LD 1931
pg. 3
Page 2 of 7 An Act to Amend the Franchise Law Page 4 of 7
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LR 2820
Item 1

 
on which the franchise is conducted, including, but not
limited to, expenses associated with title examinations,
environmental assessments and other expenses directly
related to the acquisition or lease of the real property
by the acquiring transferee. Upon reimbursement, any
title reports or other reports or studies received by the
acquiring transferee as a result of the evaluation or
investigation of the franchise or the real property on
which the franchise is conducted must be provided to the
franchisor. The acquiring transferee shall submit an
itemized list of the expenses to be reimbursed along with
supporting documents, if any, to the franchisor no later
than 30 days after receipt of a written request for an
itemized list of the expenses from the franchisor. The
franchisor shall make payment within 30 days after the
exercise of the right of first refusal;.

 
For purposes of this paragraph, "acquiring transferee"
means the person who made the offer that entitles the
franchisor to exercise a right of first refusal;

 
For purposes of this paragraph, "acquiring transferee" means
the person who made the offer that entitles the franchisor
to exercise a right of first refusal.

 
The right of first refusal does not apply in any right of
succession established in section 1174-C unless the
franchisor, the franchisee, if the franchisee is not
deceased or incapacitated, and the designated family member
or other person authorized to succeed the franchisee
pursuant to section 1174-C, subsection 1, paragraphs A to C
agree to the exercise of a right of first refusal;

 
Sec. 4. 10 MRSA §1174, sub-§3, śM, as amended by PL 1997, c. 521, §14,
is further amended to read:

 
M. To require, coerce or attempt to coerce a franchisee to
refrain from participation in the management of, investment in or
the acquisition of any other line of new motor vehicle or related
products as long as the franchisee maintains a reasonable line of
credit for each franchise and the franchisee remains in
substantial compliance with reasonable facilities requirements of
the franchisor. The reasonable facilities requirements may not
include any requirement that a franchisee establish or maintain
exclusive facilities, personnel or display space when the
requirements are unreasonable considering current economic
conditions and are not otherwise justified by reasonable business
considerations. The burden of proving that current economic


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