“You need to know what your rights really are, not just what the supplier’s or manufacturer’s form contract says they are.” – Gary Leydig
Our experience shows that dealers and distributors are often in the dark regarding the breadth of rights they possess. If you already know you are covered under a franchise or dealership statute, you need to understand the full measure of protections these laws afford. If you don’t think there are statutes or common laws that protect you, you likely need to think again.
Manufacturers and suppliers can be quite creative in drafting contracts that ignore a dealer’s statutory rights; even stating “this is not a franchise,” when it most certainly is. You need to know what your rights really are, not just what the supplier's or manufacturer’s form contract says they are. Does your contract give the supplier the right to terminate without cause and on a few days' or weeks' notice? Does your contract prohibit you from selling a second or competing line of goods? Are unrealistic or unachievable sales goals established? Are you required to sue your supplier only in some far-off state? These and many other contract provisions may be unenforceable and absolutely void under applicable law. Gary Leydig can review your contracts, advise you of your rights and counsel you in your ongoing arrangements with your supplier. When the supplier is unreasonable and your discussions break down, we can pursue your legal remedies. Often, the supplier’s knowledge of our involvement is enough to change the direction of the negotiations. Being a successful trial lawyer has its rewards beyond the courtroom.