H0455 Summary

• Clarifies that a dealer agreement permitting an event, act, or omission does not determine whether that action caused a substantial change in the dealer's competitive circumstances.

• Requires suppliers to provide written notice to equipment dealers before terminating agreements, refusing renewal, or substantially changing competitive circumstances, with notice periods of at least 90 days except in specific good cause situations.

• Defines "change in competitive circumstances" as an event, act, or omission with a material detrimental effect on a retailer's ability to compete with other retailers selling the same farm equipment brand.

• Requires suppliers to provide one year advance written notice before terminating or substantially changing a dealer's circumstances based on failure to achieve market penetration, and mandates fair and reasonable efforts to assist the dealer during this period.

• Specifies that suppliers must prove in writing that a retailer's trade area lacks sufficient sales potential to support the retailer when citing market penetration failures as cause for termination or substantial change.