Franchise MA Provision Suffers Setback

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A Commonwealth of Massachusetts Superior Court judge has ruled that the application of the state’s franchise termination provisions, which were amended in 2021 to allow breweries to terminate wholesalers in the absence of cause, in a case involving Atlantic Importing Co. and Jack’s Abby Brewing, LLC is unconstitutional due to the use of arbitration to determine what the brewer owed the wholesaler upon termination. The ruling vacates the previously arbitrated award, and the Court will meet with both parties to determine further proceedings.

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