Franchise Law

Franchising is an important contributor to Australian business. The Government reports that Franchising contributes approximately 9% of GDP in Australia. There are about 80,000 franchise outlets turning over AU$146 billion pa. 4% of small businesses in Australia are franchises and approximately 500,000 people are directly employed in the sector.

Franchisors need to ensure Disclosure Statements are accurate and comply with the Franchising Code. They also need to ensure the terms and conditions of the Franchise Agreements they enter into with Franchisees comply with the Unfair Contracts Legislation.

Franchisees on the other hand should insist on disclosure by Franchisors all those matters they are entitled to receive under the Franchise Code, understand whether the terms of the Franchise Agreement are fair and reasonable having regard to the legislation and be aware of their rights if there is a dispute.

Dempseys Law expertise includes:

  • Advising Franchisors of their obligations under the Franchise Code;
  • Advising Franchisors on the content of their Disclosure Statements and Franchising Agreements;
  • Advising and negotiating for Franchisees the terms of their Franchise Agreement;
  • Advising on and enforcing reasonable of restraint clauses in Franchise Agreements;
  • Conducting due diligence on a Franchise network for a prospective Franchisee interested in purchasing a Franchise;
  • Enforcing terms of Franchise Agreements for Franchisors; and
  • Resolving disputes between Franchisees and Franchisors through either direction negotiation or mediation.

Want to know if we can assist you? Contact us. We are available to talk