State of Illinois
91st General Assembly
Legislation

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91_HB4420

 
                                               LRB9112959LDpr

 1        AN  ACT to amend the Soft Drink Industry Fair Dealing Act
 2    by changing Section 15.

 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:

 5        Section  5.   The Soft Drink Industry Fair Dealing Act is
 6    amended by changing Section 15 as follows:

 7        (815 ILCS 730/15)
 8        Sec.    15.     Cancellation    and     alteration     of
 9    distributorships.
10        (a)  No supplier, directly or through any officer, agent,
11    employee, or representative, shall:
12             (1)  cancel, fail to renew, or otherwise terminate a
13        distribution agreement without good cause to do so;
14             (2)  unilaterally      impose     any     amendment,
15        modification, or change in the terms  of  a  distribution
16        agreement;
17             (3)  fail  to exercise good faith in the negotiation
18        of any amendment, modification, or change in the terms of
19        a distribution agreement, engage in  retaliatory  conduct
20        against  a distributor for the exercise of a legal right,
21        or otherwise fail to exercise good faith in its  dealings
22        with a distributor;
23             (4)  discriminate in pricing, fees, charges or other
24        terms of the distributorship against any distributor that
25        withholds  its  assent to any amendment, modification, or
26        change in the terms of a distribution agreement;
27             (5)  restrict or inhibit,  directly  or  indirectly,
28        the  right of free association among distributors for any
29        lawful purpose;
30             (6)  fail,  without   good   cause,   to   offer   a
31        distributor  the  right, within its geographic territory,
 
                            -2-                LRB9112959LDpr
 1        to (i) directly or through a cooperative  or  association
 2        of  which  the distributor is a member, bottle or can any
 3        new soft drink beverages introduced by the  supplier  and
 4        process  any  new  soft  drink  beverage concentrate into
 5        beverage syrup, and (ii) sell,  distribute,  and  deliver
 6        such  soft  drink  beverages or soft drink beverage syrup
 7        under trademarks owned or licensed  by  the  supplier  or
 8        offer  a  distributor  such right on terms and conditions
 9        less favorable than such right is offered  to  any  other
10        distributor  of  the  supplier, including any distributor
11        owned in whole or in part by the supplier.
12        (b)  No  supplier  who,  pursuant   to   a   distribution
13    agreement,  has  granted  a  person  the exclusive right in a
14    generally defined geographic area to (i) directly or  through
15    a cooperative or association of which the person is a member,
16    bottle  or  can  one or more soft drink beverages, or process
17    soft drink beverage concentrate into beverage syrup, and (ii)
18    sell, distribute, or deliver such  soft  drink  beverages  or
19    soft  drink beverage syrup under trademarks owned or licensed
20    by the supplier, shall,  directly  or  through  any  officer,
21    agent,  employee,  or representative, enter into an agreement
22    authorizing, permitting, contemplating, or providing for  the
23    exercise of any of such rights in the same geographic area by
24    any other person.
25    (Source: P.A. 91-3, eff. 5-21-99.)

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