Column Franchise+ – mr. Th.R. Ludwig: “Judge: franchisor’s duty of care comparable to that of a bank”

Various judgments in 2016 made it clear how high the standard of care for a franchisor towards its franchisees is. 

In one of the relevant issues, the franchisees purchased from the franchisor, who in turn purchased the inventory from various suppliers, which was then delivered to the franchisees. The franchisor therefore pre-financed through these purchasing costs. This situation is very similar to direct supply by the franchisor in its capacity as supplier.

Other messages

Lien of the franchisee

Can a prospective franchisee invoke a right of retention to reclaim an entry fee if a franchise agreement is not concluded after the pre-agreement has been concluded?

Know-how franchise formula now also legally protected

Know-how is one of the most essential parts of a franchise formula.

No franchise agreement, despite the designation

Not everything is what it looks like. Even if the franchisor and franchisee believe that there is a franchise agreement, the legal situation may be different.

By Ludwig en van Dam|13-12-2018|Categories: Franchise Agreements, Franchise Knowledge Center / National Franchise and Formula Letter Publications|Tags: |
Go to Top