Foretravel, Inc. - Page 7

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            expensive product lines but not product lines that would compete                               
            directly with Foretravel.  The resulting dealership was named                                  
            Pacific Northwest Motorhomes (Northwest).  Northwest stocked at                                
            least one line of motor homes other than Foretravel.                                           
                  The agreement between petitioner and Northwest provided that                             
            they were "independent contractors as to each other and not                                    
            otherwise".  The agreement required petitioner to deliver three                                
            units per quarter, and required Northwest to maintain an                                       
            inventory of parts and accessories and an inventory of coach                                   
            models in a clean and orderly condition.  The agreement also                                   
            required Northwest to maintain a regular place of business and                                 
            display units for sale while promoting and advertising Foretravel                              
            within Northwest's established territory.  The parties modified                                
            the original agreement to require Northwest to purchase 12 units                               
            in the first year, 18 units the second year, and 24 units for the                              
            remaining 3 years.  Petitioner did not perfect a security                                      
            interest under Idaho law in the units shipped to Northwest on                                  
            credit.                                                                                        
                  Between 1983 and 1985, Northwest grew rapidly, added a                                   
            second location, and soon became one of the largest dealers in                                 
            that geographic region for high quality coaches.  In 1985,                                     
            Fishfader became interested in another dealership in Spokane,                                  
            Washington, so he and Nicholson made arrangements to purchase the                              
            Spokane dealership.                                                                            






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Last modified: May 25, 2011