KRS 365.830: Repurchase of inventory upon death of retailer or majority owner --

Option of heirs -- Previous agreements of succession rights.

(1) In the event of the death of a retailer or the majority owner of the equity interests of

the entity operating as a ret ailer, the supplier shall, at the option of the heirs of the

retailer or the majority owner, repurchase the inventory from the heirs as if the

supplier had terminated the retail agreement contract. The heirs shall have one (1)

year from the date of the dea th of the retailer or majority owner to exercise their

option regarding the repurchase. No repurchase of any inventory shall be required if

the heirs and the supplier enter into a new retail agreement contract to operate the

retail dealership. As used in t his section, "heir" means a spouse, child, son -in-law,

daughter-in-law, or lineal descendant of the retailer or majority owner of the

dealership.

(2) A supplier shall have ninety (90) days in which to consider and make a

determination on a request by an heir to enter into a new retail agreement contract to

operate the retail dealership. In the event the supplier determines that the request is

not acceptable, the supplier shall provide the heir with a written notice of its

determination with the stated reaso ns for nonacceptance. This section does not

entitle an heir to operate a dealership without the specific written consent of the

supplier.

(3) If a supplier and a retailer or majority owner of the equity interests of the entity

operating as a retailer have previously executed an agreement concerning

succession rights prior to the retailer's or majority owner's death, and if the

agreement had not been revoked, the agreement shall be observed even if it

designates someone other than the surviving heirs of the decedent as the successor.