Oregon Revised Statutes Chapter 650 § 650.150 — Enjoining establishment of certain franchises or relocation of existing dealership

Enjoining establishment of certain franchises or relocation of existing dealership in same market area; complaint; determination of good cause; when offer of new franchise or relocated dealership required; notice to existing or former dealerships; attorney fees. (1) A dealer or former dealer may enjoin a manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, from franchising an additional motor vehicle dealership of the same line-make within the dealer’s or former dealer’s relevant market area for good cause, provided that the dealer files a complaint with a court of competent jurisdiction within 60 days of receiving the notice specified in subsection (6) of this section. For purposes of this section, “relevant market area” has the meaning given that term in ORS 650.120, but other factors such as actual sales and service area must be considered. (2) A dealer or former dealer may enjoin a manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, from relocating an existing motor vehicle dealership of the same line-make within the dealer’s or former dealer’s relevant market area for good cause, provided that the dealer or former dealer files a complaint with a court of competent jurisdiction within 60 days of receiving the notice specified in subsection (6) of this section. This subsection does not apply to an existing dealership or to the dealership of a replacement dealer that is relocating to a site within a one-mile radius of its existing site if the relevant market area of the existing or replacement dealership is not more than 10 miles, within a two-mile radius of its existing site if the relevant market area of the existing or replacement dealership is not more than 15 miles and within a three-mile radius of the existing site if the relevant market area of the existing or replacement dealership is more than 15 miles. (3)(a) A dealer or former dealer may enjoin a manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, from franchising a replacement dealer to operate a dealership of the same line-make within the dealer’s or former dealer’s relevant market area for good cause, provided that the franchising of the replacement dealer has not occurred within one year of the expiration or termination of the former franchise and the dealer files a complaint with a court of competent jurisdiction within 60 days of receiving the notice specified in subsection (6) of this section. For the purposes of this section, “relevant market area” has the meaning given that term in ORS 650.120, but other factors such as actual sales and service area must be considered. (b) Notwithstanding paragraph (a) of this subsection, when good cause exists as provided in subsection (5) of this section, a dealer or former dealer may enjoin a manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, under this subsection within five years of the expiration or termination of the former franchise without regard to when the franchising of the replacement dealer took place or will take place. (4) In determining whether good cause exists pursuant to subsection (1), (2) or (3) of this section, the court may consider all factors that the court considers relevant, but in any case shall consider the following factors: (a) Whether threats or other coercive action, oral or written, were made to or taken against the dealer by the manufacturer, distributor or importer. (b) Whether the dealer is asked to terminate one franchise in order to keep another franchise. (c) Whether the manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, breached the terms or provisions of a franchise. (d) Whether the manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, engaged in conduct prohibited under ORS 650.130. (e) Whether the manufacturer, distributor or importer, or the manufacturer’s, distributor’s or importer’s successor in interest, canceled, terminated or refused to continue a franchise without good cause under ORS 650.140. (f) Whether there will be an unjustifiable adverse effect upon existing dealers because of the grant of the new franchise or the relocation of an existing franchise. For purposes of this paragraph, the court may consider all factors that the court determines relevant, but in any case shall consider the following factors: (A) The extent, nature and permanency of the investment of the existing motor vehicle dealers and the proposed motor vehicle dealer. (B) The effect on the retail motor vehicle business in the relevant market area. (C) The growth or decline in population and in new motor vehicle registrations in the relevant market area. (