Md. Code, Alco. Bev. § 5-101

Current with changes from the 2024 Legislative Session
Section 5-101 - Definitions
(a) In this subtitle the following words have the meanings indicated.
(b) "Beer distributor" means a person that imports or causes to be imported into the State, or purchases or causes to be purchased in the State, beer for sale or resale to a retail dealer licensed under this article without regard to whether the business of the person is conducted under a beer franchise agreement or another form of agreement with a beer manufacturer.
(c) "Beer franchise agreement" means:
(1) a commercial relationship between a beer distributor and beer manufacturer that:
(i) is of a definite or indefinite duration; and
(ii) is not required to be in writing;
(2) a relationship in which a beer manufacturer grants a beer distributor the right to offer and sell the brands of beer offered by the beer manufacturer;
(3) a relationship in which a beer distributor, as an independent business, constitutes a component of a beer manufacturer's distribution system;
(4) a relationship in which a beer distributor's business is substantially associated with a beer manufacturer's brand, advertising, or another commercial symbol that designates the beer manufacturer;
(5) a relationship in which a beer distributor's business relies substantially on a beer manufacturer for the continued supply of beer; or
(6) a written or oral arrangement of definite or indefinite duration in which:
(i) a beer manufacturer grants to a beer distributor the right to use a trade name, trademark, service mark, or related characteristic; and
(ii) there is a community of interest in the marketing of goods or services at wholesale or retail, by lease, or by another method.
(d) "Beer manufacturer" means:
(1) a brewer, fermenter, processor, bottler, or packager of beer located in or outside the State; or
(2) a person located in or outside the State that enters into a beer franchise agreement with a beer distributor doing business in the State.
(e) "Fair market value" means the price at which an asset would change hands between a willing seller and a willing buyer when:
(1) neither is acting under any compulsion; and
(2) both have knowledge of all of the relevant facts.
(f) "Franchisee" means:
(1) a beer distributor to whom a beer franchise agreement is granted or offered; or
(2) a beer distributor that is a party to a beer franchise agreement.
(g) "Franchisor" means a beer manufacturer that:
(1) enters into a beer franchise agreement with a beer distributor; or
(2) is a party to a beer franchise agreement.
(h) "Sales territory" means the area of sales responsibility designated by a beer franchise agreement for the brand or brands of beer of a beer manufacturer.

Md. Code, AB § 5-101

Amended by 2019 Md. Laws, Ch. 379, Sec. 1, eff. 1/1/2020.
Amended by 2019 Md. Laws, Ch. 8, Sec. 1, eff. 3/27/2019.
Added by 2016 Md. Laws, Ch. 41, Sec. 2, eff. 7/1/2016.