Article De Nationale Franchise Gids – Bankrupt because the franchisor refused to sell the franchise company – dated January 28, 2020 – mr. AW Dolphin

Can a franchisor refuse to sell a franchise business to a prospective buyer, even if it is a last resort for the franchisee? Can the franchisor then even file for bankruptcy of the franchisee?

A franchisor recently filed for the bankruptcy of its own franchisee due to payment arrears. The franchisee has argued twice that it found a potential buyer, but that the franchisor blocked the sale of the franchise business by refusing its consent. After all, the franchisee was prohibited from selling the franchise company without the prior written approval of the franchisor. With the intended sale, the franchisee could have made up the payment arrears with the franchisor

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mr. AW Dolphijn – franchise lawyer

Ludwig & Van Dam franchise attorneys, franchise legal advice. Do you want to respond? 

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