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Franchising Code of Conduct Review

Posted on 18 September 2014

The revised Franchising Code of Conduct is expected to be finalised within the next few weeks.

The changes are anticipated to come into effect from 1 January, 2015.

Franchisors are stil required to have revised their current disclosure documents by the end of October, 2014 in accordance with the requirements of the current Franchising Code of Conduct.

However, Franchisors will need to have reviewed their disclosure documents yet again to reflect the new Code amendments by 1 January, 2015.

The changes are wide sweeping and will require Franchisors to undertake a complete review of the disclosure document.

The changes and requirements of the Code will also require Franchisors to review their franchise agreements and in many cases practices and policies and may be an ideal time for Franchisors to undertake a "spring clean".

It will be a very busy time for Franchisors once the amendments are finalised.

Over the coming months we will highlight some of the changes to the Code that Franchisors and Franchisees need to be mindful of.

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