Column Franchise+ – mr. J Sterk: “Court orders fast food chain to extend franchise agreement
The right to extend the franchise agreement
The case is set to begin this year. The franchisee has been refusing for years to sign the new franchise agreement that is offered upon renewal, as this would entail a deterioration of his legal position. However, the franchisor considers the existing franchise agreement outdated and strives for uniformity. However, the franchisee wants to negotiate the content with his lawyer first. The franchisor does not like this and points out that due to the conflict that has arisen and the interference of the lawyer, fruitful cooperation would no longer be possible. The franchisor then terminates the franchise agreement. The franchisee then starts summary proceedings. The court is of the opinion that the franchisor was too hasty and should have negotiated the terms of the extension with the franchisee and his lawyer. The franchisor is sentenced to extend the franchise agreement until an irrevocable decision has been made in proceedings on the merits that have apparently yet to be started, and that can take years, including an appeal and possibly even cassation.
Other messages
Article Franchise+ – Current state of affairs Franchise Act – dated March 27, 2020 – mr. AW Dolphin
The legislative process regarding the Franchise Act continues despite everything.
Rent reduction and corona crisis – dated 25 March 2020 – mr. Th.R. Ludwig
In this turbulent time for franchisors and franchisees, many are faced with ongoing obligations that have become problematic.
Franchise agreements and the corona crisis – dated March 20, 2020 – mr. AW Dolphin
A time of draconian measures with far-reaching consequences. There is a lot of legal uncertainty, also in franchise relationships.
Recommendations by the franchisor in general terms are permitted – dated March 6, 2020 – mr. AW Dolphin
The boundary between praise in general terms on the one hand and culpable deception and misrepresentation on the other remains a difficult issue.
Article De Nationale Franchise Gids – Know-how decisive for scope of application Franchise Act – dated 5 March 2020 – mr. RCWL Albers
It will have escaped the attention of few in the sector that on 10 February 2010 the legislative proposal for the Franchise Act was submitted to the House of Representatives.
Column Franchise+ – A conflict can be prevented, just communicate well – February 2020 – mr. AW Dolphin
Formula changes are a fascinating topic. It is often the subject of conflicts, but those conflicts can be avoided.