2938                                        LAWS OF MARYLAND                     [Ch. 877

PRESENTLY SERVED BY A DISTRIBUTOR, OR BY THE SALE OF THE
SAME BRAND OR BRANDS IN ONE TERRITORY BY MORE THAN ONE
FRANCHISEE. IT IS THE FURTHER DECLARED POLICY OF THE
STATE OF MARYLAND THAT TEMPERANCE AND OBEDIENCE TO THE
LAWS CONTROLLING THE DISTRIBUTION AND ULTIMATE SALE OF
BEER IS PROMOTED BY LEGISLATION ENCOURAGING DISTRIBUTORS
OF BEER TO MAKE INVESTMENTS IN THEIR FACILITIES TO SERVE
RETAIL LICENSEES BY PROTECTING THEM AGAINST THE
TERMINATION OF. SUCH DISTRIBUTORSHIPS, OR OTHER ACTS
DESCRIBED HEREIN, WITHOUT GOOD CAUSE FOR SUCH TERMINATION
OR OTHER SUCH ACTS. THE GENERAL ASSEMBLY FURTHER
RECOGNIZES THE DISTINCTION BETWEEN THE NATURE OF THE
DISTRIBUTION OF BEER AND OTHER ALCOHOLIC BEVERAGES IN
THAT DISTRIBUTORS OF ALCOHOLIC LIQUORS OTHER THAN BEER
ARE FRANCHISED BY MANUFACTURERS TO DISTRIBUTE MANY BRANDS
OF VARIOUS KINDS OF ALCOHOLIC BEVERAGES AND ARE NOT AS
VULNERABLE TO THE ECONOMIC PRESSURES OF THE MANUFACTURERS
AS ARE BEER DISTRIBUTORS, WHICH TRADITIONALLY HANDLE
MAINLY ONE, TWO OR THREE BRANDS OF BEER IN THEIR
DISTRIBUTORSHIPS.

(B) AS USED IN THIS TITLE AND UNLESS OTHERWISE
REQUIRED BY THE CONTEXT:

(1) "FRANCHISE" OR "AGREEMENT" SHALL MEAN ONE OR
MORE OF THE FOLLOWING: (I) A COMMERCIAL RELATIONSHIP
BETWEEN A BEER DISTRIBUTOR AND A BEER MANUFACTURER OF A
DEFINITE DURATION OR INDEFINTE DURATION, WHICH IS NOT
REQUIRED TO BE EVIDENCED IN WRITING; (II) A RELATIONSHIP
WHEREBY THE BEER DISTRIBUTOR IS GRANTED THE RIGHT TO
OFFER AND SELL THE BRANDS OF BEER OFFERED BY THE BEER
MANUFACTURER; (III) A RELATIONSHIP WHEREBY THE BEER
DISTRIBUTOR, AS AN INDEPENDENT BUSINESS, CONSTITUTES A
COMPONENT OF A BEER MANUFACTURER'S DISTRIBUTION SYSTEM;
(IV) A RELATIONSHIP WHEREBY THE BEER DISTRIBUTOR'S
BUSINESS IS SUBSTANTIALLY ASSOCIATED WITH THE BEER
MANUFACTURER'S BRAND, ADVERTISING OR OTHER COMMERICAL
SYMBOL DESIGNATING THE BEER MANUFACTURER; (V) A
RELATIONSHIP WHEREBY THE BEER DISTRIBUTOR'S BUSINESS IS
SUBSTANTIALLY RELIANT ON THE BEER MANUFACTURER FOR THE
CONTINUED SUPPLY OF BEER; AND (VI) A WRITTEN OR ORAL
ARRANGEMENT FOR A DEFINITE OR INDEFINITE PERIOD WHEREBY A
BEER MANUFACTURER GRANTS TO A BEER DISTRIBUTOR A LICENSE
TO USE A TRADE NAME, TRADE MARK, SERVICE MARK, OR RELATED
CHARACTERISTIC, AND IN WHICH THERE IS A COMMUNITY OF
INTEREST IN THE MARKETING OF GOODS OR SERVICES AT
WHOLESALE, RETAIL, BY LEASE, OR OTHERWISE.

(2) "FRANCHISEE" MEANS ANY BEER DISTRIBUTOR TO
WHOM A FRANCHISE OR AGREEMENT AS DEFINED HEREIN IS
GRANTED OR OFFERED OR ANY BEER DISTRIBUTOR WHO IS A PARTY
TO A FRANCHISE OR AGREEMENT AS DEFINED HEREIN.

(3) "FRANCHISOR" MEANS ANY BEER MANUFACTURER WHO