# Commercial Law (GCL)

## Title 19. Equipment Dealer Contract Act

### Subtitle 1. Definitions; General Provisions

#### Section 19-103

(a) A supplier may not directly or through an officer, agent, or employee terminate, cancel, fail to renew, or substantially change the competitive circumstances of a contract without good cause.

(b)

  (1) Except as provided in paragraph (2) of this subsection, a supplier who terminates, cancels, fails to renew, or substantially changes the competitive circumstances of a contract with good cause is not required to provide any notice or the right to cure a deficiency to a dealer.

  (2) If a supplier terminates, cancels, fails to renew, or substantially changes the competitive circumstances of a contract based upon the dealer's failure to capture the share of the market required in the contract and the supplier has worked with the dealer for a minimum of 12 months to gain the desired market share, the supplier shall provide a dealer with at least 90 days' written notice of the termination of the agreement and a 60 day right to cure.

(c) Notwithstanding any agreement to the contrary, a dealer who terminates a contract with a supplier shall notify the supplier of the termination within 90 days prior to the effective date of the termination.

(d) Each notification required under this section shall:

  (1) Be in writing;

  (2) Contain:

    (i) A statement of intention to terminate the contract;

    (ii) A statement of the reasons for the termination; and

    (iii) The date on which the termination takes effect; and

  (3) Be delivered to the supplier or dealer by:

    (i) Certified mail; or

    (ii) Personal delivery.

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Md. Code Ann., Com. Law (as displayed at mgaleg.maryland.gov, October 16, 2026)