Franchise & Law No. 5 – Acquisition Fraud and Franchising Act
The Acquisition Fraud Act came into effect on 1 July 2016. This includes amendments to Section 6:194 of the Dutch Civil Code. In short, the amendment means that if there is misrepresentation when offering goods or services in business relationships, this will result in an unlawful act. This implies that the Acquisition Fraud Act also applies in the pre-contractual phase of entering into a franchise agreement.
In this contribution, the civil law aspects of the Acquisition Fraud Act and the pre-contractual phase in entering into franchise agreements will be examined in more detail, in particular the reversal of the burden of proof.
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The limitation of a non-competition clause
A former franchisee has a non-compete clause in his franchise agreement that prohibits him from cooperating during and for two years after the termination of the franchise agreement.
Franchise agreement/sublease agreement link
Franchise agreements and sublease agreements must be adequately linked. After all, the sublease agreement is governed by mandatory tenancy law. Not easy here
Franchising is serious business
Franchise practice is characterized by a wide variety of issues that manifest themselves in it.
Price maintenance: always void?
The Court of Appeal in The Hague ruled some time ago that influencing the price level at which the franchisee sells the products to the consumer can be susceptible to competition law.
Another franchisor against will and thanks?
For various reasons, franchisors and franchisees are confronted with the (desire to) transfer of rights
Compensation for insufficient duty of care by the franchisor
Compensation for insufficient duty of care by the franchisor