35-8A-9 Injunctive relief for violation of distribution agreement--Costs and attorney fees--Jurisd...
Injunctive relief for violation of distribution agreement--Costs and attorney fees--Jurisdiction--Arbitration upon agreement by all parties.
Any party to a distribution agreement
aggrieved by a violation of any provision of this chapter may seek injunctive relief enjoining the
violation and recovery of damages caused by the violation. The prevailing party to any action
charging a violation of this chapter is entitled to recover costs of suit and reasonable attorney's fees.
Relief shall be sought in a civil action brought in the circuit court for the county in which the
wholesaler's principal place of business is located, or in a federal court of competent jurisdiction
located in South Dakota.
After a dispute arises, arbitration shall proceed only if all parties agree, at that time, to submit
the dispute to arbitration and that the decision of the arbitrators shall be final and binding. The
dispute shall be submitted to a panel of three arbitrators. One arbitrator shall be selected by the
supplier within thirty days after the parties have agreed to arbitrate. One arbitrator shall be selected
by the wholesaler within thirty days after the parties have agreed to arbitrate. The third arbitrator
shall be selected from a list of five candidates supplied by the American Arbitration Association at
the request of the parties and made within ten days after the parties have agreed to submit the dispute
to arbitration. Within ten days after receipt of the list, the wholesaler and the supplier may disqualify
up to two candidates from the list. The American Arbitration Association shall select the third
arbitrator from the candidates not disqualified by the parties. The arbitration shall proceed in
accordance with the rules of the American Arbitration Association within thirty days after the
selection of the arbitration panel has been completed. The cost of the arbitration shall be borne
equally by the parties. The award of a majority of the arbitrators shall be final and binding on the
Source: SL 1990, ch 300, § 9; SL 1999, ch 187, § 2.