Amoco Oil Company v. Ervin, 885 P.2d 246 (Colo.App. 1994); 1995 WL 709416 (Colo. 4-4-95); 908 P.2d. 493 (Colo. 12-4-95)

State supreme court affirmed jury verdict for franchisees and remanded for recalculation of damages. Franchisor changed method of calculating station rent from one related to amount of product sold to an investment value system. Franchisees claimed it was a breach of the implied covenant of good faith for franchisor to reserve discretion to set purchase prices, station rentals, station hours and credit arrangements. They claimed the new rental program charged twice for service bays. The jury agreed and awarded $987,125 in "rental damages." The court also agreed because in the agreement the franchisor retained the right to modify the rent. The jury also awarded $921,844 in emotional distress for tortious interference with prospective business relationships was reversed. Franchisees' breach of implied covenant claims are not preempted by the PMPA because they do not implicate termination or nonrenewal.