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Franchising update: Proposed changes to Franchising Code of Conduct

Event Details


On-demand webinar

Australia | 1 CPD point

The Government released its response to the Parliamentary Inquiry into the Franchising Code of Conduct on Thursday, 20 August 2020.

A number of significant changes are proposed to the Franchising Code of Conduct, including to:

  • increase penalties for breaches of the Franchising Code of Conduct
  • require franchisors to disclose information on supplier rebates, commissions and other payments from suppliers
  • strengthen franchisees’ rights when a demand for significant capital expenditure is made
  • require 7 days’ notice of termination in certain circumstances
  • permit group mediations, conciliation and voluntary binding arbitration.

The Government will also consult with the sector in relation to various issues including a franchise registration system, the ability of franchisees to negotiate an early exit from the franchise relationship and in relation to the form of an additional disclosure statement to be provided to franchisees.

We will analyse the Government’s response and proposed changes to the Franchising Code in detail.

We hope you can join us for this important legal update. Please feel free to invite any other colleagues that may also be interested.

Please click here for our recent alert on the proposed changes to the Franchising Code of Conduct.