2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 523H - FRANCHISES
523H.12 - INDEPENDENT SOURCING.

        523H.12  INDEPENDENT SOURCING.
         1.  Except as provided in subsection 2, a franchisor shall allow a
      franchisee to obtain equipment, fixtures, supplies, and services used
      in the establishment and operation of the franchised business from
      sources of the franchisee's choosing, provided that such goods and
      services meet standards as to their nature and quality promulgated by
      the franchisor.
         2.  Subsection 1 of this section does not apply to reasonable
      quantities of inventory goods or services, including display and
      sample items, that the franchisor requires the franchisee to obtain
      from the franchisor or its affiliate, but only if the goods or
      services are central to the franchised business and either are
      actually manufactured or produced by the franchisor or its affiliate,
      or incorporate a trade secret owned by the franchisor or its
      affiliate.  
         Section History: Recent Form
         92 Acts, ch 1134, § 12

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