Individual and collective advocacy

Individual and collective advocacy

Ludwig & Van Dam franchise attorneys counts among its core tasks the provision of (legal) assistance to both franchisees and franchisors. Legal assistance to franchisees can be provided individually or collectively.

Franchisees

Individual

A franchisee, of any franchise organization, may at any time be required to seek legal assistance for a variety of reasons. This may be due, among other things, to a conflict with the franchisor. This includes, for example, the prognosis problem (which is explained in more detail under another button), but also a difference of opinion regarding the transfer of the business of the franchisee involved, problems regarding delivered goods, administrative disputes, difference of opinion regarding the marketing policy, lack of formula development by the franchisor and so on. A source of dispute between a franchisee and his franchisor may also lie in the sublease relationship that often exists between the two, in which the franchisor is responsible for proper compliance with the sublease agreement and therefore has the role of lessor in that context.

With the entry into force of the Franchise Act, the interpretation of the rights and obligations contained herein may lead to a difference of opinion and possibly even to disputes.

Ludwig & Van Dam franchise attorneys handles all these matters. Ludwig & Van Dam franchise attorneys also frequently assist franchisees with regard to the purchase and/or sale of a company, business transfer and, apart from conflict situations, analyzing various agreements with which the franchisee concerned has to deal with in his business operations. Ludwig & Van Dam franchise attorneys can also assist the franchisee concerned in the event of a conflict with a (local) government, for example in connection with whether or not to grant permits.

Franchisees

Collective

In addition to the individual representation of interests on behalf of franchisees described above, in practice it often happens that franchisees combine their interests, whether or not via an (informal) association of franchisees or a franchise council. Such collectives of franchisees are regularly assisted by Ludwig & Van Dam franchise attorneys. This may concern conflict situations with the franchisor involved, which could then include, again, prognostic problems, but also various other problems that may arise in the cooperation between the franchisor involved and its franchisees, such as an inadequate purchasing policy, insufficient formula development. by the franchisor, problems with restyling, malfunctioning marketing or lack of clarity about costs and fees. Such a collective conflict often originates from declining income on the part of franchisees, but one could also think of a situation in which a franchisor transfers the formula to a third party, resulting in different insights regarding the use of the formula in question.

Even in a situation where there is no conflict, Ludwig & Van Dam franchise attorneys frequently act in an advisory and guiding role for (collectives of) franchisees. Examples include contract analysis, supervising business transfers, supervising communication between the franchisor and franchisees, supervising reorganisations, and so on. Boards of franchisees’ associations are often assisted in this.

Franchisors

Ludwig & Van Dam franchise attorneys counts many franchisors among its clients, both large and small. These franchisors are assisted in many areas by Ludwig & Van Dam franchise attorneys. As a mirror image of the above, one can think of legal assistance in case of conflicts with franchisees or other parties, such as (local) governments, suppliers or competitors. In addition, assistance in an advisory sense should be considered, not least with regard to the rights and obligations arising from the Franchise Act.

Ludwig & Van Dam franchise attorneys regularly draw up franchise agreements and assist franchisors with the introduction of new franchise agreements (in accordance with the relevant provisions of the Franchise Act), perform competition law tests, assist franchisors in assessment processes concerning alleged or not alleged fictitious employment situations, creates links between franchise and rental agreements, in short, assists franchisors with all their contractual wishes and questions.

In addition, Ludwig & Van Dam franchise attorneys frequently supervise takeover processes, both when it concerns a franchisee’s company or the franchisor’s company itself. Ludwig & Van Dam franchise attorneys also regularly act as chairman of the franchise council of franchise organisations. Such a role lends itself pre-eminently to identifying any problems between franchisor and franchisee at an early stage and to resolve them in good consultation.

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