Franchising in Australia is governed by the mandatory operation of the Franchising Code of Conduct (“Code”) implemented under the Competition and Consumer Act 2010 (“CCA”) (formerly the Trade Practices Act, 1974).
Franchise agreements are essentially licensing agreements where a high degree of control over and surveillance of the franchisee is exercised by the franchisor by virtue of terms of the franchise agreement. A simple licensing agreement may not be caught by the provisions of the CCA and Code.
Rossi Legal can advise whether a licensing agreement is likely to “fall foul” of the Code and if so, prepare an appropriate franchise agreement with disclosure statements for the franchisor.
We may also advise franchisees as to the obligations imposed upon them by a franchise agreement and alert them to any potentially harsh provisions that may be found in such agreements. We would normally liaise with the prospective franchisee’s accountant to ensure that appropriate accounting advice is given to that prospective franchisee.
Rossi Legal advise and assist parties on either side in a franchise dispute.