Commonwealth Numbered Acts

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PETROLEUM RETAIL MARKETING FRANCHISE ACT 1980 No. 139, 1980 - SECT 19

Franchisee to be offered new franchise after destruction, &c., of premises
19. (1) Subject to sub-section (2), where-

   (a)  a corporation, being a franchisor, terminates under section 16 or, in
        accordance with section 17, does not renew, a franchise agreement
        (being an agreement containing provisions of the kind referred to in
        paragraph (b) of
the definition of "franchise agreement" in sub-section 3 (1)) on the ground
that the whole or a substantial part of the marketing premises is destroyed,
or is damaged to such an extent as to render the operation of the premises
impracticable; and

   (b)  the premises are rebuilt or restored so as to be suitable for the
        purpose of the retail sale of motor fuel, the corporation shall not
        enter into an agreement with a person other than the former franchisee
        under which the corporation grants a right to, or otherwise authorizes
        or permits, that person to possess, occupy or use the premises for
        that purpose unless, before entering into the agreement with that
        person, the corporation, by notice in writing served on the former
        franchisee, has offered to enter into a franchise agreement in
        relation to the premises with the former franchisee, being an
        agreement of a kind referred to in paragraph (a), on terms no less
        favourable to the former franchisee than the terms of the agreement
        with that person, and the offer has remained open for a period of at
        least 30 days commencing on the date on which the notice was served.

(2) In any proceedings involving the question whether a corporation has
entered into an agreement in contravention of sub-section (1), the corporation
shall not be taken to have contravened that sub-section if the corporation
establishes to the satisfaction of the court that-

   (a)  the corporation served on the former franchisee, not less than 30 days
        before the agreement was entered into, notice in writing-

        (i)    informing the franchisee of the proposed agreement; and

        (ii)   setting out full particulars of, together with a statement of
               the facts relating to, any circumstances or event of a kind
               referred to in any of paragraphs 16 (2) (a) to (j) (inclusive)
               intended to be relied on by the corporation for the purpose of
               this sub-section;

   (b)  during the subsistence of the relevant franchise agreement,
        circumstances or an event specified in the notice in accordance with
        sub- paragraph (a) (ii) existed or occurred; and

   (c)  if the relevant franchise agreement were still subsisting, it would be
        just and equitable to terminate the agreement on the ground of those
        circumstances or that event, as the case may be. 


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