Advisory Board on Regulatory Pressure (ATR) advises State Secretary Keijzer about the Franchise Act
The ATR recommends submitting the bill only after a number of points of advice have been taken into account. The advice is particularly worth reading and can be consulted via the link: https://www.atr-regeldruk.nl/wp-content/uploads/2019/02/30-U010-Ministerie-van-EZK-Wet-franchise-wgpdf
In short, it is first advised to actively inform franchisors and franchisees about this amendment to the law. Now that the consultation that has now closed shows that it has passed a large part of the industry, this seems to be extremely useful advice. It is also recommended to monitor the effectiveness of the law and to include an evaluation provision in the law. Now that the franchise agreement will move from an unnamed to a named agreement, this also seems like a welcome addition to the bill. The ATR also calls attention to the transitional period. In addition, the ATR asks for more clarification and definitions to be included in the bill for concepts that have not yet been further defined, such as “good franchisor and franchiseeship” “considerable consequences” etc. The ATR also recommends actively communicating goodwill calculation best practices so that parties know where they stand before concluding the franchise agreement. Finally, the ATR recommends including examples of what is meant by “conditions customary in trade”.
In short, the ATR is of the opinion that parts of the proposed legislation are not yet sufficiently concrete and known to have the desired effect in legal practice, or preventively, namely a more balanced franchise sector. We are particularly curious to what extent the Ministry takes into account the advice of the ATR.
mr. J. Strong – franchise lawyer
Ludwig & Van Dam Franchise attorneys, franchise legal advice. Do you want to respond? Go to strong@ludwigvandam.nl
Other messages
Preferential right of purchase in lease does not apply – September 7, 2018 – mr. AW Dolphin
Preferential right of purchase in a rental agreement does not apply
mr. Dolphijn writes chapter Franchising in Leidraad voor de Accountant
mr. Dolphijn writes chapter Franchising in Leidraad voor de Accountant
Distrifood: Ludwig & Van Dam Advocaten assists Emté franchisees in choosing a formula
Distrifood: Ludwig & Van Dam Advocaten assists Emté franchisees in choosing a formula
Transfer of business with ‘preferred supplier’ of franchisees
On 13 June 2017, the Amsterdam Court of Appeal ruled in interlocutory proceedings, ECLI:NL:GHAMS:2017:2144, on the question whether employees of a 'preferred supplier' of the
Late notification that no franchise agreement will be concluded
On April 11, 2017, EQLI:NL:GHARL:2017:3104, the Amsterdam-Leeuwarden Court of Appeal not only assessed the question of whether the negotiations on a franchise agreement to be concluded
Want to get rid of your franchise agreement in the meantime?
Franchise agreements are usually concluded for a longer period of time. How do you break open a franchise agreement?