44-1565. Definitions
In this article, unless the context otherwise requires:
1. "Beer" means any beverage obtained by the alcoholic fermentation, infusion or
decoction of barley malt, hops or other ingredients not drinkable, or any combination of
them. Beer does not include spirituous liquor.
2. "Franchise" means a commercial relationship between a supplier and a wholesaler
which includes all of the following:
(a) A commercial relationship of definite duration or continuing indefinite
duration is involved.
(b) A grant to the wholesaler of the right to offer, sell and distribute within
this state or any designated territory such of the supplier's brands of beer as may be
agreed upon. The requirements of this paragraph are not intended to preclude a supplier
from establishing more than one commercial relationship of any kind within or with
relation to activity in this state or any designated territory therein not in violation
of article 1 of this chapter.
(c) An agreement relating to transferability of the commercial relationship.
3. "Good cause" means failure by the supplier or the wholesaler to comply with the
provisions of an agreement as delineated therein, which provisions are not
unconscionable. Good cause does not include failure or refusal on the part of the
wholesaler or supplier to engage in any trade practice, conduct or activity which would
result in a violation of any federal law or regulation or any laws or regulations of this
state.
4. "Good faith" means the duty of each party to any franchise and all officers,
employees or agents thereof to act in a fair and equitable manner in carrying out the
agreement.
5. "Spirituous liquor" includes alcohol, brandy, whiskey, rum, tequila, mescal,
gin, wine, porter, absinthe, a compound or mixture of any of them or of any of them with
any vegetable or other substance, alcohol bitters, bitters containing alcohol, any liquid
mixture or preparation, whether patented or otherwise, that produces intoxication, fruits
preserved in ardent spirits and beverages containing more than one-half of one per cent
of alcohol by volume.
6. "Supplier" means any person other than a wholesaler engaged in business as a
manufacturer, distiller, rectifier, importer, brewer, vintner, broker or agent which
distributes any or all of its beer through duly licensed wholesalers in this state.
7. "Wholesaler" means any person licensed by the department of liquor licenses and
control to sell at wholesale beer to retailers duly licensed in this state.
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