Section 30-14-227 - Transfer or sale of a franchise - continuance of contracts(1) Unless otherwise prohibited under a franchise agreement and in the event of a transfer between a franchisee and a third party, the franchisor may not unilaterally alter existing contracts between the franchisor and the franchisee and the transferee. A violation of this section constitutes an unfair trade practice subject to a $10,000 fine for each violation.(2) This section does not apply to: (a) motorsports dealer contracts under Title 30, chapter 14, part 25;(b) new motor vehicle franchise agreements under Title 61, chapter 4; or(c) farm implement dealership agreements under Title 30, chapter 11.(3) For the purposes of this section, "franchise agreement" means a contract or agreement by which: (a) a franchisee is granted the right to engage in business under a marketing plan prescribed in substantial part by the franchisor;(b) the operation of the franchisee's business is substantially associated with the franchisor's trademark, trade name, logotype, or other commercial symbol or advertising designating the franchisor; and(c) the franchisee is required to pay, directly or indirectly, a fee for the right to operate under the agreement.Added by Laws 2021, Ch. 224,Sec. 1, eff. 10/1/2021, and applicable to franchise agreements entered into or renewed on or after 10/1/2021.