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New Franchises
We have over
twenty years experience in preparing
Franchise Agreements for new franchising
ventures, for use both in UK and
internationally. We have prepared all types
of Franchise Agreements from restaurants to
retail shops, from mobile operations to
travel agencies, from internet companies to
dental practices. Our clients have included
Franchisors who are the biggest in their
field in the UK and, in some instances, the
biggest in the world in their industry.
We also
prepare Franchise Agreements for renewals
and review Franchise Agreements prepared by
other law firms to update them for recent
changes in the law.
Our Franchise
Agreements are regularly approved by the
British Franchise Association when our
clients are seeking accreditation and
re-accreditation to the BFA.
Franchising Disputes
Sales and Purchases of
Franchise companies
We act for
both Franchisors and Franchisees who wish to
sell their businesses or the shares in their
companies. By becoming involved at an early
stage we seek to reduce the legal fees
payable in respect of the invariable
negotiations on warranties and limitations
on warranties by agreeing the extent and the
limits on those in advance in Heads of
Agreement.
Master Licensing (view)
We advise on
Master Franchise Agreements for both
incoming and outgoing Franchises. We have
long experience in negotiating favourable
terms for either our Master Franchisor
clients or our Master Franchisee clients.
Most of our incoming international clients
come from USA, Canada, Australia, New
Zealand or South Africa. By way of example
we recently advised a British based company
on taking a master licence of a major New
Zealand product. We have also recently
advised a US client in respect of
establishing its German concept in UK.
To learn more of the basics
of a Master Licence relationship for which
click here
Area Development Agreements
Area
Development Agreements are, in essence,
framework agreements with one Franchisee for
him or her to open multiple outlets for the
same Franchisor. They can involve an area
of UK (or an area of a foreign country) or
in some cases the whole of a foreign
country.
By way of
example, we recently advised a substantial
Middle Eastern group who were entering into
an Area Development Agreement in respect of
an American owned Belgian concept for the
whole of Spain.
International Franchising (view)
International
Franchising is usually effected by one or
other of either a Master Licence Agreement
or an Area Development Agreement.
Alternatively
a Franchisor may endeavour to franchise its
System directly in the target country
(although there can be logistical problems
with this).
We have
advised on international franchising for
over twenty years and are the sole UK
Representative of the International
Franchise Lawyers Association [link]
an association of expert Franchise lawyers
throughout the world.
To learn more about the
different methods of international
franchising
click here.
EU Law
EU
Competition law can impact upon Franchises
whether they operate only in UK or in a
number of countries in Europe. We have long
experience in advising our clients on the
effect of Article 81 of the Treaty of Rome
and the two Block Exemptions which relate to
Franchise Agreements.
Competition Law
UK
Competition law can also impact upon
franchises. Again we have long experience
in advising our clients on the effect of the
Competition Act 1998 on Franchise Agreements
and the interaction with EU Competition law.
Franchise Mediation
Wherever
possible, if a dispute cannot be easily
resolved, we endeavour to settle the
Franchising dispute by recommending
mediation. This is a special procedure
whereby a trained mediator will discuss each
side’s case confidentially with that side
and endeavour by exploring with them the
strengths and weaknesses of their case to
bring the parties together. This is a
process which can save the parties a very
substantial amount in legal fees and which
is successful in more than 75% of cases.
Franchise Arbitration
The
arbitration process is an alternative to
Franchise litigation. In the right
circumstances it can provide a more
convenient way of settling a case than going
through the Courts.
Franchise Litigation
If all else
fails the parties may resort to litigation.
We have long experience in applying to the
High Court for interim injunctions to
prevent Franchisees from competing after
their Franchise Agreements have been
terminated. We also have long experience in
conducting litigation for both Franchisors
and large Groups of Franchisees in relation
to misrepresentation and breach of contract
claims.
Franchise Leasing
We also
advise Franchisors and Franchisee in respect
of leasing and sub-leasing commercial
properties from which they will conduct
their Franchises.
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