2015 Oregon Revised Statutes
Volume : 14 - Trade Practices, Labor and Employment
Chapter 650 - Franchise Transactions
Section 650.320 - Dealership agreement.

(1) A dealership agreement shall:

(a) Contain a provision that the law of this state governs the agreement;

(b) Assign the dealer an area of sales responsibility;

(c) If the dealer is an individual, include the designation of a member of the dealer’s family to succeed to the dealer’s interests in the dealer’s business and dealership agreement upon the dealer’s death, incapacity or retirement; and

(d) Inform the dealer of the dealer’s obligations:

(A) To perform warranty service;

(B) To prepare products for delivery to the consumer; and

(C) To deliver products to the consumer.

(2) Upon a dealer’s request, a grantor shall reconsider the scope of the dealer’s area of sales responsibility once a year.

(3) During the term of a dealership agreement, a grantor may not:

(a) Change the dealer’s area of sales responsibility; or

(b) Authorize another dealer to sell or lease the same line make in the area of sales responsibility.

(4) Subsection (3)(b) of this section does not apply if:

(a) Good cause exists to authorize another dealer in the same area of sales responsibility; and

(b) The area of sales responsibility will support the existing dealer and the new dealer.

[2003 c.377 §3]