Exemptions.

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The provisions of the Fair Practices of Equipment Manufacturers, Distributors, Wholesalers and Dealers Act shall not require the repurchase from a dealer of:

1. Any repair part which is in a broken or damaged package; provided, however, the supplier will be required to repurchase a repair part in a broken or damaged package, for a repurchase price that is equal to eighty-five percent (85%) of the current net parts cost for the repair part, if the aggregate current net parts cost for the entire package of repair parts is Seventy-five Dollars ($75.00) or higher;

2. Any repair part which because of its condition is not resalable as a new part without repackaging or reconditioning;

3. Any inventory for which the dealer is unable to furnish evidence, satisfactory to the supplier, of clear title free and clear of all claims, liens and encumbrances unless such inventory will be free and clear of all claims, liens and encumbrances immediately upon payment by the supplier of amounts due herein to such lien holders;

4. Any inventory which the dealer desires to keep, provided the dealer has a contractual right to do so;

5. Any equipment or repair parts which are not in new, unsold, undamaged, complete condition, subject, however, to the provisions of this act relating to the demonstrators;

6. Any equipment delivered to the dealer prior to the beginning of the thirty-six-month period immediately preceding the date of notification of termination;

7. Any equipment or repair parts which were ordered by the dealer on or after the date of notification of termination;

8. Any equipment or repair parts which were acquired by the dealer from any source other than the supplier unless such equipment or repair parts were ordered from, or invoiced to the dealer by, the supplier; or

9. Any equipment or repair parts which are not returned to the supplier within ninety (90) days after the later of:

  • a.the effective date of termination of a dealer agreement, and
  • b.the date the dealer receives from the supplier all information, documents or supporting materials required by the supplier to comply with the supplier’s return policy; provided, however, this paragraph will not be applicable to a dealer if the supplier did not give the dealer notice of the ninety-day deadline at the time the applicable notice of termination was sent to the dealer.

Added by Laws 1982, c. 274, § 3, operative Oct. 1, 1982. Amended by Laws 1991, c. 51, § 4, emerg. eff. April 9, 1991; Laws 2011, c. 156, § 11, eff. Nov. 1, 2011.


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