Franchise

Franchise

Our Franchise Lawyers advise franchisors and franchisees with agreements, employment contracts, copyright, trademarks, leases.

We provide a number of services to help you negotiate your way through franchise law issues, including:

  • preparation of franchise disclosure documents
  • preparation of master franchise agreements
  • reviewing and negotiating franchise agreements on behalf of franchisees
  • securing leasehold interests in business premises
  • financing and loan arrangements for franchising
  • employment agreements
  • documentation including disclosure statements and agreement
  • trade mark, copyright, patent and intellectual property assistance
  • property leasing contracts and broader commercial matters
  • litigation and mediation support for franchising disputes
  • advice on retail lease legislation throughout Australia and New Zealand
  • advice on related areas such as retail business structure, sale and purchase of business, trademarks and business name registration
  • lease dispute resolution
  • advice on establishing franchised businesses
  • drafting and review of franchising agreements
  • advice on the franchise code of conduct

One of the most common forms of business in Australia today and continuously growing is a franchise. The popularity of a franchise is in its established goodwill and possibly captive market within a territory.

Franchisee

Before deciding to buy or enter into a franchise agreement, you must consult your solicitor to advise you on the following:

  • whether the franchisor has provided all the necessary information about the franchise business
  • whether the franchisor has provided information in respect of other franchisees in the system
  • assist with due diligence as necessary

Also consult with your financial and/or business advisor regarding:

  • the financial aspects of the business
  • whether the franchise is suitable or viable for you

Franchise Documents

You should receive the documents at least 14 days prior to signing and they should contain:

  1. a disclosure document which has all the necessary information in respect of the franchise system, as required by the franchise code
  2. a copy of the franchise code

You should have your solicitor:

  • read the disclosure document and franchise agreement carefully
  • advise you on the contents of the disclosure document and franchise agreement
  • explain to you anything you do not understand in respect of the disclosure document and franchise agreement
  • advise you on a business structure for the franchise business
  • advise on any other issues, such as, leasing, licensing

After you have signed the franchise agreement, you have 7 days ("cooling-off" period) to decide whether you wish to proceed with it.

Franchisor

You must consult your solicitor in respect of the following:

  1. advise you on a business structure or assist in restructuring your current business
  2. whether or not your business is currently infringing any law
  3. advise you on the applicable law when franchising
  4. whether your business will infringe any law by franchising
  5. whether or not you have appropriate trademarks registered and on any other intellectual property issue
  6. whether you have an existing lease and are able to sublease or grant a license to occupy
  7. draft the franchise agreement
  8. put together a disclosure document to provide to prospective franchisee as required by the franchise code 

Law Institute of Victoria Accredited Specialists - Business Law