Nebraska Revised Statute 87-401

Chapter 87


Legislative intent.

The Legislature finds and declares that distribution and sales through franchise arrangements in the state vitally affect the general economy of the state, the public interest and public welfare. It is therefor necessary in the public interest to define the relationship and responsibilities of franchisors and franchisees in connection with franchise arrangements.


  • Prior to the enactment of this and the following sections constituting the Nebraska Franchise Practices Act, the law of Nebraska generally was that any person might do or refuse to do business with whomsoever he desired; in no event was there a public policy then existing of requiring franchises to be terminated only upon the existence of good cause shown. McArtor v. Mobil Oil Corp., 212 Neb. 592, 324 N.W.2d 399 (1982).

  • The Nebraska Franchise Practices Act will not be applied retrospectively. McDonald's Corp. v. Markim, Inc., 209 Neb. 49, 306 N.W.2d 158 (1981).