Operating a Franchise in Australia
Operating a Franchise in Australia
Contents Introduction 2 Discussion 3 Conclusion 11 References 12
Introduction
The major issues or background of the essay is the need to review the franchisee code of conduct in Australia and verifying the amendments those took place in 2008 and 2010. The key points for this review are issues like questions of good faith in franchising, the various rights of franchisees at the end of their franchise agreements for example recognition for any contribution they have made to building the franchise, and the incorporation of the Competition and Consumer Act 2010 (Cth) with respect to enforcing the franchise code (O 'Connor, 2013). Additionally, nothing in this code limits any obligation imposed by the common law, applicable in a State or Territory, on the parties to a franchise agreement to act in good faith (section 23A).
This review also focuses on bringing another amendment to the Franchising Code in 2013 emphasizing on the participation in the franchising sector as a good indicator for Australia. Here, the main focused business is the small businesses.
Discussion
Franchise means the rights and obligations under a franchise agreement; a master franchise; a sub franchise; and an interest in a franchise (Office of Legislative Drafting and Publishing, 2010). The Franchising Code of Conduct (Franchising Code) is a mandatory code that is prescribed under the Competition and Consumer Act 2010. The purpose of this code is to regulate the conduct of participants in franchising towards other participants in franchising. Broadly speaking, it achieves this by requiring franchisors to disclose specific facts to franchisees and to follow set procedures in their dealings with franchisees. The Australian Competition and Consumer Commission (ACCC) are responsible for the administration and enforcement of the Franchising Code. The Australian Government funded Office of the Franchising Mediation Adviser assists franchisors and
Contents Introduction 2 Discussion 3 Conclusion 11 References 12
Introduction
The major issues or background of the essay is the need to review the franchisee code of conduct in Australia and verifying the amendments those took place in 2008 and 2010. The key points for this review are issues like questions of good faith in franchising, the various rights of franchisees at the end of their franchise agreements for example recognition for any contribution they have made to building the franchise, and the incorporation of the Competition and Consumer Act 2010 (Cth) with respect to enforcing the franchise code (O 'Connor, 2013). Additionally, nothing in this code limits any obligation imposed by the common law, applicable in a State or Territory, on the parties to a franchise agreement to act in good faith (section 23A).
This review also focuses on bringing another amendment to the Franchising Code in 2013 emphasizing on the participation in the franchising sector as a good indicator for Australia. Here, the main focused business is the small businesses.
Discussion
Franchise means the rights and obligations under a franchise agreement; a master franchise; a sub franchise; and an interest in a franchise (Office of Legislative Drafting and Publishing, 2010). The Franchising Code of Conduct (Franchising Code) is a mandatory code that is prescribed under the Competition and Consumer Act 2010. The purpose of this code is to regulate the conduct of participants in franchising towards other participants in franchising. Broadly speaking, it achieves this by requiring franchisors to disclose specific facts to franchisees and to follow set procedures in their dealings with franchisees. The Australian Competition and Consumer Commission (ACCC) are responsible for the administration and enforcement of the Franchising Code. The Australian Government funded Office of the Franchising Mediation Adviser assists franchisors and
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