§200.108. Indirect Franchise Fee  


Latest version.
  • An indirect franchise fee within the meaning of Section 3(14) of the Act is present despite the bona fide wholesale or retail price exceptions if the buyer is required to purchase a quantity of goods so unreasonably large that such goods may not be resold within a reasonable time.  What constitutes a reasonable time is determined by the price, markup, consumer demand, location of product suppliers and seasonal demand variations.