Montana Code Annotated 2023



Part 1. Dealers

Procedure To Determine Right To Succeed

61-4-134. Procedure to determine right to succeed. (1) Any designated family member who receives notice of the manufacturer's, factory branch's, distributor's, or importer's refusal to honor the family member's succession to the ownership and operation of the dealership may, within the 90-day period, file a written complaint with the department for a hearing and determination by the department as to whether good cause exists for refusal to honor the designated family member's succession to the operation and ownership of the dealership.

(2) The manufacturer, factory branch, distributor, or importer must establish good cause for refusal by showing that the designated family member failed to comply with the provisions of 61-4-132(2) or that the succession would be detrimental to the public interest.

(3) The franchise agreement must continue in effect until the final adjudication by the department on the written complaint and the exhaustion of all appellate remedies available to the designated family member. The manufacturer, factory branch, distributor, or importer and the designated family member shall abide by the terms of the franchise agreement and the laws of Montana during adjudication by the department and the appeals process.

(4) If the manufacturer, factory branch, distributor, or importer prevails, the department shall include in its order approving the termination of the franchise agreement reasonable conditions affording the designated family member an opportunity to receive fair and reasonable compensation for the value of the dealership.

(5) Any decision by the department may be reviewed pursuant to Title 2, chapter 4, part 7.

History: En. 51-612 by Sec. 4, Ch. 381, L. 1977; R.C.M. 1947, 51-612; amd. Sec. 7, Ch. 221, L. 1997; amd. Sec. 13, Ch. 283, L. 2019.