Bill Text: VA SB248 | 2024 | Regular Session | Prefiled
Bill Title: Virginia Petroleum Products Franchise Act; agreements between jobber/distributors and dealers.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Passed) 2024-04-08 - Governor: Acts of Assembly Chapter text (CHAP0668) [SB248 Detail]
Download: Virginia-2024-SB248-Prefiled.html
Be it enacted by the General Assembly of Virginia:
1. That the Code of Virginia is amended by adding a section numbered 59.1-21.11:2 as follows:
§ 59.1-21.11:2. Required provisions pertaining to agreements between jobber/distributors and dealers.
A. A term of an initial agreement between a jobber/distributor and a dealer relating to specific marketing premises shall not be less than one year and the term of all subsequent agreements between the jobber/distributor and the dealer relating to the same marketing premises shall not be for less than three years. The rental provisions in any such agreement or franchise shall be based on commercially fair and reasonable standards at a fair market value of the leased marketing premises under an objectively reasonable analysis, uniformly applied to all similarly situated dealers of the same jobber/distributor in the same geographic area. If a dealer believes the terms of the agreement offered do not meet a fair market value, such dealer may hire, at his expense, an independent third-party appraisal company from a list of appraisal companies provided by the jobber/distributor to provide a market valuation study.
B. Every agreement between a jobber/distributor and a dealer shall be subject to the provisions of this section, whether or not expressly set forth therein.
