Section 597.1153 - Repurchase of inventory and equipment by supplier upon termination of dealer agreement1. Except as otherwise provided in this section, upon the termination of a dealer agreement by a supplier or dealer, the supplier shall repurchase the inventory held by the dealer on the date of the termination of the dealer agreement.2. A supplier who repurchases the inventory of a dealer pursuant to subsection 1 shall: (a) Pay the dealer: (1) One hundred percent of the net price of all new and undamaged inventory; and(2) Ninety-five percent of the net price of new and undamaged superseded repair parts.(b) Except as otherwise provided in this paragraph, pay the dealer an amount equal to 5 percent of the net price of all new and undamaged repair parts returned to the supplier to cover the cost incurred by the dealer for handling, packing and shipping the superseded repair parts to the supplier. If the supplier handles, packs and ships the superseded repair parts, the dealer is not entitled to receive any money for those services which the supplier performed.(c) Purchase, at its depreciated value, any computers, software or telecommunications equipment that the supplier required the dealer to purchase within the previous 5 years.(d) Repurchase, at 75 percent of the net cost, any specialized repair tools purchased if those tools are: (1) Included in the tool catalog of the supplier;(2) Purchased in accordance with the requirements of the supplier;(3) Held by the dealer on the date of the termination of the dealer agreement; and(4) Complete and in resalable condition.(e) Repurchase any inventory which is owned by the supplier and leased, rented or used in demonstrations by the dealer if the supplier receives an allowance based on the use of such inventory. Inventory which is used in demonstrations for not more than a total of 50 hours shall be deemed new inventory. Inventory which is used in demonstrations for more than 50 hours and purchased from the supplier less than 36 months before the termination of the dealer's agreement must be repurchased at its depreciated value, as determined by the supplier and dealer.3. If the dealer agreement authorizes the dealer to retain the inventory upon the termination of the dealer agreement, the dealer may retain any portion of the inventory, except any specialized tools described in paragraph (d) of subsection 2 which the supplier wishes to repurchase from the dealer.4. If the dealer owes any outstanding debts to the supplier, the amount of the repurchase of the inventory may be set off or credited to the account of the dealer.5. Upon payment to the dealer of the amount for the repurchase of the inventory pursuant to this section, the title and right of possession to the inventory transfers to the supplier.Added to NRS by 2003, 3402Added to NRS by 2003, 3402