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The 190th General Court of the Commonwealth of Massachusetts

Section 1: Definitions

Section 1. For purposes of this chapter the following words shall have the following meanings:

''Current net price'', the price listed in the supplier's price list or catalog in effect at the time the dealer agreement is terminated, less any applicable discounts allowed.

''Dealer'', a person, corporation or partnership primarily engaged in the business of retail sales of farm and utility tractors, forestry equipment, light industrial equipment, farm implements, farm machinery, yard and garden equipment, attachments, accessories and repair parts. The term ''dealer'' shall not include a single line dealer primarily engaged in retail sale and service of industrial, forestry and construction equipment.

''Dealer agreement'', a written or oral contract or agreement between a dealer and a wholesaler, manufacturer or distributor by which the dealer is granted the right to sell or distribute goods or services or to use a trade name, trademark, service mark, logotype, or advertising or other commercial symbol.

''Inventory'', farm, utility, forestry, or light industrial equipment, implements, machinery, yard and garden equipment, attachments or repair parts; provided, however, that inventory shall not include heavy construction equipment.

''Net cost'', the price the dealer paid the supplier for the inventory, less all applicable discounts allowed, plus the amount the dealer paid for freight costs from the supplier's location to the dealer's location. In the event of termination of a dealer agreement by the supplier, ''net cost'' shall include the reasonable cost of assembly and/or disassembly performed by a dealer.

''Single line dealer'', a person partnership or corporation who:

(1) has purchased seventy-five per cent or more of the dealer's total new product inventory from a single supplier; and

(2) who has a total annual average sales volume for the previous three years in excess of twenty million dollars for the entire territory for which the dealer is responsible.

''Supplier'', a wholesaler, manufacturer, or distributor of inventory who enters into a dealer agreement with a dealer.

''Termination of dealer agreement'', the cancellation, nonrenewal or discontinuance of the agreement.