Posted by Elizabeth Gore-Jones
on 5 June 2015
Is it best that franchisees "walk the line" (in the words of the late Johnny Cash)?
It is often accepted that franchisees should not be entrepreneurial types. That franchisees should be of the ilk that can follow the system and the directions of the franchisor and not have an entrepreneurial bone in their body.
Whilst a stable of franchisees who can and do walk the line is obviously very attractive to a franchisor, does this stagnate the growth of the franchise syst...
Posted by Elizabeth Gore-Jones
on 4 June 2015
I have just returned from lecturing the Bond University PLT course about the wonderful world of franchising.
Franchising is such an in depth and intricate area of the law, it is difficult to give tomorrow's lawyers a complete understanding of what is involved in the practise of franchising law.
I gave them a run down of the services we provide to franchisors including preparing a franchise suite of documents, business structuring, issuing franchise agreements and all of the fro...
Posted by Elizabeth Gore-Jones
on 25 May 2015
So you want to break up with a franchisee?
It is not always as easy as just terminating the franchise agreement for a breach.
The breach has to be serious enough to warrant the "break up". Unless the breach falls within the exceptions in the Franchising Code of Conduct, you will need to first allow the franchisee a reasonable time to remedy the breach.
The courts may find you are acting unconscionably if you terminate the franchise agreement for a relatively min...