523H.12 Independent sourcing.
1. Except as provided in subsection 2, a franchisor shall allow a franchisee to obtain equipment, fixtures, supplies, and services used in the establishment and operation of the franchised business from sources of the franchisee’s choosing, provided that such goods and services meet standards as to their nature and quality promulgated by the franchisor.
2. Subsection 1 of this section does not apply to reasonable quantities of inventory goods or services, including display and sample items, that the franchisor requires the franchisee to obtain from the franchisor or its affiliate, but only if the goods or services are central to the franchised business and either are actually manufactured or produced by the franchisor or its affiliate, or incorporate a trade secret owned by the franchisor or its affiliate.
92 Acts, ch 1134, §12
Structure Iowa Code
Section 523H.2 - Applicability.
Section 523H.2A - Applicability — limitation.
Section 523H.3 - Jurisdiction and nonjudicial resolution of disputes.
Section 523H.4 - Waivers void.
Section 523H.5 - Transfer of franchise.
Section 523H.6 - Encroachment.
Section 523H.8 - Nonrenewal of a franchise.
Section 523H.9 - Franchisee’s right to associate.
Section 523H.10 - Duty of good faith.
Section 523H.11 - Repurchase of assets.
Section 523H.12 - Independent sourcing.
Section 523H.13 - Private civil action.
Section 523H.14 - Choice of law.
Section 523H.15 - Construction with other law.