H-2305              _______________________________________________

                                           SUBSTITUTE HOUSE BILL NO. 437

                        _______________________________________________

State of Washington                              50th Legislature                              1987 Regular Session

By House Committee on Trade & Economic Development (originally sponsored by Representatives Belcher, B. Williams, Winsley, Crane, Allen, Patrick, K. Wilson, Braddock, Rayburn, Leonard, Dellwo and Cole)

Read first time 3/6/87 and passed to Committee on Rules.

AN ACT Relating to the sale of motor vehicle fuel; adding a new chapter to Title 19 RCW; and prescribing penalties.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.     (1) Except as provided in this section, no large integrated refiner shall operate any motor fuel service station in the state of Washington.

          (2) A large integrated refiner may own all or part of the assets of a motor fuel service station so long as such producer does not engage in the business of selling motor fuel at such station through any:

          (a) Employee;

          (b) Commissioned agent;

          (c) Person acting on behalf of the refiner or under the refiner's supervision; or

          (d) Person operating such station pursuant to a contract with the refiner which provides that the refiner has substantial or effective control over the motor fuel operations of the station.

          (3) A large integrated refiner may continue to operate any motor fuel service station which it was operating on the effective date of this section.

NEW SECTION. Sec. 2.     As used in this chapter, the following have the meaning indicated unless the context clearly requires otherwise:

          (1) "Producer" means any person who is engaged, directly or indirectly, in the production of crude oil;

          (2) "Refiner" means any person engaged, directly or indirectly, in the refining of motor fuel or any producer who contracts with another to refine petroleum products for purposes of sale of motor fuel by the producer;

          (3) "Large integrated refiner" means any person who for the most recent calendar year for which data are available:

          (a) Produced, directly or indirectly, more than thirty percent of the domestic and imported crude oil supplied to its refinery; and

          (b) Whose total refinery capacity exceeds one hundred and seventy-five thousand barrels per day;

          (4) "Motor fuel" means gasoline, diesel fuel, alcohol, or any mixture of them sold for use in automobiles and related vehicles;

          (5) "Motor fuel service station" means any facility at which motor fuel is sold at retail; and

          (6) "Person" includes one or more individuals, partnerships, associations, corporations, legal representatives, joint-stock companies, trustees and receivers in bankruptcy and reorganization, common law trusts, and any organized group, whether or not incorporated.

NEW SECTION. Sec. 3.     (1) The attorney general may commence a civil action for appropriate relief, including a permanent or temporary injunction, whenever the attorney general has reason to believe that any person has violated or is violating any provision of this chapter, or any regulations promulgated thereunder.  Any action under this section may be brought in the superior court of the county in which the defendant is located, resides, or is doing business, and such court shall have jurisdiction to restrain the violation, to require compliance, to impose monetary penalties, and to order such additional equitable relief as it deems appropriate.

          (2) If any person fails to comply with the requirements of this chapter, any other person affected by such failure may maintain a civil action against such person failing to comply with such requirements for damages and appropriate equitable relief, including temporary and permanent injunctive relief.  If the plaintiff prevails in any action under this section, the plaintiff shall be entitled to reasonable attorney and expert witness fees to be paid by the defendant, except that in any case in which the court determines that only nominal damages are to be awarded to the plaintiff, the court may, in its discretion, determine not to direct that such fees be paid by the defendant.

          (3) The attorney general shall prescribe regulations for the collection of information necessary for the determinations specified in section 1 of this act.

          (4) Information related to section 1 of this act need not be provided by private persons if reliable and timely information is available from published sources.

          (5) Regulations promulgated pursuant to subsection (3) of this section shall be promulgated, after notice and a reasonable period for comment by the public, no later than one hundred eighty days after the effective date of this section.

NEW SECTION. Sec. 4.     Sections 1 through 3 of this act shall constitute a new chapter in Title 19 RCW.