Franchising Lawyers
Franchise Law
Franchising is a well-established way for businesses to expand and for individuals to operate under an existing brand and business system.
It also comes with a detailed legal framework. Franchisors and franchisees need to understand the Franchise Agreement, disclosure requirements, fees, territory, supplier arrangements, renewal and transfer provisions, personal guarantees, restraints and the requirements of the current Franchising Code.
Legal advice can help franchisors prepare and maintain appropriate franchise documentation and help prospective franchisees understand the obligations they are considering before they sign.
Rise Legal assists franchisors and franchisees across Australia with commercial franchise matters, including Franchise Agreements, Disclosure Documents, franchise reviews, transfers, renewals and related business law issues.
We have offices in Perth, Sydney and the Gold Coast, and assist clients Australia-wide.
What Can Our Franchise Lawyers Do For Franchisors?
We can assist new and existing Franchisors with the legalities and processes they must comply with so they can either set up or simply get on and run their franchise.
- ZPreparing Franchise Agreements and Disclosure Documents
- ZCompliance with the Code
- ZBusiness structuring advice
- ZCommercial Leasing
- ZProtection of your intellectual property
- ZFranchise Agreement Renewals
- ZFranchise Agreement Variations
- ZFranchise Agreement Transfers
- ZAnnual Compliance updates
Franchising is a well-established way for businesses to expand and for individuals to operate under an existing brand and business system.
It also comes with a detailed legal framework. Franchisors and franchisees need to understand the Franchise Agreement, disclosure requirements, fees, territory, supplier arrangements, renewal and transfer provisions, personal guarantees, restraints and the requirements of the current Franchising Code.
Legal advice can help franchisors prepare and maintain appropriate franchise documentation and help prospective franchisees understand the obligations they are considering before they sign.
Rise Legal assists franchisors and franchisees across Australia with commercial franchise matters, including Franchise Agreements, Disclosure Documents, franchise reviews, transfers, renewals and related business law issues.
We have offices in Perth, Sydney and the Gold Coast, and assist clients Australia-wide.
Rise Legal assists franchisors with the legal work involved in establishing, reviewing and maintaining a franchise system.
Our franchise work can include preparing and reviewing Franchise Agreements and Disclosure Documents, advising on current Franchising Code requirements, business structuring advice, commercial lease matters, protecting intellectual property, and assisting with renewals, variations, transfers and annual franchise documentation updates.
For franchisors, the legal framework needs to work alongside the commercial operation of the network. That can include reviewing how fees, territories, supplier arrangements, intellectual property, renewal rights, transfer provisions and other obligations are documented across the franchise system.
We also assist established franchisors who want their existing documents or processes reviewed against current legal requirements and the way the franchise system operates in practice.
If you would like to discuss a new franchise system or review existing franchise documents, book a free 15-minute call with Rise Legal.
Franchise Agreements
Franchise Agreements, Contracts and Other Legal Services in Australia
A Franchise Agreement is the contract that sets out the legal relationship between the franchisor and franchisee.
It usually deals with matters such as:
- the franchise term;
- initial and ongoing fees;
- royalties;
- marketing contributions;
- territory;
- supplier requirements;
- training and operational support;
- use of trademarks and other intellectual property;
- performance obligations;
- personal guarantees;
- transfer rights;
- renewal or extension;
- termination;
- restraints; and
- obligations that continue after the agreement ends.
The Franchise Agreement should be considered together with the franchisor’s Disclosure Document and the requirements of the current Franchising Code.
The Franchising Code is a mandatory industry code that regulates important aspects of the relationship between franchisors, franchisees and prospective franchisees.
It includes requirements dealing with matters such as pre-contract disclosure, consideration periods, cooling-off rights, good faith, capital expenditure, specific purpose funds, transfers, termination, end-of-term arrangements and dispute resolution.
For proposed new Franchise Agreements, franchisors generally need to provide prescribed documents before the agreement is entered into. These can include the proposed Franchise Agreement, Disclosure Document, a copy of the Franchising Code and certain lease or occupancy documents where applicable.
Franchisees should review the Franchise Agreement carefully before signing because the commercial and legal effect of the agreement can continue for many years.
A legal review may consider issues such as:
- fees and payment obligations;
- territory and exclusivity;
- supplier restrictions;
- minimum performance requirements;
- capital expenditure;
- personal guarantees;
- intellectual property and trademark use;
- renewal rights;
- transfer provisions;
- termination rights;
- restraints; and
- obligations after the franchise ends.
A lawyer can also explain how the Franchise Agreement works alongside the Disclosure Document and the current Franchising Code, and identify provisions a prospective franchisee may wish to clarify or raise with the franchisor.
The Rise Legal team assists franchisees with reviewing Franchise Agreements and related franchise documents before they decide whether to proceed.
Legal advice can help a franchisee understand the obligations they are considering, but it does not guarantee that a franchisor will agree to proposed changes or that a franchise will achieve a particular commercial outcome.
We Are Committed to Quality Franchising Legal Services
The Franchising Code of Conduct outlines the rights and responsibilities of franchisors to franchisees, including particular requirements for disclosure of information, the provision of a cooling-off period, and unconscionable conduct. Only by knowing these things can you take adequate steps to set up a compliance system to protect you from defaulting under your franchise Code obligations.
Complying with the Code is mandatory. It’s enforced by the Australian Competition and Consumer Commission and the penalties for breaching the Code are quite severe.
At Rise Legal, we pride ourselves on being experienced in the franchising legal space. Our commitment is rooted in a deep understanding of our clients’ businesses, ensuring that the advice we provide is not only legally sound but also tailor-made to align with your unique business model and objectives. We recognise that every franchisor has their own set of visions and challenges, and our approach is to address these with personalised legal strategies.
To facilitate this, we offer a complimentary initial consultation. This no-obligation conversation allows us to delve into your specific needs and outline how our services can support your franchising venture. Engaging with our team is a straightforward process, starting with this initial meeting, where we listen intently to understand your business before advising on the next steps. This is your opportunity to experience our expertise firsthand and see the difference a lawyer with real-world franchising experience can make.
There are many legal considerations to take into account when it comes to setting up, buying or selling franchises, so it’s important to get advice from a commercial lawyer to ensure you comply with all the regulations and requirements.
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