15 U.S.C. § 2807 — Prohibition on restriction of installation

Page 1953 TITLE 15—COMMERCE AND TRADE § 2807 1994—Subsec. (f). Pub. L. 103–371 added subsec. (f). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2007 AMENDMENT Amendment by Pub. L. 110–140 effective on the date that is 1 day after Dec. 19, 2007, see section 1601 of Pub. L. 110–140, set out as an Effective Date note under sec- tion 1824 of Title 2, The Congress. § 2806. Relationship of statutory provisions to State and local laws (a) Termination or nonrenewal of franchise (1) To the extent that any provision of this subchapter applies to the termination (or the furnishing of notification with respect thereto) of any franchise, or to the nonrenewal (or the furnishing of notification with respect thereto) of any franchise relationship, no State or any political subdivision thereof may adopt, enforce, or continue in effect any provision of any law or regulation (including any remedy or penalty ap- plicable to any violation thereof) with respect to termination (or the furnishing of notification with respect thereto) of any such franchise or to the nonrenewal (or the furnishing of notification with respect thereto) of any such franchise rela- tionship unless such provision of such law or regulation is the same as the applicable provi- sion of this subchapter. (2) No State or political subdivision of a State may adopt, enforce, or continue in effect any provision of law (including a regulation) that re- quires a payment for the goodwill of a franchisee on the termination of a franchise or nonrenewal of a franchise relationship author- ized by this subchapter. (b) Transfer or assignment of franchise (1) Nothing in this subchapter authorizes any transfer or assignment of any franchise or pro- hibits any transfer or assignment of any fran- chise as authorized by the provisions of such franchise or by any applicable provision of State law which permits such transfer or assignment without regard to any provision of the franchise. (2) Nothing in this subchapter shall prohibit any State from specifying the terms and condi- tions under which any franchise or franchise re- lationship may be transferred to the designated successor of a franchisee upon the death of the franchisee. (Pub. L. 95–297, title I, § 106, June 19, 1978, 92 Stat. 332; Pub. L. 103–371, § 5, Oct. 19, 1994, 108 Stat. 3485.) Editorial Notes AMENDMENTS 1994—Subsec. (a). Pub. L. 103–371, § 5(1), redesignated existing provisions as par. (1) and added par. (2). Subsec. (b). Pub. L. 103–371, § 5(2), redesignated exist- ing provisions as par. (1) and added par. (2). § 2807. Prohibition on restriction of installation of renewable fuel pumps (a) Definition In this section: (1) Renewable fuel The term ‘‘renewable fuel’’ means any fuel— (A) at least 85 percent of the volume of which consists of ethanol; or (B) any mixture of biodiesel and diesel or renewable diesel (as defined in regulations adopted pursuant to section 7545(o) of title 42 (40 CFR, part 80)), determined without re- gard to any use of kerosene and containing at least 20 percent biodiesel or renewable diesel. (2) Franchise-related document The term ‘‘franchise-related document’’ means— (A) a franchise under this chapter; and (B) any other contract or directive of a franchisor relating to terms or conditions of the sale of fuel by a franchisee. (b) Prohibitions (1) In general No franchise-related document entered into or renewed on or after December 19, 2007, shall contain any provision allowing a franchisor to restrict the franchisee or any affiliate of the franchisee from— (A) installing on the marketing premises of the franchisee a renewable fuel pump or tank, except that the franchisee’s franchisor may restrict the installation of a tank on leased marketing premises of such franchisor; (B) converting an existing tank or pump on the marketing premises of the franchisee for renewable fuel use, so long as such tank or pump and the piping connecting them are either warranted by the manufacturer or certified by a recognized standards setting organization to be suitable for use with such renewable fuel; (C) advertising (including through the use of signage) the sale of any renewable fuel; (D) selling renewable fuel in any specified area on the marketing premises of the franchisee (including any area in which a name or logo of a franchisor or any other en- tity appears); (E) purchasing renewable fuel from sources other than the franchisor if the franchisor does not offer its own renewable fuel for sale by the franchisee; (F) listing renewable fuel availability or prices, including on service station signs, fuel dispensers, or light poles; or (G) allowing for payment of renewable fuel with a credit card, so long as such activities described in subpara- graphs (A) through (G) do not constitute mislabeling, misbranding, willful adultera- tion, or other trademark violations by the franchisee. (2) Effect of provision Nothing in this section shall be construed to preclude a franchisor from requiring the franchisee to obtain reasonable indemnifica- tion and insurance policies. (c) Exception to 3-grade requirement No franchise-related document that requires that 3 grades of gasoline be sold by the applica- ble franchisee shall prevent the franchisee from selling a renewable fuel in lieu of 1, and only 1, grade of gasoline. Page 1954 TITLE 15—COMMERCE AND TRADE § 2821 1 So in original. Probably should be capitalized. (Pub. L. 95–297, title I, § 107, as added Pub. L. 110–140, title II, § 241(a), Dec. 19, 2007, 121 Stat. 1538.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Section effective on the date that is 1 day after Dec. 19, 2007, see section 1601 of Pub. L. 110–140, set out as a note under section 1824 of Title 2, The Congress. SUBCHAPTER II—OCTANE DISCLOSURE § 2821. Definitions As used in this subchapter: (1) The term ‘‘octane rating’’ means the rat- ing of the antiknock characteristics of a grade or type of automotive fuel as determined by dividing by 2 the sum of the research octane number plus the motor octane number, unless another procedure is prescribed under section 2823(c)(3) of this title, in which case such term means the rating of such characteristics as de- termined under the procedure so prescribed. (2) The terms ‘‘research octane number’’ and ‘‘motor octane number’’ have the meanings given such terms in the specifications of the American Society for Testing and Materials (ASTM) entitled ‘‘Standard Specification for Automotive Spark-Ignition Engine Fuel’’ des- ignated D4814 (as in effect on June 19, 1978) and, with respect to any grade or type of auto- motive gasoline, are determined in accordance with test methods set forth in ASTM standard test methods designated D 2699 and D 2700 (as in effect on such date). (3) The term ‘‘knock’’ means the combustion of a fuel spontaneously in localized areas of a cylinder of a spark-ignition engine, instead of the combustion of such fuel progressing from the spark. (4) The term ‘‘automotive fuel retailer’’ means any person who markets automotive fuel to the general public for ultimate con- sumption. (5) The term ‘‘refiner’’ means any person en- gaged in the production or importation of automotive fuel. (6) The term ‘‘automotive fuel’’ means liquid fuel of a type distributed for use as a fuel in any motor vehicle. (7) The term ‘‘motor vehicle’’ means any self-propelled four-wheeled vehicle, of less than 6,000 pounds gross vehicle weight, which is designed primarily for use on public streets, roads, and highways. (8) The term ‘‘new motor vehicle’’ means any motor vehicle the equitable or legal title to which has not previously been transferred to an ultimate purchaser. (9) The term ‘‘ultimate purchaser’’ means, with respect to any item, the first person who purchases such item for purposes other than resale. (10) The term ‘‘manufacturer’’ means any person who imports, manufactures, or assem- bles motor vehicles for sale. (11) The term ‘‘automotive fuel require- ment’’ means, with respect to automotive fuel for use in a motor vehicle or a class thereof, imported, manufactured, or assembled by a manufacturer, the minimum automotive fuel rating of such automotive fuel which such manufacturer recommends for the efficient op- eration of such motor vehicle, or a substantial portion of such class, without knocking. (12) The term ‘‘model year’’ means a manu- facturer’s annual production period (as deter- mined by the Federal Trade Commission) for motor vehicles or a class of motor vehicles. If a manufacturer has no annual production pe- riod, the term ‘‘model year’’ means the cal- endar year. (13) The term ‘‘commerce’’ means any trade, traffic, transportation, exchange, or other commerce— (A) between any State and any place out- side of such State; or (B) which affects any trade, transpor- tation, exchange, or other commerce de- scribed in subparagraph (A). (14) The term ‘‘State’’ means any State of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, Guam, and any other commonwealth, territory, or possession of the United States. (15) the 1 term ‘‘person’’, for purposes of ap- plying any provision of the Federal Trade Commission Act [15 U.S.C. 41 et seq.] with re- spect to any provision of the subchapter, in- cludes a partnership and a corporation. (16) The term ‘‘distributor’’ means any per- son who receives automotive fuel and distrib- utes such automotive fuel to another person other than the ultimate purchaser. (17) The term ‘‘automotive fuel rating’’ means— (A) the octane rating of an automotive spark-ignition engine fuel; and (B) if provided for by the Federal Trade Commission by rule, the cetane rating of diesel fuel oils; or (C) another form of rating determined by the Federal Trade Commission, after con- sultation with the American Society for Testing and Materials, to be more appro- priate to carry out the purposes of this sub- chapter with respect to the automotive fuel concerned. (18)(A) The term ‘‘cetane rating’’ means a measure, as indicated by a cetane index or ce- tane number, of the ignition quality of diesel fuel oil and of the influence of the diesel fuel oil on combustion roughness. (B) The term ‘‘cetane index’’ and the term ‘‘cetane number’’ have the meanings deter- mined in accordance with the test methods set forth in the American Society for Testing and Materials standard test methods— (i) designated D976 or D4737 in the case of cetane index; and (ii) designated D613 in the case of cetane number, (as in effect on October 24, 1992) and shall apply to any grade or type of diesel fuel oils defined in the specification of the American Society for Testing and Materials entitled ‘‘Standard Specification for Diesel Fuel Oils’’