-
Franchisors must provide franchisees a reasonable opportunity to make a ROI
Recent reforms to the Franchising Code of Conduct introduced a new obligation requiring franchisors to give franchisees a reasonable opportunity to make a return on their investment (ROI). This change reflects concern that some franchise arrangements required franchisees to make substantial upfront investments without a realistic opportunity to make a return on this investment.
-
What exactly is a Franchise Agreement?
Franchising agreements are legally binding relationships between franchisors and franchisees. But what makes them different from other agreements? Learn more about the key clauses of the code of conduct that must be observed in order to ensure a successful franchising agreement.
-
Does a franchise system require registration?
This article provides an overview of the legal requirements for franchisors in Australia. Contrary to popular belief, there is no requirement to register a franchise system in the Code, meaning a franchise does not need to be ‘registered’ in Australia.
-
Franchisors’ end of term arrangements – valuation of goodwill versus risk of competition
Section 23 of the Competition and Consumer (Industry Codes – Franchising) Regulation 2014 (Cth) (Code) limits Franchisors in their ability to include restraint of trade clauses in Franchise Agreements, protecting Franchisees if the Agreement is not renewed. Franchisors must be aware of the implications of this Regulation when deciding not to renew an Agreement.
Franchise systems
Make an enquiry
