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Franchisor Cops Court Penalties

Posted by Elizabeth Gore-Jones on 10 January 2018
Amongst other things, the franchisor for the Pastacup franchise system and its director have been ordered to pay the following pecuniary penalties: 1. the franchisor is to pay $100,000; and 2. the franchisor's director is to pay $50,000. Both the franchisor and its director must pay the legal costs of the ACCC in the amount of $12,000. These orders were made because the court found that the franchisor and its director should have disclosed that the director was previous...
Posted in: News Franchisor  

More ACCC Franchisor Court Action

Posted by Elizabeth Gore-Jones on 31 May 2017
The ACCC has sought leave to commence proceedings against Geowash Pty Ltd. These proceedings with allege: false or misleading representations; unconscionable conduct; failure to act in good faith. The action will be against the director and national franchising manager of the franchisor also. The ACCC will allege: the franchisor made representations of earning and profit capacity of franchisees when the franchisor had no grounds to make those claim...
Posted in: Business News Franchisee Franchisor  

Michel's Patisserie in the Courts - Prior Representations

Posted by Elizabeth Gore-Jones on 26 May 2017
In what is a seemingly busy time for franchising and the courts we have the new judgment of Guirguis Pty Ltd v Michel's Patisserie System Pty Ltd [2017] QCA 83 In point form this is what you need to know: The franchisee alleged the franchisor had made misrepresentations as to, amongst other things, the delivery and quality of stock and failed to disclose a key supplier had shut down impacting on a number of franchisees; The franchisees did not outline the alleged repr...
Posted in: Business News Franchisee Franchisor  
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Franchisor Cops Court Penalties

Jan 10 2018
Amongst other things, the franchisor for the Pastacup franchise system and its director have been ordered to pay the following pecuniary penalties: 1. the franchisor is to pay $100,000; and 2. the franchisor's director is to pay $50...

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