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Indiana Code Title 7.1. Alcohol and Tobacco § 7.1-3-25.5-2

Current as of January 02, 2024 | Updated by FindLaw Staff

Sec. 2. (a) As used in this section, “good cause” means any of the following:

(1) A beer wholesaler's failure to pay a primary source of supply for products in accordance with the approved terms of the distribution agreement.

(2) A failure by a beer wholesaler to substantially comply, without reasonable excuse or justification, with any reasonable and material provision of the distribution agreement.

(3) A failure by an owner of the beer wholesaler to sell the person's ownership interest not later than one hundred twenty (120) days after the later of the following dates:

(A) The date judgment is entered against the owner of the beer wholesaler for a felony conviction that, in the reasonable judgment of the primary source of supply, may adversely affect the goodwill or interests of the beer wholesaler or primary source of supply.

(B) The date the primary source of supply learns of the felony conviction described in clause (A).

(b) A primary source of supply that intends to amend, cancel, terminate, or refuse to renew a distribution agreement may do so only if the primary source of supply:

(1) acts:

(A) with good cause;

(B) in good faith; and

(C) with due regard of the equities of the beer wholesaler;

(2) gives the beer wholesaler written notice:

(A) in accordance with section 5 of this chapter; and

(B) at least one hundred twenty (120) days before the date the primary source of supply intends to amend, cancel, terminate, or refuse to renew the distribution agreement; and

(3) gives the beer wholesaler the opportunity to substantially cure any deficiency in the beer wholesaler's performance that constitutes good cause not later than one hundred twenty (120) days after the date that notice is given under subdivision (2).

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Cite this article: FindLaw.com - Indiana Code Title 7.1. Alcohol and Tobacco § 7.1-3-25.5-2 - last updated January 02, 2024 | https://codes.findlaw.com/in/title-7-1-alcohol-and-tobacco/in-code-sect-7-1-3-25-5-2/

Read this complete Indiana Code Title 7.1. Alcohol and Tobacco § 7.1-3-25.5-2 on Westlaw

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