13-58-402. Termination without time to cure.
371 words·~2 min read·
/ut/title-13/chapter-58/13-58-402A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Effective 5/5/2021
13-58-402. Termination without time to cure.
A manufacturer or distributor may terminate an agreement with a motorboat dealer upon written notice and without a cure period described in Section 13-58-302 , if:
(1)the motorboat dealer:
(a)financially defaults to the manufacturer, the distributor, or a financing source;
(b)becomes subject to an order for relief, as defined in 11 U.S.C. Sec. 102;
(c)files a voluntary petition in bankruptcy;
(d)has had an involuntary petition in bankruptcy filed against the motorboat dealer;
(e)engages in an act of material fraud in relation to the performance of a right or obligation under the agreement;
(f)is a corporation that ceases to exist;
(g)becomes insolvent;
(h)takes or fails to take an action that constitutes an admission of inability to pay debts as the debts mature;
(i)makes a general assignment for the benefit of creditors to an agent authorized to liquidate any substantial amount of assets;
(j)applies to a court for the appointment of a receiver for any assets or properties;
(k)fails to substantially comply with a federal, state, or local law, rule, regulation, ordinance, or order applicable to the agreement;
(l)receives three valid notices of a default under Section 13-58-302 for the same default within a 12-month period, regardless of whether the dealer cures the default;
(m)transfers an interest in the dealership without the manufacturer's written consent;
(n)has pleaded guilty to or has been convicted of a felony, or of any misdemeanor relating to the relationship between the motorboat dealer and manufacturer;
(o)or one of the owners of the motorboat dealer is convicted or enters a plea of nolo contendere to a felony; or
(p)makes a material misrepresentation;
(2)there is a closeout or sale of a substantial part of the dealer's assets related to the motorboat dealership;
(3)there is a commencement or dissolution or liquidation of the motorboat dealership;
(4)there is a change without the prior written approval of the manufacturer in the location of the motorboat dealer's principal place of business under the dealership agreement; or
(5)the motorboat dealer's license is suspended, revoked, or is not renewed.
Enacted by Chapter 185 , 2021 General Session