{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/59.1-21.11.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/59.1-21.11.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/59.1-21.11.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/59.1-21.11.html"}],"law_id":372811,"edition_id":2,"section_id":372811,"structure_id":53040,"section_number":"59.1-21.11","catch_line":"Required provisions pertaining to agreements between refiners and dealers","history":"1973, c. 423; 1979, c. 306; 1982, c. 350; 1985, c. 498; 1987, c. 535; 1990, c. 907; 1991, c. 199.","full_text":"Every agreement between a refiner and a dealer shall be subject to the following provisions, whether or not expressly set forth therein:\n\n1\n\nThe dealer shall not be required to keep his retail outlet open for business for more than sixteen consecutive hours per day, nor more than six days per week. This subdivision shall not be construed to prevent any retail outlet being open when required to be open to conform to any local, state or federal law or regulation, nor shall this subdivision be construed to prevent any retail outlet from being open for business for more than sixteen consecutive hours per day or more than six days per week when the dealer determines that market conditions warrant such operation. This subdivision shall not apply to retail outlets which participate in the travel services signing program of the Virginia Department of Transportation.\n\n2\n\nThe right of either party to trial by jury or to the interposition of counterclaims or cross claims shall not be waived.\n\n3\n\nIn the absence of any express agreement, the dealer shall not be required to participate financially in the use of any premium, coupon, give-away, or rebate in the operation of a retail outlet. The refiner may require the dealer to distribute to customers premiums, coupons, or give-aways which are furnished to the dealer at the expense of the refiner.\n\n4\n\nNo agreement or franchise subject to the provisions of this chapter shall limit, restrict, or impair the number of retail outlets which an individual dealer may operate for the same refiner, nor may any agreement or franchise establish working hours for the dealer. However, an agreement or franchise may require the dealer to be involved in the operation of the business of the dealer’s retail outlet or retail outlets for not more than an average of sixty hours per month. Notwithstanding the provisions of this subdivision, a refiner may impose a requirement in a trial franchise only, that a dealer be on the marketing premises of the dealer’s retail outlet or retail outlets for a reasonable number of hours per week not to exceed twenty hours per week.\n\n5\n\nNo transfer or assignment of a franchise by a dealer to a qualified transferee or assignee shall be unreasonably disapproved by the refiner. A refiner shall have forty-five days, after the date of submission by a proposed transferee or assignee of all personal and financial information required by the refiner’s reasonable and uniform standards, within which to notify a dealer in writing that a proposed transferee or assignee meets or fails to meet the refiner’s reasonable and uniform qualifications. If the proposed transferee or assignee fails to meet the refiner’s reasonable and normal qualifications, the notice to the dealer shall state with specificity the reasons for such failure.\n\n6\n\nThe term of the initial agreement between the refiner and the dealer relating to specific marketing premises shall not be less than one year; the term of all subsequent agreements between the refiner and the dealer, relating to the same marketing premises, shall not be for less than three years. The rental provisions in any such agreement or franchise shall be based on commercially fair and reasonable standards, uniformly applied to all similarly situated dealers of the same refiner in the same geographic area.\n\n7\n\nA refiner may require a dealer to pay a fee or charge for the privilege of honoring a credit card issued by the refiner and used by customers of the dealer in purchasing at retail products and services at retail outlets which bear the brand name or trademark of the refiner only if such refiner has deducted the cost of extending retail credit from the tankwagon price charged dealers, has notified the dealer in writing of such deduction and such fee is a part of a program designed (i) to induce retail purchases for cash or (ii) to separate the cost of extending retail credit from the tankwagon price paid by the dealer. The amount of any such fee or charge shall be directly related to the actual cost incurred by the refiner in the extension of retail credit. Notwithstanding the provisions of subsection A of § 59.1-21.12, any refiner who violates the provisions of this subdivision shall be civilly liable for damages in treble the amount of the damages sustained by the complaining party as a result of the violation.\n\n8\n\nA dealer shall have the right, effective upon his death, permanent and total disability, or retirement, to have his interests under a franchise agreement with a refiner assigned to a designated family member who has been approved by the refiner in accordance with the refiner’s reasonable and uniform standards for personal and financial condition unless the refiner shows that the designated family member no longer meets the reasonable and uniform standards at the time of the previous approval. All franchise agreements shall contain a provision identifying the designated family member who is entitled to succeed to the interests of the dealer under the agreement upon his death, permanent and total disability, or retirement. The foregoing shall not prohibit a refiner from requiring that the designated family member accept a trial franchise within twenty-one days of the dealer’s death, permanent and total disability, or retirement and that the designated family member attend a training program offered by the refiner.\n\t\t\tA dealer and the refiner may mutually agree to change the designated family member entitled to succeed to the dealer’s interests under a franchise agreement. The designated family member shall provide, upon the request of the refiner, personal and financial information that is reasonably necessary to determine whether the succession should be honored. The refiner shall not be obligated to accept a designated family member under this subdivision who does not meet the reasonable and uniform standards uniformly imposed by the refiner; however, any refusal to accept the designated family member as a successor dealer shall be given by the refiner in writing to the dealer, not later than ninety days after the date of the designation of the designated family member by the dealer, and shall state with specificity the reasons for such refusal.\n\n9\n\na. No refiner shall condition approval of an assignment, transfer, sale, or renewal of a franchise agreement on the payment by the dealer, or the proposed successor dealer, of a franchise fee or penalty unless the assignment, transfer, or sale is of a franchise agreement covering a new or newly remodeled facility.\n\t\t\tb. A refiner may require a dealer to pay a franchise fee or penalty, as hereinafter provided, upon the assignment, transfer, or sale of a franchise agreement covering a new facility within the first three years of the initial term of the franchise agreement, or upon the assignment, transfer or sale of a franchise agreement covering a newly remodeled facility within the first three years after the completion of the remodeling:\n\n1\n\nAn amount not to exceed sixty percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the first twelve-month period.\n\n2\n\nAn amount not to exceed twenty-five percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the second twelve-month period.\n\n3\n\nAn amount not to exceed ten percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the third twelve-month period.\n\t\t\t\tc. Nothing in this section shall authorize a refiner to impose a franchise fee or penalty upon an assignment, transfer, or sale to a family member pursuant to subdivision 8 of this section.\n\n\t\t\t\td. In the case of a new facility, a franchise fee may be charged at the time the first franchise agreement is entered into.\n\n10\n\nAny provision in any agreement or franchise purporting to waive any right or remedy under this chapter or any applicable provisions of the Petroleum Marketing Practices Act (15 U.S.C. § 2802 et seq.) shall be null and void.\n\n","order_by":null,"text":{"0":{"id":1390338,"text":"Every agreement between a refiner and a dealer shall be subject to the following provisions, whether or not expressly set forth therein:","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1,"next_prefix":"1"},"1":{"id":1390339,"text":"The dealer shall not be required to keep his retail outlet open for business for more than sixteen consecutive hours per day, nor more than six days per week. This subdivision shall not be construed to prevent any retail outlet being open when required to be open to conform to any local, state or federal law or regulation, nor shall this subdivision be construed to prevent any retail outlet from being open for business for more than sixteen consecutive hours per day or more than six days per week when the dealer determines that market conditions warrant such operation. This subdivision shall not apply to retail outlets which participate in the travel services signing program of the Virginia Department of Transportation.","type":"section","prefixes":["1"],"prefix":"1","entire_prefix":"1","prefix_anchor":"1","level":1,"prior_prefix":"","next_prefix":"2"},"2":{"id":1390340,"text":"The right of either party to trial by jury or to the interposition of counterclaims or cross claims shall not be waived.","type":"section","prefixes":["2"],"prefix":"2","entire_prefix":"2","prefix_anchor":"2","level":1,"prior_prefix":"1","next_prefix":"3"},"3":{"id":1390341,"text":"In the absence of any express agreement, the dealer shall not be required to participate financially in the use of any premium, coupon, give-away, or rebate in the operation of a retail outlet. The refiner may require the dealer to distribute to customers premiums, coupons, or give-aways which are furnished to the dealer at the expense of the refiner.","type":"section","prefixes":["3"],"prefix":"3","entire_prefix":"3","prefix_anchor":"3","level":1,"prior_prefix":"2","next_prefix":"4"},"4":{"id":1390342,"text":"No agreement or franchise subject to the provisions of this chapter shall limit, restrict, or impair the number of retail outlets which an individual dealer may operate for the same refiner, nor may any agreement or franchise establish working hours for the dealer. However, an agreement or franchise may require the dealer to be involved in the operation of the business of the dealer’s retail outlet or retail outlets for not more than an average of sixty hours per month. Notwithstanding the provisions of this subdivision, a refiner may impose a requirement in a trial franchise only, that a dealer be on the marketing premises of the dealer’s retail outlet or retail outlets for a reasonable number of hours per week not to exceed twenty hours per week.","type":"section","prefixes":["4"],"prefix":"4","entire_prefix":"4","prefix_anchor":"4","level":1,"prior_prefix":"3","next_prefix":"5"},"5":{"id":1390343,"text":"No transfer or assignment of a franchise by a dealer to a qualified transferee or assignee shall be unreasonably disapproved by the refiner. A refiner shall have forty-five days, after the date of submission by a proposed transferee or assignee of all personal and financial information required by the refiner’s reasonable and uniform standards, within which to notify a dealer in writing that a proposed transferee or assignee meets or fails to meet the refiner’s reasonable and uniform qualifications. If the proposed transferee or assignee fails to meet the refiner’s reasonable and normal qualifications, the notice to the dealer shall state with specificity the reasons for such failure.","type":"section","prefixes":["5"],"prefix":"5","entire_prefix":"5","prefix_anchor":"5","level":1,"prior_prefix":"4","next_prefix":"6"},"6":{"id":1390344,"text":"The term of the initial agreement between the refiner and the dealer relating to specific marketing premises shall not be less than one year; the term of all subsequent agreements between the refiner and the dealer, relating to the same marketing premises, shall not be for less than three years. The rental provisions in any such agreement or franchise shall be based on commercially fair and reasonable standards, uniformly applied to all similarly situated dealers of the same refiner in the same geographic area.","type":"section","prefixes":["6"],"prefix":"6","entire_prefix":"6","prefix_anchor":"6","level":1,"prior_prefix":"5","next_prefix":"7"},"7":{"id":1390345,"text":"A refiner may require a dealer to pay a fee or charge for the privilege of honoring a credit card issued by the refiner and used by customers of the dealer in purchasing at retail products and services at retail outlets which bear the brand name or trademark of the refiner only if such refiner has deducted the cost of extending retail credit from the tankwagon price charged dealers, has notified the dealer in writing of such deduction and such fee is a part of a program designed (i) to induce retail purchases for cash or (ii) to separate the cost of extending retail credit from the tankwagon price paid by the dealer. The amount of any such fee or charge shall be directly related to the actual cost incurred by the refiner in the extension of retail credit. Notwithstanding the provisions of subsection A of § 59.1-21.12, any refiner who violates the provisions of this subdivision shall be civilly liable for damages in treble the amount of the damages sustained by the complaining party as a result of the violation.","type":"section","prefixes":["7"],"prefix":"7","entire_prefix":"7","prefix_anchor":"7","level":1,"prior_prefix":"6","next_prefix":"8"},"8":{"id":1390346,"text":"A dealer shall have the right, effective upon his death, permanent and total disability, or retirement, to have his interests under a franchise agreement with a refiner assigned to a designated family member who has been approved by the refiner in accordance with the refiner’s reasonable and uniform standards for personal and financial condition unless the refiner shows that the designated family member no longer meets the reasonable and uniform standards at the time of the previous approval. All franchise agreements shall contain a provision identifying the designated family member who is entitled to succeed to the interests of the dealer under the agreement upon his death, permanent and total disability, or retirement. The foregoing shall not prohibit a refiner from requiring that the designated family member accept a trial franchise within twenty-one days of the dealer’s death, permanent and total disability, or retirement and that the designated family member attend a training program offered by the refiner.\n\t\t\tA dealer and the refiner may mutually agree to change the designated family member entitled to succeed to the dealer’s interests under a franchise agreement. The designated family member shall provide, upon the request of the refiner, personal and financial information that is reasonably necessary to determine whether the succession should be honored. The refiner shall not be obligated to accept a designated family member under this subdivision who does not meet the reasonable and uniform standards uniformly imposed by the refiner; however, any refusal to accept the designated family member as a successor dealer shall be given by the refiner in writing to the dealer, not later than ninety days after the date of the designation of the designated family member by the dealer, and shall state with specificity the reasons for such refusal.","type":"section","prefixes":["8"],"prefix":"8","entire_prefix":"8","prefix_anchor":"8","level":1,"prior_prefix":"7","next_prefix":"9"},"9":{"id":1390347,"text":"a. No refiner shall condition approval of an assignment, transfer, sale, or renewal of a franchise agreement on the payment by the dealer, or the proposed successor dealer, of a franchise fee or penalty unless the assignment, transfer, or sale is of a franchise agreement covering a new or newly remodeled facility.\n\t\t\tb. A refiner may require a dealer to pay a franchise fee or penalty, as hereinafter provided, upon the assignment, transfer, or sale of a franchise agreement covering a new facility within the first three years of the initial term of the franchise agreement, or upon the assignment, transfer or sale of a franchise agreement covering a newly remodeled facility within the first three years after the completion of the remodeling:","type":"section","prefixes":["9"],"prefix":"9","entire_prefix":"9","prefix_anchor":"9","level":1,"prior_prefix":"8","next_prefix":"91"},"10":{"id":1390348,"text":"An amount not to exceed sixty percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the first twelve-month period.","type":"section","prefixes":["9","1"],"prefix":"1","entire_prefix":"91","prefix_anchor":"91","level":2,"prior_prefix":"9","next_prefix":"92"},"11":{"id":1390349,"text":"An amount not to exceed twenty-five percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the second twelve-month period.","type":"section","prefixes":["9","2"],"prefix":"2","entire_prefix":"92","prefix_anchor":"92","level":2,"prior_prefix":"91","next_prefix":"93"},"12":{"id":1390350,"text":"An amount not to exceed ten percent of the profit realized by the dealer if the assignment, transfer, or sale takes place within the third twelve-month period.\n\t\t\t\tc. Nothing in this section shall authorize a refiner to impose a franchise fee or penalty upon an assignment, transfer, or sale to a family member pursuant to subdivision 8 of this section.\t\t\t\td. In the case of a new facility, a franchise fee may be charged at the time the first franchise agreement is entered into.","type":"section","prefixes":["9","3"],"prefix":"3","entire_prefix":"93","prefix_anchor":"93","level":2,"prior_prefix":"92","next_prefix":"10"},"13":{"id":1390351,"text":"Any provision in any agreement or franchise purporting to waive any right or remedy under this chapter or any applicable provisions of the Petroleum Marketing Practices Act (15 U.S.C. § 2802 et seq.) shall be null and void.","type":"section","prefixes":["10"],"prefix":"10","entire_prefix":"10","prefix_anchor":"10","level":1,"prior_prefix":"93"}},"ancestry":[{"id":53040,"edition_id":2,"name":"Virginia Petroleum Products Franchise Act","identifier":"2.2","label":"chapter","depth":2,"order_by":5,"parent_id":53010,"metadata":{"child_laws":18,"child_structures":0},"date_created":"2026-08-02 03:10:12","date_modified":"2026-08-02 12:36:20","permalink":{"id":1487157,"object_type":"structure","relational_id":53040,"identifier":"2.2","token":"59.1\/2.2","url":"\/59.1\/2.2\/","edition_id":2,"permalink":0,"preferred":1}},{"id":53010,"edition_id":2,"name":"Trade and Commerce","identifier":"59.1","label":"title","depth":1,"order_by":127,"parent_id":null,"metadata":{"child_laws":861,"child_structures":141},"date_created":"2026-08-02 03:09:52","date_modified":"2026-08-02 12:36:19","permalink":{"id":1486523,"object_type":"structure","relational_id":53010,"identifier":"59.1","token":"59.1","url":"\/59.1\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":372810,"structure_id":53040,"section_number":"59.1-21.10","catch_line":"Definitions","url":"\/59.1-21.10\/","token":"59.1\/2.2\/59.1-21.10","metadata":false},{"id":372811,"structure_id":53040,"section_number":"59.1-21.11","catch_line":"Required provisions pertaining to agreements between refiners and dealers","url":"\/59.1-21.11\/","token":"59.1\/2.2\/59.1-21.11","metadata":false},{"id":372812,"structure_id":53040,"section_number":"59.1-21.11:1","catch_line":"Waiver of constitutional rights prohibited","url":"\/59.1-21.11_1\/","token":"59.1\/2.2\/59.1-21.11_1","metadata":false},{"id":372813,"structure_id":53040,"section_number":"59.1-21.11:2","catch_line":"Required provisions pertaining to agreements between jobber\/distributors and dealers","url":"\/59.1-21.11_2\/","token":"59.1\/2.2\/59.1-21.11_2","metadata":false},{"id":372814,"structure_id":53040,"section_number":"59.1-21.12","catch_line":"Civil action for violation of chapter","url":"\/59.1-21.12\/","token":"59.1\/2.2\/59.1-21.12","metadata":false},{"id":372815,"structure_id":53040,"section_number":"59.1-21.13","catch_line":"Obligation of refiner to repurchase upon termination, etc., of agreement","url":"\/59.1-21.13\/","token":"59.1\/2.2\/59.1-21.13","metadata":false},{"id":372816,"structure_id":53040,"section_number":"59.1-21.14","catch_line":"Producer or refiner not to terminate, etc., agreement without notice and reasonable cause; nonrenewal by franchisor","url":"\/59.1-21.14\/","token":"59.1\/2.2\/59.1-21.14","metadata":false},{"id":372817,"structure_id":53040,"section_number":"59.1-21.15","catch_line":"Disclosures to be made by refiner before conclusion of agreement","url":"\/59.1-21.15\/","token":"59.1\/2.2\/59.1-21.15","metadata":false},{"id":372818,"structure_id":53040,"section_number":"59.1-21.15:1","catch_line":"Continued rights of dealers upon sale or assignment of franchise agreement","url":"\/59.1-21.15_1\/","token":"59.1\/2.2\/59.1-21.15_1","metadata":false},{"id":372819,"structure_id":53040,"section_number":"59.1-21.15:2","catch_line":"Franchisor's obligation to offer leased marketing premises to occupying dealer","url":"\/59.1-21.15_2\/","token":"59.1\/2.2\/59.1-21.15_2","metadata":false},{"id":372820,"structure_id":53040,"section_number":"59.1-21.16","catch_line":"Authority of Attorney General under \u00a7 59.1-68.2 not limited","url":"\/59.1-21.16\/","token":"59.1\/2.2\/59.1-21.16","metadata":false},{"id":372821,"structure_id":53040,"section_number":"59.1-21.16:1","catch_line":"Expired","url":"\/59.1-21.16_1\/","token":"59.1\/2.2\/59.1-21.16_1","metadata":false},{"id":372822,"structure_id":53040,"section_number":"59.1-21.16:2","catch_line":"Operation of retail outlet by refiner; apportionment of fuels during periods of shortage; rules and regulations","url":"\/59.1-21.16_2\/","token":"59.1\/2.2\/59.1-21.16_2","metadata":false},{"id":372823,"structure_id":53040,"section_number":"59.1-21.17","catch_line":"Effective date of chapter","url":"\/59.1-21.17\/","token":"59.1\/2.2\/59.1-21.17","metadata":false},{"id":372824,"structure_id":53040,"section_number":"59.1-21.18","catch_line":"Repealed","url":"\/59.1-21.18\/","token":"59.1\/2.2\/59.1-21.18","metadata":false},{"id":372825,"structure_id":53040,"section_number":"59.1-21.18:1","catch_line":"Exclusions","url":"\/59.1-21.18_1\/","token":"59.1\/2.2\/59.1-21.18_1","metadata":false},{"id":372837,"structure_id":53040,"section_number":"59.1-21.8","catch_line":"Short title","url":"\/59.1-21.8\/","token":"59.1\/2.2\/59.1-21.8","metadata":false},{"id":372838,"structure_id":53040,"section_number":"59.1-21.9","catch_line":"Findings of General Assembly","url":"\/59.1-21.9\/","token":"59.1\/2.2\/59.1-21.9","metadata":false}],"previous_section":{"id":372810,"structure_id":53040,"section_number":"59.1-21.10","catch_line":"Definitions","url":"\/59.1-21.10\/","token":"59.1\/2.2\/59.1-21.10","metadata":false},"next_section":{"id":372812,"structure_id":53040,"section_number":"59.1-21.11:1","catch_line":"Waiver of constitutional rights prohibited","url":"\/59.1-21.11_1\/","token":"59.1\/2.2\/59.1-21.11_1","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/59.1-21.11\/","history_text":"

This law was first created in 1973. The record of its establishment is cataloged in chapter 423 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1973 \u201cActs\u201d aren\u2019t available online. It has been modified 6 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1979, chapter 306; in 1982, chapter 350; in 1985, chapter 498; in 1987, chapter 535; in 1990, chapter 907; in 1991, chapter 199.<\/p>","references":[{"id":372814,"section_number":"59.1-21.12","catch_line":"Civil action for violation of chapter","order_by":null,"url":"\/59.1-21.12\/"}],"refers_to":[{"id":372814,"section_number":"59.1-21.12","catch_line":"Civil action for violation of chapter","order_by":null,"url":"\/59.1-21.12\/"}],"permalink":{"id":1487163,"object_type":"law","relational_id":372811,"identifier":"59.1-21.11","token":"59.1\/2.2\/59.1-21.11","url":"\/59.1-21.11\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/59.1-21.11\/","token":"59.1\/2.2\/59.1-21.11","dublin_core":{"Title":"Required provisions pertaining to agreements between refiners and dealers","Type":"Text","Format":"text\/html","Identifier":"\u00a7 59.1-21.11","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

Every agreement between a refiner<\/span> and a dealer<\/span> shall be subject to the following provisions, whether or not expressly set forth therein:<\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The dealer<\/span> shall not be required to keep his retail<\/span> outlet open for business for more than sixteen consecutive hours per day, nor more than six days per week. This subdivision shall not be construed to prevent any retail<\/span> outlet being open when required to be open to conform to any local, state or federal law<\/span> or regulation, nor shall this subdivision be construed to prevent any retail<\/span> outlet from being open for business for more than sixteen consecutive hours per day or more than six days per week when the dealer<\/span> determines that market conditions warrant such operation. This subdivision shall not apply to retail<\/span> outlets which participate in the travel services signing program of the Virginia Department of Transportation. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The right of either party<\/span> to trial<\/span> by jury<\/span> or to the interposition of counterclaims<\/span> or cross claims shall not be waived. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> In the absence of any express agreement, the dealer<\/span> shall not be required to participate financially in the use of any premium, coupon, give-away, or rebate in the operation of a retail outlet<\/span>. The refiner<\/span> may require the dealer<\/span> to distribute to customers premiums, coupons, or give-aways which are furnished to the dealer<\/span> at the expense of the refiner<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> No agreement or franchise subject to the provisions of this chapter shall limit, restrict, or impair the number of retail outlets which an individual dealer<\/span> may operate for the same refiner<\/span>, nor may any agreement or franchise establish working hours for the dealer<\/span>. However, an agreement or franchise may require the dealer<\/span> to be involved in the operation of the business of the dealer<\/span>’s retail outlet or retail outlets for not more than an average of sixty hours per month. Notwithstanding the provisions of this subdivision, a refiner<\/span> may impose a requirement in a trial franchise<\/span> only, that a dealer<\/span> be on the marketing premises of the dealer<\/span>’s retail outlet or retail outlets for a reasonable number of hours per week not to exceed twenty hours per week. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> No transfer or assignment of a franchise by a dealer<\/span> to a qualified transferee or assignee shall be unreasonably disapproved by the refiner<\/span>. A refiner<\/span> shall have forty-five days, after the date of submission by a proposed transferee or assignee of all personal and financial information required by the refiner<\/span>’s reasonable and uniform standards, within which to notify a dealer<\/span> in writing that a proposed transferee or assignee meets or fails to meet the refiner<\/span>’s reasonable and uniform qualifications. If the proposed transferee or assignee fails to meet the refiner<\/span>’s reasonable and normal qualifications, the notice to the dealer<\/span> shall state with specificity the reasons for such failure. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

6.<\/span> The term of the initial agreement between the refiner<\/span> and the dealer<\/span> relating to specific marketing premises shall not be less than one year; the term of all subsequent agreements between the refiner<\/span> and the dealer<\/span>, relating to the same marketing premises, shall not be for less than three years. The rental provisions in any such agreement or franchise shall be based on commercially fair and reasonable standards, uniformly applied to all similarly situated dealers<\/span> of the same refiner<\/span> in the same geographic area. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

7.<\/span> A refiner<\/span> may require a dealer<\/span> to pay a fee or charge for the privilege<\/span> of honoring a credit card issued by the refiner<\/span> and used by customers of the dealer<\/span> in purchasing at retail products and services at retail outlets which bear the brand name or trademark of the refiner<\/span> only if such refiner<\/span> has deducted the cost of extending retail credit from the tankwagon price charged dealers<\/span>, has notified the dealer<\/span> in writing of such deduction and such fee is a part of a program designed (i) to induce retail purchases for cash or (ii) to separate the cost of extending retail credit from the tankwagon price paid by the dealer<\/span>. The amount of any such fee or charge shall be directly related to the actual cost incurred by the refiner<\/span> in the extension of retail credit. Notwithstanding the provisions of subsection A of § 59.1-21.12<\/a>, any refiner<\/span> who violates the provisions of this subdivision shall be civilly liable for damages<\/span> in treble the amount of the damages<\/span> sustained by the complaining party<\/span> as a result of the violation. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

8.<\/span> A dealer<\/span> shall have the right, effective upon his death, permanent and total disability, or retirement, to have his interests under a franchise agreement<\/span> with a refiner<\/span> assigned to a designated family member<\/span> who has been approved by the refiner<\/span> in accordance with the refiner<\/span>’s reasonable and uniform standards for personal and financial condition unless the refiner<\/span> shows that the designated family member<\/span> no longer meets the reasonable and uniform standards at the time of the previous approval. All franchise agreements<\/span> shall contain a provision identifying the designated family member<\/span> who is entitled to succeed to the interests of the dealer<\/span> under the agreement upon his death, permanent and total disability, or retirement. The foregoing shall not prohibit a refiner<\/span> from requiring that the designated family member<\/span> accept a trial franchise<\/span> within twenty-one days of the dealer<\/span>’s death, permanent and total disability, or retirement and that the designated family member<\/span> attend a training program offered by the refiner<\/span>.\n\t\t\tA dealer<\/span> and the refiner<\/span> may mutually agree to change the designated family member<\/span> entitled to succeed to the dealer<\/span>’s interests under a franchise agreement<\/span>. The designated family member<\/span> shall provide, upon the request of the refiner<\/span>, personal and financial information that is reasonably necessary to determine whether the succession should be honored. The refiner<\/span> shall not be obligated to accept a designated family member<\/span> under this subdivision who does not meet the reasonable and uniform standards uniformly imposed by the refiner<\/span>; however, any refusal to accept the designated family member<\/span> as a successor dealer<\/span> shall be given by the refiner<\/span> in writing to the dealer<\/span>, not later than ninety days after the date of the designation of the designated family member<\/span> by the dealer<\/span>, and shall state with specificity the reasons for such refusal. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

9.<\/span> a. No refiner<\/span> shall condition approval of an assignment, transfer, sale, or renewal of a franchise agreement<\/span> on the payment by the dealer<\/span>, or the proposed successor dealer<\/span>, of a franchise fee<\/span> or penalty<\/span> unless the assignment, transfer, or sale is of a franchise agreement<\/span> covering a new or newly remodeled facility<\/span>.\n\t\t\tb. A refiner<\/span> may require a dealer<\/span> to pay a franchise fee<\/span> or penalty<\/span>, as hereinafter provided, upon the assignment, transfer, or sale of a franchise agreement<\/span> covering a new facility within the first three years of the initial term of the franchise agreement<\/span>, or upon the assignment, transfer or sale of a franchise agreement<\/span> covering a newly remodeled facility<\/span> within the first three years after the completion of the remodeling: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> An amount not to exceed sixty percent of the profit<\/span> realized by the dealer<\/span> if the assignment, transfer, or sale takes place within the first twelve-month period. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> An amount not to exceed twenty-five percent of the profit<\/span> realized by the dealer<\/span> if the assignment, transfer, or sale takes place within the second twelve-month period. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> An amount not to exceed ten percent of the profit<\/span> realized by the dealer<\/span> if the assignment, transfer, or sale takes place within the third twelve-month period.\n\t\t\t\tc. Nothing in this section shall authorize a refiner<\/span> to impose a franchise fee<\/span> or penalty<\/span> upon an assignment, transfer, or sale to a family member pursuant to subdivision 8 of this section.

\t\t\t\td. In the case of a new facility, a franchise fee<\/span> may be charged at the time the first franchise agreement<\/span> is entered into. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

10.<\/span> Any provision in any agreement or franchise purporting to waive<\/span> any right or remedy under this chapter or any applicable provisions of the Petroleum Marketing Practices Act (15 U.S.C. § 2802 et seq.) shall be null and void. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREQUIRED PROVISIONS PERTAINING TO AGREEMENTS BETWEEN REFINERS AND DEALERS (\u00a7\n59.1-21.11)\n\nEvery agreement between a refiner and a dealer shall be subject to the following\nprovisions, whether or not expressly set forth therein:\n\n1. The dealer shall not be required to keep his retail outlet open for business\nfor more than sixteen consecutive hours per day, nor more than six days per\nweek. This subdivision shall not be construed to prevent any retail outlet being\nopen when required to be open to conform to any local, state or federal law or\nregulation, nor shall this subdivision be construed to prevent any retail outlet\nfrom being open for business for more than sixteen consecutive hours per day or\nmore than six days per week when the dealer determines that market conditions\nwarrant such operation. This subdivision shall not apply to retail outlets which\nparticipate in the travel services signing program of the Virginia Department of\nTransportation.\n\n2. The right of either party to trial by jury or to the interposition of\ncounterclaims or cross claims shall not be waived.\n\n3. In the absence of any express agreement, the dealer shall not be required to\nparticipate financially in the use of any premium, coupon, give-away, or rebate\nin the operation of a retail outlet. The refiner may require the dealer to\ndistribute to customers premiums, coupons, or give-aways which are furnished to\nthe dealer at the expense of the refiner.\n\n4. No agreement or franchise subject to the provisions of this chapter shall\nlimit, restrict, or impair the number of retail outlets which an individual\ndealer may operate for the same refiner, nor may any agreement or franchise\nestablish working hours for the dealer. However, an agreement or franchise may\nrequire the dealer to be involved in the operation of the business of the\ndealer’s retail outlet or retail outlets for not more than an average of\nsixty hours per month. Notwithstanding the provisions of this subdivision, a\nrefiner may impose a requirement in a trial franchise only, that a dealer be on\nthe marketing premises of the dealer’s retail outlet or retail outlets for\na reasonable number of hours per week not to exceed twenty hours per week.\n\n5. No transfer or assignment of a franchise by a dealer to a qualified\ntransferee or assignee shall be unreasonably disapproved by the refiner. A\nrefiner shall have forty-five days, after the date of submission by a proposed\ntransferee or assignee of all personal and financial information required by the\nrefiner’s reasonable and uniform standards, within which to notify a\ndealer in writing that a proposed transferee or assignee meets or fails to meet\nthe refiner’s reasonable and uniform qualifications. If the proposed\ntransferee or assignee fails to meet the refiner’s reasonable and normal\nqualifications, the notice to the dealer shall state with specificity the\nreasons for such failure.\n\n6. The term of the initial agreement between the refiner and the dealer relating\nto specific marketing premises shall not be less than one year; the term of all\nsubsequent agreements between the refiner and the dealer, relating to the same\nmarketing premises, shall not be for less than three years. The rental\nprovisions in any such agreement or franchise shall be based on commercially\nfair and reasonable standards, uniformly applied to all similarly situated\ndealers of the same refiner in the same geographic area.\n\n7. A refiner may require a dealer to pay a fee or charge for the privilege of\nhonoring a credit card issued by the refiner and used by customers of the dealer\nin purchasing at retail products and services at retail outlets which bear the\nbrand name or trademark of the refiner only if such refiner has deducted the\ncost of extending retail credit from the tankwagon price charged dealers, has\nnotified the dealer in writing of such deduction and such fee is a part of a\nprogram designed (i) to induce retail purchases for cash or (ii) to separate the\ncost of extending retail credit from the tankwagon price paid by the dealer. The\namount of any such fee or charge shall be directly related to the actual cost\nincurred by the refiner in the extension of retail credit. Notwithstanding the\nprovisions of subsection A of § 59.1-21.12, any refiner who violates the\nprovisions of this subdivision shall be civilly liable for damages in treble the\namount of the damages sustained by the complaining party as a result of the\nviolation.\n\n8. A dealer shall have the right, effective upon his death, permanent and total\ndisability, or retirement, to have his interests under a franchise agreement\nwith a refiner assigned to a designated family member who has been approved by\nthe refiner in accordance with the refiner’s reasonable and uniform\nstandards for personal and financial condition unless the refiner shows that the\ndesignated family member no longer meets the reasonable and uniform standards at\nthe time of the previous approval. All franchise agreements shall contain a\nprovision identifying the designated family member who is entitled to succeed to\nthe interests of the dealer under the agreement upon his death, permanent and\ntotal disability, or retirement. The foregoing shall not prohibit a refiner from\nrequiring that the designated family member accept a trial franchise within\ntwenty-one days of the dealer’s death, permanent and total disability, or\nretirement and that the designated family member attend a training program\noffered by the refiner.\n\t\t\tA dealer and the refiner may mutually agree to change the designated family\nmember entitled to succeed to the dealer’s interests under a franchise\nagreement. The designated family member shall provide, upon the request of the\nrefiner, personal and financial information that is reasonably necessary to\ndetermine whether the succession should be honored. The refiner shall not be\nobligated to accept a designated family member under this subdivision who does\nnot meet the reasonable and uniform standards uniformly imposed by the refiner;\nhowever, any refusal to accept the designated family member as a successor\ndealer shall be given by the refiner in writing to the dealer, not later than\nninety days after the date of the designation of the designated family member by\nthe dealer, and shall state with specificity the reasons for such refusal.\n\n9. a. No refiner shall condition approval of an assignment, transfer, sale, or\nrenewal of a franchise agreement on the payment by the dealer, or the proposed\nsuccessor dealer, of a franchise fee or penalty unless the assignment, transfer,\nor sale is of a franchise agreement covering a new or newly remodeled facility.\n\t\t\tb. A refiner may require a dealer to pay a franchise fee or penalty, as\nhereinafter provided, upon the assignment, transfer, or sale of a franchise\nagreement covering a new facility within the first three years of the initial\nterm of the franchise agreement, or upon the assignment, transfer or sale of a\nfranchise agreement covering a newly remodeled facility within the first three\nyears after the completion of the remodeling:\n\n 1. An amount not to exceed sixty percent of the profit realized by the dealer\n if the assignment, transfer, or sale takes place within the first twelve-month\n period.\n\n 2. An amount not to exceed twenty-five percent of the profit realized by the\n dealer if the assignment, transfer, or sale takes place within the second\n twelve-month period.\n\n 3. An amount not to exceed ten percent of the profit realized by the dealer if\n the assignment, transfer, or sale takes place within the third twelve-month\n period.\n \t\t\t\tc. Nothing in this section shall authorize a refiner to impose a franchise\n fee or penalty upon an assignment, transfer, or sale to a family member\n pursuant to subdivision 8 of this section.\t\t\t\td. In the case of a new\n facility, a franchise fee may be charged at the time the first franchise\n agreement is entered into.\n\n10. Any provision in any agreement or franchise purporting to waive any right or\nremedy under this chapter or any applicable provisions of the Petroleum\nMarketing Practices Act (15 U.S.C. § 2802 et seq.) shall be null and void.\n\nHISTORY: 1973, c. 423; 1979, c. 306; 1982, c. 350; 1985, c. 498; 1987, c. 535;\n1990, c. 907; 1991, c. 199.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}