21 Del. C. § 8703: Written agreements and designated territories.

(a) A manufacturer or distributor may not sell any new recreational equipment in this State to or through a new recreational equipment dealer without having first entered into a written and signed manufacturer-dealer agreement with a new recreational equipment dealer.

(b) A manufacturer or distributor must designate the area of sales responsibility exclusively assigned to a new recreational equipment dealer in a manufacturer-dealer agreement and may not change the area or contract with another new recreational equipment dealer for the sale of the same line-make in the designated area during the duration of the agreement.

(c) The area of sales responsibility may not be reviewed or changed without the consent of both parties for 1 year after the execution of the manufacturer-dealer agreement.

(d) Except as provided in subsection (e) of this section, a new recreational equipment dealer may not sell any new recreational equipment in this State without having first entered into a manufacturer-dealer agreement with a manufacturer or distributor which has been signed by both parties.

(e) A new recreational equipment dealer may not be prohibited from selling a particular line-make after a manufacturer-dealer agreement has been terminated or not renewed under § 8704 of this title, if new recreational equipment of the terminated line-make is not returned or required to be returned to the manufacturer. The new recreational equipment dealer may continue to sell all line-makes that were subject to the manufacturer-dealer agreement and are currently in stock until those line-makes are no longer in the new recreational equipment dealer’s inventory.

(f) A manufacturer must specify in writing to each of its new recreational equipment dealers licensed in this State the dealer’s obligations for predelivery preparation, manufacturer-sponsored maintenance programs, manufacturer extended warranty, certified pre-owned warranty, manufacturer-issued service contracts, parts exchange programs, recall, and warranted service on its products.

(g) A manufacturer must compensate the new recreational equipment dealer for such service required of the dealer by the manufacturer and provide the dealer with a schedule of compensation to be paid such dealer for parts, work, and services in connection therewith, and the time allowance for the performance of such work and service.