Draft bill on franchising
A law is being drafted for the franchising industry to improve relations between franchisors and franchisees. The proposal has now been announced, fresh off the press. With this, State Secretary Mona Keijzer of Economic Affairs and Climate Policy and Minister Sander Dekker for Legal Protection are implementing the agreements from the coalition agreement and the government’s wish to introduce legislation that should better protect the franchisee in the future. For example, the bill limits the franchisor’s ability to unilaterally change contracts.
The draft bill that the Ministry of Economic Affairs and Climate Policy has drawn up with the Ministry of Justice and Security will enter internet consultation on 12 December 2018 for a period of seven weeks. See: https://www.internetconsultatie.nl/wet_franchise
If you have any questions about this, or would like to exchange ideas, we would like to hear from you.
We would like to keep you informed of developments via our website, but also through our newsletters.
mr. AW Dolphijn – franchise lawyer Ludwig & Van Dam Franchise attorneys, franchise legal advice.
Do you want to respond? Go to dolphijn@ludwigvandam.nl
Other messages
Franchise Board Rules
In practice, various forms of consultation circulate between franchisor and franchisee.
Developments in competition law
Some time ago, the Netherlands Competition Authority (NMa) made a groundbreaking ruling that is of great importance to all franchise organizations in the Netherlands.
Transfer Arrangements
Franchise agreements usually include transfer arrangements
The right to the formula name upon termination of the franchise relationship
In practice, discussions regularly occur when the franchise relationship is terminated between a franchisor and one or more franchisees
The possibility of actively or not actively recruiting customers outside
Based on the relevant regulations, active recruitment activities by the franchisee are permitted
Customers, clientele and exceptions thereto
Some franchise constructions have the characteristic that the products or services in question are only supplied to certain consumers.