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A. DEFINITIONS - § 2801  :  16. Relevant Geographic Market Area (16)
  • Beck Oil Co., Inc. v. Texaco Marketing and Refining, Inc., 822 F. Supp. 1326 (C.D. Ill. 5-27-93); aff'd, 25 F.3d 559 (7th Cir. 6-1-94)

    Summary judgment for franchisor in market withdrawal case. Franchisor's intent rather the effect of its actions controls. Two fold test for market withdrawal decisions: (1) must be made in good faith which is determined subjectively from objective evidence and (2) was result of franchisor's normal decision making process. The relevant geographic marketing area is not limited to a state or an SMSA. The relevant geographic marketing area was found to be several counties in four states supplied by an uneconomical refinery which could not be supplied with exchange agreements.


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