NY Gen Bus L § 696-F (2021)
2021 New York Laws GBS - General Business Article 33-A - Dealer Agreements for the Sale of Farm Equipment 696-F - Repurchase of Equipment Upon Termination.

§  696-f.  Repurchase  of  equipment upon termination. 1. Whenever any dealer enters into a dealer agreement with a supplier wherein the dealer agrees to maintain an inventory of equipment or  repair  parts  and  the dealer   agreement   is  subsequently  terminated,  the  supplier  shall repurchase the inventory as provided in this  article.  The  dealer  may keep  the  inventory  if  such  dealer desires provided the dealer has a contractural right to do so. If the dealer has any outstanding debts  to the  supplier then part or all of the repurchase amount equal to, but no more than, the total amount of the debts may be credited to the dealer's account.   2. If the dealer decides not to keep the inventory, the supplier shall repurchase that inventory previously purchased and held by the dealer on the date of termination of the contract.  The  supplier  shall  pay  one hundred  percent  of  the  net  cost  of  all new, unsold, undamaged and complete equipment which is resalable, less a reasonable  allowance  for depreciation  due  to  usage  by  the  dealer and deterioration directly attributable to weather conditions at the dealer's location and less all programs  and  discounts  previously  allowed  thereon  and  eighty-five percent  of  the  current net price of all new, unused, undamaged repair parts and accessories which are listed in the supplier's effective price list or catalogue less all programs  and  discounts  previously  allowed thereon  by  the supplier to the dealer. The supplier shall also pay the dealer six percent of the current net  price  on  all  new,  unused  and undamaged  repair  parts returned to cover the cost of handling, packing and loading. The supplier  shall  have  the  option  of  performing  the handling,  packing  and  loading  or  paying  one hundred percent of the current net price of parts in lieu of paying the six percent sum imposed herein for these services  and  in  this  case  the  dealer  shall  make available  to  the supplier, at the dealer's address or at the places at which it is located, all equipment previously purchased by  the  dealer, after receipt by the dealer of the full repurchase amount.   3.  Upon  payment  within  sixty  days of the repurchase amount to the dealer, the title and right to possession of the  repurchased  inventory shall transfer or be transferred to the supplier.   4.  The  provisions  of  this article shall not require the repurchase from the dealer of:  (a) any repair part which has a limited storage life or  is  otherwise subject to deterioration;  (b)  any  single  repair  part which is priced as a set of two or more items;  (c) any repair part which because of its condition is not resalable as a new part without repairing or reconditioning;  (d) any inventory for which the dealer is unable to  furnish  evidence reasonably  satisfactory  to the supplier, of good title, free and clear of all claims, liens and encumbrances;  (e) any inventory which the  dealer  desires  to  keep,  provided  the dealer has a contractural right to do so;  (f) any equipment which is not in new, unused, undamaged, and complete condition;  (g)   any  equipment  which  has  been  used  by  the  dealer  or  has deteriorated because of weather  conditions  at  the  dealer's  location unless  the  supplier  receives a reasonable allowance for such usage or deterioration;  (h)  any  repair  parts  which  are  not  in  new,  unused,  undamaged condition;  (i) any inventory which was ordered by the dealer on or after the date of  receipt  of the notification of termination of the dealer agreement; or  (j) any inventory which was acquired by the  dealer  from  any  source other than the supplier.   5.  If  any  supplier shall fail or refuse to repurchase any inventory covered under the provisions of this article  within  sixty  days  after termination  of  a  dealer's  contract, he shall be civilly liable for a total amount of one hundred fifteen percent of the current net price  of the  inventory plus any freight charges paid by the dealer plus all cost of financing such repurchase,  including  courts  costs  and  reasonable attorneys' fees allowed by the court.