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
Franchisor remains liable for incorrect prognosis
Franchisor remains liable for incorrect prognosis
Prohibited market/area division in franchise agreements
Franchisees sometimes have more opportunities to break through market/area divisions than they think.
Link rent and franchise depending on goodwill arrangement
Link rent and franchise depending on goodwill arrangement
Franchisee, don’t forfeit your rights
Complaining out loud does not seem appropriate in an intensive collaboration such as franchising, let alone a liability claim.
Prohibited market/area division in franchise agreements: fines of millions set by the court
Prohibited market/area division in franchise agreements: fines of millions set by the court
The exclusive catchment area and the exclusive delivery
The exclusive catchment area and the exclusive delivery