined in Section 13-14-302.5 .
(b)A reinstated franchisee has a private right of action for actual damages and reasonable attorney fees against a new franchisor if:
(i)the new franchisor:
(A)establishes a new franchisee of the same line-make as a line-make of the reinstated franchisee within the relevant market area of the reinstated franchisee; or
(B)adds a line-make to another franchisor's existing franchisee within the relevant market area of the reinstated franchisee that is the same line-make as a line-make of the reinstated franchisee; and
(ii)the franchisor's action under Subsection (2)(b)(i) causes a substantial diminution in value of the reinstated franchisee's reinstated franchise.
(c)A new franchisor may not be held liable under Subsection (2)(b) based on a franchisee's purchase of another existing franchise, both of which are within the relevant market area of a reinstated franchisee, for the purpose of combining the purchased franchise with the franchise of the purchasing franchisee.
Amended by Chapter 41 , 2010 General Session