MN HF1294

Amends Minnesota Statutes section 325E.37, subdivision 1 to define "good cause" for terminating sales representative agreements as material breach of written agreement provisions or failure to comply with material and reasonable requirements.

Establishes six specific grounds constituting good cause: bankruptcy or insolvency, assignment for benefit of creditors, voluntary business abandonment, criminal conviction related to the business, acts materially impairing trademark or commercial symbol goodwill, and failure to forward customer payments.

Defines "sales representative" as a person who contracts to solicit wholesale orders and is compensated in whole or in part by commission, excluding employees, resellers, consignment holders, and direct-to-end-user distributors.

Defines "wholesale orders" to include solicitation of orders for goods in the distribution chain for ultimate retail sale, and material, component, or part orders for incorporation into products and later resale.

Effective the day following final enactment.