407.413. Wholesale liquor franchises, discrimination prohibited, when--supplier not to alter franchise without cause--good faith defined--damages to franchise holder, when--provisions applicable when-
Wholesale liquor franchises, discrimination prohibited, when--suppliernot to alter franchise without cause--good faith defined--damagesto franchise holder, when--provisions applicablewhen--substantially amended defined.
407.413. 1. If more than one franchise for the same brand or brandsof intoxicating liquor is granted to different wholesalers in this state,it is a violation of sections 407.400 to 407.420 for any supplier todiscriminate between the wholesalers with respect to any of the terms,provisions, and conditions of these franchises.
2. Notwithstanding the terms, provisions and conditions of anyfranchise, no supplier shall unilaterally terminate or refuse to continueor change substantially the condition of any franchise with the wholesalerunless the supplier has first established good cause for such termination,noncontinuance or change.
3. Any wholesaler may bring an action in a court of competentjurisdiction against a supplier for violation of any of the provisions ofthis section and may recover damages sustained by such wholesaler togetherwith the costs of the action and reasonable attorney's fees.
4. In any action brought by a wholesaler against a supplier fortermination, noncontinuance or substantial change in violation of theprovisions of this section, it is a complete defense for the supplier toprove that the termination, noncontinuance or change was done in good faithand for good cause.
5. As used in this section, "good faith" is the duty of each party toany franchise and all officers, employees or agents thereof to act in afair and equitable manner towards each other, and "good cause" means thefollowing:
(1) Failure by the wholesaler to comply substantially with theprovisions of an agreement or understanding with the supplier, whichprovisions are both essential and reasonable;
(2) Use of bad faith or failure to observe reasonable commercialstandards of fair dealing in the trade; or
(3) Revocation or suspension for more than thirty-one days of a beerwholesaler's federal basic permit or of any state or local license requiredof a beer wholesaler for the normal operation of its business.
6. As to brewers and beer wholesalers, the provisions of this sectionshall only apply to agreements entered into on or after August 28, 1998,and to agreements which are renewed or substantially amended on or afterAugust 28, 1998. As used in the preceding sentence, "substantiallyamended" means a written amendment that materially alters the fundamentalbusiness relationship between brewer and wholesaler. "Substantiallyamended" does not include changes or amendments that are contemplated inwriting by the parties to an agreement.
(L. 1975 H.B. 810 § 4, A.L. 1998 H.B. 957 & 1063)(1978) Amendment adding this section to bill during passage did not violate constitutional requirements that bill contain no more than one subject and that it be clearly expressed in the title, and that bill was so amended in its passage as to change its original purpose. Brown-Forman Distillers Corp. v. McHenry (Mo.), 556 S.W.2d 194.