Supreme Court says franchisors can change dealer lease terms

摘要

The U.S. Supreme Court says Shell did not violate federal dealer protection law when it ended a long-running rent rebate and switched dealers to a market-value rent instead. The decision is a big loss for retailers because it reaffirms a franchisor's right to change a dealer's lease terms. It may also complicate life for multi-state marketers with lessee dealer operations.rnEight Massachusetts retailers claimed Shell's decision to drop the rebate was a constructive termination of their franchises and constructive non-renewal of their leases, although none handed in their station keys.