HOUSE DOCKET, NO. 3414        FILED ON: 1/17/2025

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 435

 

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

John J. Mahoney

_________________

To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act amending successor supplier laws.

_______________

PETITION OF:

 

Name:

District/Address:

Date Added:

John J. Mahoney

13th Worcester

1/17/2025


HOUSE DOCKET, NO. 3414        FILED ON: 1/17/2025

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 435

By Representative Mahoney of Worcester, a petition (accompanied by bill, House, No. 435) of John J. Mahoney relative to the right or obligation to sell items with brand names to wholesalers.  Consumer Protection and Professional Licensure.

 

The Commonwealth of Massachusetts

 

_______________

In the One Hundred and Ninety-Fourth General Court
(2025-2026)

_______________

 

An Act amending successor supplier laws.

 

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

Chapter 138 of the General Laws, as appearing in the 2022 Official Edition, is hereby amended by inserting after section 25E 3/4 the following section:- 

Section 25E 7/8. (a) For purposes of this section, a “successor supplier” shall mean any person who acquires, in any manner whatsoever, whether directly or indirectly, the right or obligation to sell an item with brand name to a wholesaler licensed in the commonwealth. 

(b) Any successor supplier acquiring a right or obligation to sell to a wholesaler does so subject to the agreement between the wholesaler and the supplier existing at the time of succession. 

An agreement with a licensed wholesaler includes, without limitation, a commercial relationship of a definite or indefinite duration between a wholesaler and the person selling a brand item to such wholesaler, whether oral or in writing, or any relationship whereby the licensed wholesaler is granted the right to offer and sell items with brand names within the commonwealth. 

All sales of a brand name item made to a licensed wholesaler prior to succession shall be attributed to the successor supplier for the purpose of determining whether six months of regular sales exist, pursuant to section 25E.  

The provisions of section 25E, prohibiting a supplier from refusing the sell an item having a brand name, shall further be binding on any successor supplier.

(c) This section shall be liberally construed to effectuate the remedial purpose of the protections set forth in section 25E.