Here we go again: Australian government releases draft amendments to the Franchising Code of Conduct

By Michael G Brennan and Stephanie Zosak

The Australian government has released an exposure draft of amendments to the Trade Practices (Industry Codes — Franchising) Regulations 1998 (the Franchising Code of Conduct) and relevant provisions in the Competition and Consumer Act of 2010 for public consultation.

These amendments aim to implement the government’s response to a review of the Franchising Code of Conduct in 2013.

The offer and sale of franchises in Australia is regulated by the Franchising Code of Conduct. The Franchising Code of Conduct requires franchisors to provide a prospective franchisee with the following documents at least 14 days before the franchisee signs an agreement or delivers non-refundable money: (i) a disclosure document; (ii) a copy of the franchise agreement in its final form; and (iii) a copy of the Franchising Code of Conduct…

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