The review of the Australian Franchising Code of Conduct — key recommendations
On 17 May 2013, The Department of Industry, Innovation, Climate Change, Science Research and Tertiary Education released its report following an independent review of the Franchising Code of Conduct.
The four-month review, conducted by industry expert, Mr Alan Wein, has resulted in 18 recommended changes to the Franchising Code dealing with disclosure, good faith, dispute resolution and the introduction of fines and penalties.
If these recommendations are adopted by the government there could be significant advantages and disadvantages for franchisors. The recommendations of most consequence include: replacing the existing requirement that a foreign or master franchisor provide a long-form disclosure document with a short-form disclosure document; the obligation on franchisors to prepare for prospective franchisees a short standalone statement summarising the key risks; the introduction of penalties for breach of the Franchising Code as well as a general strengthening of the enforcement regime; increased disclosure about online activities; and great rigour will be required regarding marketing funds.
If you are registered and logged in to the site, click on the link below to read the rest of the DLA Piper briefing. If not, please register or sign in with your details below.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from DLA Piper
News from The Lawyer
Briefings from DLA Piper
The Australian Taxation Office released a draft ruling on the Goods and Services Tax treatment of bitcoin transactions on 20 August 2014.
DLA Piper’s ‘Life sciences: patent extension strategies and antitrust global update’ video covers global antitrust and competition issues including product hopping and reverse payment patents.
Analysis from The Lawyer
Regulators are ramping up the pressure in the aftermath of recession, leaving firms to compete for compliance and restructuring work
Shearman & Sterling is making its presence felt in the City, squaring up to magic circle firms and looking to muscle in on key relationships. Private equity house Bridgepoint is one outfit that has had its head turned by the US firm.