Delivery stop by franchisor not allowed
On 9 February 2017, the provisional relief judge of the District Court of Gelderland, ECLI:NL:RBGEL:2017:1372, ruled that a franchisor was not allowed to suddenly stop its obligation to supply the franchisee, despite the fact that the franchisee was in substantial payment arrears.
The franchisee had significantly reduced the payment arrears. For several years the franchisor had granted a substantial supplier credit for the remainder. It has not been established that the franchisor indicated at any time that the payment arrears were unacceptable to it as franchisor and that it had to be reduced to a certain amount within a certain period, or that it had to be repaid in full. The franchisor was therefore not free to suddenly take the position not to supply the franchisee anymore and to claim the full outstanding amount at once, without observing a term.
Another thing is that the granting of the supplier credit does not automatically entail the obligation to allow and continue to allow a further increase. The franchisor was therefore (well) free to supply the franchisee against payment in advance.
Franchisors cannot simply assume that they can always put the franchisee in jeopardy if the franchisee has payment arrears
mr. AW Dolphijn – Franchise lawyer
Ludwig & Van Dam Franchise attorneys, franchise legal advice.
Do you want to respond? Go to dolphijn@ludwigvandam.nl .
![232court-min](https://www.ludwigvandam.nl/wp-content/uploads/2020/12/232court-min.jpg)
Other messages
Success Albert Heijn franchisee against takeover Deen – mr. AW Dolphijn – dated July 29, 2021
An Albert Heijn franchisee has successfully defended itself against the ...
Article Franchise+: “Only with proof of transferred know-how can a non-compete appeal be invoked” – mr. T. Meijer – dated July 26, 2021
On July 16, 2021, the preliminary relief judge of the ...
Judge: “franchisee to move in standstill period” – mr. RCWL Albers – dated July 1, 2021
In recent proceedings before the preliminary relief judge in Utrecht, ...
Article Franchise+: “5 tips for starting franchisees” – mr. RCWL Albers – dated June 30, 2021
Choosing a franchise can be attractive for you as a ...
Supermarket Newsletter – No. 31 –
The Supreme Court still ruled in favor of Albert Heijn ...
Article De Nationale Franchisegids: The consequences of providing an incorrect (turnover and profit) forecast by the franchisor – mr. K. Bastiaans – dated June 9, 2021
In many cases, prior to entering into a franchise agreement, ...