Section 28-8A-11 - Standards of conduct(a) If a supplier engages in conduct prohibited under this chapter, a wholesaler with which the supplier has an agreement may maintain a civil action against the supplier to recover actual damages reasonably incurred as the result of the prohibited conduct. If a wholesaler engages in conduct prohibited under this chapter, a supplier with which the wholesaler has an agreement may maintain a civil action against the wholesaler to recover actual damages reasonably incurred as the result of the prohibited conduct.(b) A supplier that violates this chapter shall be liable for all actual damages and all court costs and, in the court's discretion, reasonable attorney fees incurred by a wholesaler as a result of that violation. A wholesaler that violates this chapter shall be liable for all actual damages and all court costs and, in the court's discretion, reasonable attorney fees incurred by the supplier as a result of that violation.(c)(1) This chapter imposes upon a supplier the duty to deal fairly and in good faith with a wholesaler which has entered into an agreement with the supplier to purchase and sell a brand or brands of wine sold by the supplier. Except as otherwise provided in this chapter, a court may award exemplary or punitive damages, as well as actual damages, court costs, and reasonable attorney fees to the wholesaler who has been damaged by the action or the failure to act of the supplier if the court, upon proof thereof by clear and convincing evidence as defined in Section 6-11-20, finds that a supplier has intentionally, consciously, or deliberately acted in bad faith or failed to act in good faith in any of the following: a. Effecting an amendment, modification, termination, cancellation, or nonrenewal of any agreement.b. Unreasonably interfering with, preventing, or unreasonably delaying the transfer of the wholesaler's business where approval of the proposed transferee is not required by this chapter.c. Unreasonably withholding its consent to or approval of any assignment, transfer, or sale of a wholesaler's business, where approval of the proposed transferee is required by this chapter.(2) The actions or failure to act on the part of the supplier, as listed in subdivision (1), shall also constitute the tort of bad faith, and the amount of any award of punitive damages and the review thereof by the trial or appellate court shall be governed by Section 6-11-25.(d) A supplier or wholesaler may bring an action for declaratory judgment for determination of any controversy arising pursuant to this chapter.(e) Upon proper application to the court, a supplier or wholesaler may obtain injunctive relief against any violation of this chapter. If the court grants injunctive relief or issues a temporary restraining order, bond shall not be required to be posted.(f) The remedies provided by this section are nonexclusive, and nothing contained in this section shall abolish any cause of action or remedy available to the supplier or the wholesaler existing on August 1, 2021.(g) Any legal action taken under this chapter, or in a dispute arising out of an agreement or breach thereof, or over the provisions of an agreement shall be filed in any state court located in a county in which the supplier and wholesaler have a territorial agreement in Alabama.Ala. Code § 28-8A-11 (1975)
Added by Act 2021-419,§ 4, eff. 8/1/2021.