HB 150: "An Act relating to franchise agreements for the sale of alcoholic beverages."

00HOUSE BILL NO. 150 01 "An Act relating to franchise agreements for the sale of alcoholic beverages." 02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 03 * Section 1. AS 04.16 is amended by adding a new section to read: 04  Sec. 04.16.160. Alcoholic beverage franchise agreements. (a) If more than 05 one franchise for the same brand of alcoholic beverage is awarded by an alcoholic 06 beverage supplier to different wholesalers in this state, the supplier awarding the 07 franchise may not discriminate between wholesalers in the terms, provisions, or 08 conditions of the franchise agreement. A franchise agreement for the sale of an 09 alcoholic beverage may not be unilaterally terminated by a supplier nor may a 10 wholesaler be required to withdraw from the agreement unless the supplier awarding 11 the franchise has established good cause for the termination or withdrawal. 12  (b) A wholesaler may bring a civil action to recover damages for a violation 13 of this section. It is a defense to a civil action for a violation of this section that the 14 alleged violation was done in good faith and for good cause.

01  (c) In this section, 02  (1) "franchise" means a contract or agreement between a supplier and 03 a wholesaler in which the wholesaler is awarded the right to offer, sell, and distribute 04 specified alcoholic beverages in this state; 05  (2) "supplier" means a distiller, brewer, vintner, or importer of alcoholic 06 beverages, and includes an exclusive agent for a distiller, brewer, vintner, or importer 07 of alcoholic beverages; 08  (3) "wholesaler" means a person licensed under AS 04.11.160. 09 * Sec. 2. APPLICABILITY. This Act applies to a contract or agreement entered into on 10 or after the effective date of this Act.