Ark. Code Ann. » Title 4 Chapter 72
Arkansas Code Annotated

Ark. Code Ann. § 4-72-209 (2026)

Franchisee's right of repurchase

✓ current as of May 2026
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Upon termination of any franchise by a franchisor without good cause, the franchisor shall, at the franchisee's option, repurchase at franchisee's net cost, less a reasonable allowance for depreciation or obsolescence, the franchisee's inventory, supplies, equipment, and furnishings purchased by the franchisee from the franchisor or its approved sources; however, no compensation shall be allowed for the personalized items which have no value to the franchisor.

History. Acts 1977, No. 355, § 9; A.S.A. 1947, § 70-815.

Case Notes

Exercise of Remedies.

The Arkansas Franchise Practices Act does not require that the right to the auxiliary remedy of repurchase be exercised only after the right to some initial remedies is exercised, and there is no language implying such a legislative intent. American Std., Inc. v. Miller Eng'g, Inc., 299 Ark. 347, 772 S.W.2d 344 (1989).

Cited: Kent Jenkins Sales, Inc. v. Angelo Bros. Co., 804 F.2d 482 (8th Cir. 1986).

Notes of Decisions
Cited in 2 cases, 1989–2006 · leading case: Am. Stand., Inc. v. MILLER Eng'g, INC., 772 S.W.2d 344 (Ark. 1989).
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Am. Stand., Inc. v. MILLER Eng'g, INC., 772 S.W.2d 344 (Ark. 1989). · cites it 2× “A part of the Act, Ark. Code Ann. § 4-72-209 (1987), provides that “upon termination of any franchise by a franchisor without good cause, the franchisor shall, at the franchisee’s option, repurchase .”
Capital Equip., Inc. v. Cnh Am., LLC, 471 F. Supp. 2d 951 (E.D. Ark. 2006). · cites it 2× “Ark.Code Ann. § 4-72-209. 8 . Since this is likely to be a document intensive case, the Court would appreciate, to the extent possible, avoiding duplication of exhibits.”
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