PARRIS N. GLENDENING, Governor                            S.B. 455

(ii) With respect to all other merchandise, including samples, display
models, and damaged merchandise, the wholesale fair market value of the merchandise
less depreciation, or the purchase price paid by the distributor, whichever is less; AND

(III) WITH RESPECT TO SPECIAL TOOLS, ACCESSORIES, DISPLAY
EQUIPMENT, AND OTHER SIMILAR ITEMS, THE PURCHASE PRICE PAID BY THE
DISTRIBUTOR. LESS DEPRECIATION. OR AN AMOUNT AGREED UPON BY THE
PARTIES.

11-1305.

(a) If the grantor identified deficiencies on the part of the distributor in the
notice under § 11-1303(b)(2)(ii) of this subtitle and if a distributor opposes the
cancellation or nonrenewal of an agreement, the distributor shall be permitted to attempt
to resolve its differences with the grantor by:

(1)     Within [15] 30 days after the receipt of the notice of cancellation or
nonrenewal, filing with the grantor a notice of intention to oppose the cancellation or
nonrenewal; and

(2)     Implementing a plan, as approved by the grantor, for the correction of
the deficiencies described by the grantor as constituting the reasons for the cancellation
or nonrenewal.

11-1306.

If a dispute arises between the grantor and the distributor relating to WHETHER
THE DISTRIBUTOR HAS MET THE MATERIAL TERMS AND CONDITIONS OF THE
AGREEMENT, the notice of cancellation or nonrenewal, the plan for the correction of the
deficiencies described by the grantor as the reasons for cancellation or nonrenewal,
whether or not the distributor has complied with the plan and corrected the deficiencies
described by the grantor as the reasons for cancellation or nonrenewal, or the purchase
price or fair market value of any merchandise subject to repurchase under § 11-1304 of
this subtitle, the grantor and distributor shall submit the dispute to arbitration under the
Maryland Uniform Arbitration Act.

11-1307.

(A) THE LAWS OF THE STATE SHALL APPLY TO AGREEMENTS UNDER THIS
SUBTITLE AND TO WHICH A DISTRIBUTOR WITH A PRINCIPAL PLACE OF BUSINESS IN
THE STATE IS A PARTY. THIS ACT SUBTITLE SHALL BE CONSTRUED TO PROVIDE THE
MINIMUM TERMS AND CONDITIONS APPLICABLE TO GRANTORS AND DISTRIBUTORS
COVERED BY THIS ACT SUBTITLE.

(B) THIS SUBTITLE DOES NOT LIMIT OR RESTRICT THE RIGHTS OF A
GRANTOR OR DISTRIBUTOR AT ANY TIME TO SEEK IN THE STATE ALL LEGAL AND
EQUITABLE REMEDIES FOR ANY VIOLATION OF THIS SUBTITLE OR ANY MATERIAL
BREACH OF AN AGREEMENT.

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