The Franchising Code of Conduct ('the code') contains a number of important protections for franchisees. 

One particularly important, yet often overlooked protection is the requirement that franchisees receive advanced notice of the franchisor's intentions when the franchise agreement is coming to an end.  Will the Franchisor consider an extension, or renewal - or do they intend for the relationship to end? 

A wide range of articles and government announcements have been published concerning the status of retail and commercial leases in the wake of the government mandated restrictions on trade and business operations that have come about as a response to the evolving COVID-19 crisis.  

Despite this, many tenants, especially commercial tenants who were not subject to the Retail Leases Act 1994 (NSW), were still uncertain as to what these announcements meant for them.

These uncertainties have now been removed in New South Wales, through the proclamation of the Retail and Other Commercial Leases (COVID-19) Regulation 2020 (NSW), which apply from 24 April 2020 until 24 October 2020.

Australia’s Franchising industry has been far from immune to the already significant impacts of the COVID-19 Pandemic.  In fact, franchises in the food and retail sector are likely to be amongst some of the hardest hit by the economic impact. 

Holman Webb is pleased to relay the firm's successful involvement in the recently announced Australian expansion of Planet Fitness® ('PF'), one of the largest and fastest-growing franchisors and operators of fitness centers in the United States.

Readers may recall that in January 2019, Ultra Tune Australia was hit by the Federal Court with a massive penalty of $2.6 million for breaches of the Franchising Code of Conduct - with this penalty including $1.1 million for breaches of disclosure obligations. Holman Webb previously reported on this matter.

UK-based online food order and delivery company Just Eat, and Dutch rival Takeaway.com have agreed to proceed with consolidation, creating one of the largest delivery companies in the world outside of China.

Now that we are well into August, it is crucial for franchisors to be aware that there are just three months remaining before the deadline for franchise disclosure documents to be finalised (31 October 2019).  Franchisors should similarly note that there are now only 2 months left to get your vote organised and finalised in relation to the auditing of your marketing fund, if you have one.

2019 has started with a couple of very significant cases in the retail leasing division of NCAT (NSW Civil and Administrative Tribunal) – both of which have gone the landlord’s way and delivered some unfortunate news for tenants in New South Wales.

We are pleased to announce our sector focussed leading lawyers have been recognised in the 2020 Best Lawyers in Australia list as published in the Australian Financial Review.

The news headlines are shouting about the ground breaking penalty of $2.6 million imposed on the auto repair franchisor Ultra Tune Australia, by the Federal Court last month, in the case of Australian Competition and Consumer Commission v Ultra Tune Australia Pty Ltd [2019] FCA 12.  Of that amount, $1.1 million was imposed for breaches of disclosure obligations under the Franchising Code of Conduct, including about $900,000 specifically arising from breaches of the obligations relating to accounting and disclosing of marketing funds.