E. NOTICE : 1. § 2804(a) As provided in (c) and 90 days
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Ferriola v. Gulf Oil Corporation, 496 F. Supp. 158 (E.D. Pa. 8-13-80); aff'd, 649 F.2d 859 (3d Cir. 3-18-81)
Affirmed on appeal that termination notice given after expiration of franchise is valid. The court found that § 2804 requires only that notice be given 90 days before the date on which the termination is to take effect. Franchisor did not give notice or begin renewal negotiations until after the expiration date of the franchise agreements. When negotiations failed, franchisor gave notice. The court indicated that to construe this section as requiring notice before expiration would impede negotiations by putting franchisee "under the gun" and subjecting franchisor to allegations that it was not negotiating in good faith.
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