Fla. Stat. 686.606
Repurchase of inventory upon termination of dealer agreement


(1)

Whenever any dealer enters into a dealer agreement with a manufacturer, distributor, or wholesaler in which agreement the dealer agrees to maintain an inventory of outdoor power equipment or repair parts and the agreement is subsequently voluntarily or involuntarily terminated, the manufacturer, distributor, or wholesaler shall repurchase the inventory as provided in this section. However, the dealer may keep the inventory if he or she desires. If the dealer has any outstanding debts to the manufacturer, distributor, or wholesaler, then the repurchase amount may be credited to the dealer’s account.

(2)

If the dealer decides not to keep the inventory, the manufacturer, distributor, or wholesaler shall repurchase that inventory previously purchased from him or her and held by the dealer on the date of termination of the contract. The manufacturer, distributor, or wholesaler shall pay:One hundred percent of the actual dealer cost, including freight, of all new, unsold, undamaged, and complete outdoor power equipment or other items of such equipment which are resalable, less a reasonable allowance for depreciation due to usage by the dealer and deterioration directly attributable to weather conditions at the dealer’s location; andEighty-five percent of the current wholesale price of all new, unused, and undamaged repair parts and accessories which are listed in the manufacturer’s, distributor’s, or wholesaler’s current returnable parts list. The manufacturer, distributor, or wholesaler shall also pay the dealer 6 percent of the current wholesale price on all new, unused, and undamaged repair parts returned to cover the cost of handling, packing, and loading. However, the manufacturer, distributor, or wholesaler shall have the option of performing the handling, packing, and loading in lieu of paying the 6-percent sum imposed in this subsection for these services; and, in this event, after receipt by the dealer of the full repurchase amount as provided in this section, the dealer shall make available to the manufacturer, distributor, or wholesaler, at the dealer’s address or at the places at which the outdoor power equipment is located, all outdoor power equipment previously purchased by the dealer.

(a)

One hundred percent of the actual dealer cost, including freight, of all new, unsold, undamaged, and complete outdoor power equipment or other items of such equipment which are resalable, less a reasonable allowance for depreciation due to usage by the dealer and deterioration directly attributable to weather conditions at the dealer’s location; and

(b)

Eighty-five percent of the current wholesale price of all new, unused, and undamaged repair parts and accessories which are listed in the manufacturer’s, distributor’s, or wholesaler’s current returnable parts list. The manufacturer, distributor, or wholesaler shall also pay the dealer 6 percent of the current wholesale price on all new, unused, and undamaged repair parts returned to cover the cost of handling, packing, and loading. However, the manufacturer, distributor, or wholesaler shall have the option of performing the handling, packing, and loading in lieu of paying the 6-percent sum imposed in this subsection for these services; and, in this event, after receipt by the dealer of the full repurchase amount as provided in this section, the dealer shall make available to the manufacturer, distributor, or wholesaler, at the dealer’s address or at the places at which the outdoor power equipment is located, all outdoor power equipment previously purchased by the dealer.

(3)

Upon payment within a reasonable time of the repurchase amount to the dealer, the title and right of possession to the repurchased inventory shall transfer or be transferred to the manufacturer, distributor, or wholesaler, as the case may be.

(4)

The provisions of this section do not require the repurchase from a dealer of:Any repair part which has a limited storage life or is otherwise subject to deterioration.Any single repair part which is priced as a set of two or more items.Any repair part which because of its condition is not resalable as a new part without repackaging or reconditioning.Any inventory for which the dealer is unable to furnish evidence, reasonably satisfactory to the manufacturer, distributor, or wholesaler, of good title, free and clear of all claims, liens, and encumbrances.Any inventory which the dealer desires to keep, if the dealer has a contractual right to keep it.Any outdoor power equipment or item of such equipment which is not in new, unused, undamaged, and complete condition.Any outdoor power equipment or item of such equipment which has been used by the dealer or has deteriorated because of weather conditions at the dealer’s location unless the manufacturer, distributor, or wholesaler receives a reasonable allowance for such usage or deterioration.Any repair parts which are not in new, unused, and undamaged condition.Any inventory which was ordered by the dealer on or after the date of receipt of the notification of termination of the dealer agreement.Any inventory which was acquired by the dealer from any source other than the manufacturer, distributor, or wholesaler.

(a)

Any repair part which has a limited storage life or is otherwise subject to deterioration.

(b)

Any single repair part which is priced as a set of two or more items.

(c)

Any repair part which because of its condition is not resalable as a new part without repackaging or reconditioning.

(d)

Any inventory for which the dealer is unable to furnish evidence, reasonably satisfactory to the manufacturer, distributor, or wholesaler, of good title, free and clear of all claims, liens, and encumbrances.

(e)

Any inventory which the dealer desires to keep, if the dealer has a contractual right to keep it.

(f)

Any outdoor power equipment or item of such equipment which is not in new, unused, undamaged, and complete condition.

(g)

Any outdoor power equipment or item of such equipment which has been used by the dealer or has deteriorated because of weather conditions at the dealer’s location unless the manufacturer, distributor, or wholesaler receives a reasonable allowance for such usage or deterioration.

(h)

Any repair parts which are not in new, unused, and undamaged condition.

(i)

Any inventory which was ordered by the dealer on or after the date of receipt of the notification of termination of the dealer agreement.

(j)

Any inventory which was acquired by the dealer from any source other than the manufacturer, distributor, or wholesaler.

(5)

If any manufacturer, distributor, or wholesaler fails or refuses to repurchase any inventory covered under the provisions of this section within 60 days after termination of a dealer’s contract, he or she is civilly liable for 100 percent of the current wholesale price of the inventory plus any freight charges paid by the dealer, the dealer’s reasonable attorney’s fees, court costs, and interest on the current wholesale price computed at the legal interest rate provided in s. 687.01 from the 61st day after termination.

Source: Section 686.606 — Repurchase of inventory upon termination of dealer agreement, https://www.­flsenate.­gov/Laws/Statutes/2024/0686.­606 (accessed Aug. 7, 2025).

686.30
Contract agreements for repair parts for motor vehicles and trucks
686.40
Agricultural Equipment Manufacturers and Dealers Act
686.41
Indemnification of dealer with respect to legal actions
686.60
Short title
686.401
Legislative finding and intent
686.402
Definitions of terms used in ss
686.403
Application of ss
686.405
Warranty agreements
686.406
Parts
686.407
Repurchase of inventory upon termination of franchise agreement
686.408
Repurchase of inventory upon death or incapacity of dealer
686.409
Compensation for inventory upon refusal to renew, termination of, or restriction on transfer of a franchise
686.413
Unlawful acts and practices
686.415
Unenforceable contract or franchise agreement
686.417
Remedies
686.418
Effect of act on other remedies
686.501
Definitions
686.502
Consignment relationship
686.503
Contract provisions
686.504
Warranties by art dealers
686.505
Construction of language
686.506
Rights and liabilities, additional
686.601
Legislative finding and intent
686.602
Definitions of terms used in ss
686.603
Application
686.604
Warranty agreements
686.605
Parts
686.606
Repurchase of inventory upon termination of dealer agreement
686.607
Repurchase of inventory upon death or incapacity of dealer
686.608
Compensation for inventory upon refusal to renew, termination of, or restriction on transfer of a dealer agreement
686.609
Indemnification of dealer with respect to legal actions
686.611
Unlawful acts and practices
686.612
Unenforceable contract or agreement
686.613
Remedies
686.614
Effect of act on other remedies
686.701
Reimbursement of federal excise taxes on motor fuel

Current through Fall 2025

§ 686.606. Repurchase of inventory upon termination of dealer agreement's source at flsenate​.gov