Wisconsin Franchise Agreement

Section 135.03 corrects the cancellation and modification of merchants. Under this provision, „no volunteer, either directly or through a delegate, agent or employee, may terminate, terminate, renew or substantially alter the terms of competition of a dealer contract without good reason.“ The WFDL imposes the legal burden of proof of a good cause on the franchisor or employer. Kaeser Compressors, Inc. v. Compressor – Pump Repair Services, Inc., United States District Court, E.D. Wisconsin, February 14, 2011781 F.Supp.2d 819 („The central point of Kaeser`s summary judgment request is CPR`s refusal to sign the proposed new agreement. Under the WFDL, a funder such as Kaeser can only terminate a dealer contract for a good reason. I do not have time to do that. Stat. As defined in the legislation, the correct reason includes non-compliance with „essential and reasonable requirements imposed by the funder“ as long as „similar traders“ set the same requirements. I do not have time to do that. Stat.

Although 822 WFDL applies (`1), it is entitled to terminate the CPR distributor, as it is essential and reasonable to require CPR to sign the proposed single contract, which has been imposed on similar traders across the country. CPR argues that there is a real material question as to whether the imposition of the new treaty is an essential and reasonable requirement. The new contract is not „essential,“ given kaeser`s profitable work without him for decades and thought for several years about the terms he would accept in the agreements. As there was no urgency for the whole process, Kaeser cannot now claim that the new terms are somehow „essential“ to the way he does business. In addition, Kaeser and CPR have been operating under the status quo (i.e. without a new contract) for two years, indicating that the new contract is not an integral part of Kaeser`s business. Kaeser undoubtedly considers the new contract to be essential to its increased profits, but is not „essential“ to the company`s business model or its relationship with dealers.