§ 40-20-105 — Surplus parts inventory; credits

(a) Unless this section is specifically waived in writing
by the dealer, a supplier shall allow a dealer to periodically,
but no less than once every twelve (12) months, return a portion
of the dealer's surplus parts inventory for credit.
(b) The supplier shall notify the dealer of a time period
during which a dealer may submit the dealer's surplus parts list
and return inventory. A supplier may stagger return periods for
its dealers.
(c) If a supplier has not notified its dealer of a
specific time period for returning surplus parts within the
preceding twelve (12) month period, it shall allow the dealer to
return surplus parts within sixty (60) days of receiving the
dealer's request to make such return.
(d) A supplier shall allow surplus parts return on a
dollar value of parts equal to ten percent (10%) of the total
dollar value of all parts purchased by the dealer from the
supplier during either the twelve (12) month period immediately
preceding the supplier's notification to the dealer of the
supplier's return program or, if subsection (c) of this section
applies, the month the dealer makes a return request.
(e) The dealer may elect to return a dollar value of the
surplus parts equal to less than ten percent (10%) of the total
dollar value of the parts the dealer purchased during the
preceding twelve (12) months.
(f) A dealer may not return obsolete parts. However, a
dealer may return a part for credit if such part is found in the
supplier's current parts list or any superseded part that is not
the subject of the supplier's parts return program as of the
date of termination.
(g) A dealer shall return only new and unused parts to the
supplier of the parts.
(h) The minimum credit allowed for returned parts shall be
ninety-five percent (95%) of the net price as listed in the
supplier's current parts list as of the date that the supplier
provides notice of its return program or, if subsection (c) of
this section applies, the date that the dealer submits a request
for return.
(j) A supplier shall issue credit within ninety (90) days
after receiving a return part.
(k) Nothing in this section shall be construed to prevent
a supplier from charging back to the dealer's account amounts
previously paid or credited as a discounted incident to the
dealer's purchase of equipment.