Failure to disclose – ACCC issues penalties against Jim’s Group

Jim’s Group Pty Ltd ACN 101 925 268 (Jim’s Group) in its capacity as franchisor of the Jim’s Dog Wash franchise has paid $24,420 in penalties after the Australian Competition and Consumer Commission (ACCC) issued two (2) infringement notices for alleged breaches of the Competition and Consumer (Industry Codes—Franchising) Regulation 2014 (Code) and an alleged contravention of the Australian Consumer Law (ACL).

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New Franchise Disclosure Register

The Federal Government has released the Competition and Consumer (Industry Codes—Franchising) Amendment (Franchise Disclosure Register) Regulations 2022 (Amendment), a draft legislation which proposes new obligations on franchisors such as publishing disclosure documents and other materials on a new, publicly available register.

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Franchising Code changes in force

In November 2020, the Department of Industry, Science, Energy and Resources (Government) released its Exposure Draft proposing amendments to the Franchising Code of Conduct (Code).  The proposed amendments sought to implement the commitments the Government made in August 2020 in response to the Parliamentary Joint Committee’s March 2019 Fairness in Franchising Report which identified a range of regulatory matters to be addressed in the franchising sector.  Since the Exposure Draft’s release, multiple changes have come into force under the Code.  This article outlines these changes. [Read more…]

What are cooperative marketing funds?

Cooperative marketing funds allow franchisors to combine contributions from franchisees, to undertake advertising or promotional campaigns on behalf of the entire network.  This framework allows franchisors to implement marketing that would otherwise have been beyond reach financially.  However, it is important franchisors are aware of their obligations under the Competition and Consumer (Industry Codes – Franchising) Regulation 2014 (Franchising Code). [Read more…]

Need a reseller agreement?

A reseller agreement (Reseller Agreement) is a contract that entitles one party (Reseller) to sell, market, distribute, or lease a product or service of another (Supplier).  Resellers Agreements are also known as distribution, supply or distributor agreements. Often the Supplier is also the manufacturer of the goods but they may be the importer, a developer of the service or a licensee of software or training programs. [Read more…]

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