§ 3-13-3 - Prior notification of cancellation.
SECTION 3-13-3
§ 3-13-3 Prior notification ofcancellation. – (a) Except as provided in subsection (c), no supplier or wholesaler may cancel,fail to renew, or otherwise terminate an agreement unless the supplier orwholesaler furnishes prior notification in accordance with subsection (b) tothe affected party.
(b) The notification required under subsection (a) shall bein writing and sent to the affected party by certified mail, return receiptrequested, not less than ninety (90) days before the date on which theagreement will be cancelled, not renewed, or otherwise terminated. Thenotification shall contain:
(1) A statement of intention to cancel, not renew, orotherwise terminate;
(2) A statement of all reasons, stated with particularity;
(3) The date on which the action shall take effect; and
(4) A statement of the remedy or remedies available to theaffected party to cure the specified cause.
(c) A supplier or wholesaler may cancel, fail to renew orotherwise terminate an agreement without furnishing the prior notificationrequired under this section only:
(1) In the event of insolvency, liquidation or bankruptcy ofthe affected party;
(2) In the event the affected party makes an assignment forthe benefit of creditors or similar disposition of substantially all of theassets of that party's business; or
(3) In the event of a conviction or plea of guilty or nocontest to a charge of violating a law or regulation, or the revocation of alicense or permit, relating to business which materially and adversely affectsthe party's ability to continue in business.