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Franchising

WITH OUR EXPERIENCED FRANCHISE LAWYERS,YOU CAN REST ASSURED THAT WE UNDERSTAND FRANCHISING REGULATION, PRACTICE AND PROCEDURE AND THE COMPLEX ISSUES AFFECTING FRANCHISORS AND FRANCHISEES.

Buying a Franchise Business

Buying a business is an important decision but, when buying a franchise, it is all the more important for you to understand all your risks and obligations.

We can assist you by reviewing the Franchise Agreement and Disclosure Document and providing practical, commercial legal advice in relation to:

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  • Restrictions and obligations under the Franchise Agreement

  • Termination or transfer of the franchise agreement

  • The franchise territory

  • Fees being paid to the franchisor

  • Performance targets

  • Guarantee clauses

 

We can also assist by reviewing and negotiating the sale of business agreement, the premises lease and deed of assignment of lease.

SELLING A FRANCHISE BUSINESS

Selling a franchise is different to selling a ‘standard’ business.

Your franchisor will have an established process for selling a business within the franchise and the obligations for the sale will vary by franchise. We can review the Franchise Agreement and Disclosure Document and provide practical, expert legal advice in relation to:

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  • The franchisor’s right of first refusal

  • Approval by the franchisor of the potential buyer

  • Any assignment fees

  • The cost of training the new buyer

  • Restrictions preventing you from trading as a competitor or using the franchisor’s intellectual property after you have sold the business

 

We can also assist by preparing and negotiating the sale of business agreement and assignment of lease.

OUR EXPERTISE

  • Review franchise documents

  • Code compliance

  • Business Sale Agreements

  • Prepare franchise documents

  • Leasing

  • Business structuring

  • Restraints of trade

  • Franchise disputes

FRANCHISING YOUR BUSINESS

Complying with the Franchising Code of Conduct (the Code) is mandatory. It is enforced by the Australian Competition and Consumer Commission and the penalties for breaching the Code are quite severe.
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The Franchising Code of Conduct outlines the rights and responsibilities of franchisors to franchisees including particular requirements for disclosure of information, the provision of a cooling-off period, and unconscionable conduct.
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We help business owners set up new franchise systems including:
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  1. Preparing Franchise Agreements and disclosure documents
  2. Compliance with the Code
  3. Business structuring advice
  4. Commercial leasing
  5. Trademarks

Our Franchising Team

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