Failing to cooperate in checking hygiene requirements of the franchisee

The court in Amsterdam recently ruled in a case where a franchisee did not meet all hygiene requirements. In addition, he was contractually obliged to resolve these shortcomings. The franchisor has summoned the franchisee to do so several times. Subsequently, the franchisee does not cooperate with a renewed inspection and in this way prevents an adequate inspection of hygiene requirements that are part of the franchise formula.

Ultimately, the franchise agreement is dissolved and the franchisor invokes the non-compete clause. In interlocutory proceedings, the presiding judge considers that the franchisee should at least have cooperated in a closer inspection and control of his establishment. Furthermore, the hygiene requirements, as pertaining to the franchise organization, were a contractual requirement. In addition, this had been further coordinated and agreed upon in the Franchise Council. The president therefore holds the franchisee to the non-competition clause.

Essentially, this is a simple matter. The franchisee should have contractually met the hygiene requirements. Furthermore, he should in any case have cooperated with a closer inspection and not – not even after summons from the franchisor – prevented a new inspection. As a result, he has blocked every conceivable defense and has raised the suspicion that the franchise agreement has been terminated with justification.

It goes without saying that HCCAP standards, et cetera, are of eminent importance for franchise relationships in fast food, catering and food. In addition, the checks were based on random checks by the Food and Consumer Product Safety Authority.


Mr Th.R. Ludwig – Franchise lawyer

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