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Wisconsin Fair Dealership Case Law Update: The Dry Dock, L.L.C. v. The Godfrey Conveyor Company, Inc.
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Published: June 7, 2010
Author: Robert Procter
Axley
Brynelson's Distribution and Franchise Team publishes the Wisconsin
Fair Dealership Case Law Update as an online resource for developments
in the Wisconsin Fair Dealership Law.
The Dry Dock, L.L.C. v. The Godfrey Conveyor Company, Inc. United States District Court for the Western District of Wisconsin, June 7, 2010
Facts: The
Dry Dock sells a wide variety of boats, boat accessories, docks and
outdoor power equipment such as snow blowers, lawn mowers and chainsaws.
Godfrey Conveyor Company manufactures pontoon, deck and fishing boats.
The relationship between Godfrey Marine and the Dry Dock was limited:
there were no defined territory, no exclusive agreements, no purchase
requirements, no requirement to dedicate a certain amount of space for
its products, no requirements to maintain a particular level of
inventory, no requirements to purchase particular models and no
requirements to operate in conformity with any particular marketing plan
or standard procedure. Additional, the parties’ relationship only
started in 2005 and Dry Dock only received 6% of its revenue in 2007 and
2% in 2008.
Ruling: The Court granted summary judgment to Godfrey Conveyor
Company that Dry Dock was not a protected dealer under the statute
because the facts did not establish the parties' relationship as a
dealership as defined under the Wisconsin Fair Dealership Law.
Bottom Line: This case is an illustration of the factual
analysis done by courts when determining whether a distributor is a
protected dealer under the statute.
For more information about the Wisconsin Fair Dealership Law, contact Robert Procter at 608.283.6762 or rprocter@axley.com.
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