Franchisor prohibits opening (franchise) company

A franchisor applied for interim measures to prohibit a franchisee from opening a franchisee’s business. See Court of the Northern Netherlands 26 June 2018, ECLI:NL:RBNNE:2018:2428. The franchisor believed that the franchisee had wrongly failed to consult with the franchisor before opening the business, to which the franchisee had invited 80 to 100 people. 

The preliminary relief judge rules that the franchisee is in breach of contract by deliberately planning the opening of the company outside the franchise agreement without referring to the franchisor, while it has been established that the company was set up thanks to the franchise agreement. Moreover, it has been established that the franchisor and franchisee had precisely agreed that the opening of the company would take place in joint consultation. The preliminary relief judge prohibits the official opening of the company planned by the franchisee, despite the fact that the invitations had already been sent and the planning had already been established. 

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

Alex Dolphijn in the Financial Dagblad about the judgment of the Supreme Court regarding Street-One

Franchisors more liable for incorrect forecasts Franchisees can now more easily hold their parent organization liable for incorrect profit and turnover forecasts.

Column Franchise+ – mr. Th.R. Ludwig: “Delivery stop by franchisor again not allowed”

Once again, the president in preliminary relief proceedings ruled on the question whether a franchisor's supply stop against the franchisee was permitted, with the franchisee paying a substantial

The manager (employee) who becomes a franchisee – fictitious employment?

On 14 December 2016, the subdistrict court judge of the District Court of Noord-Holland, ECLI:NL:RBNHO:2016:11031 (Employee/Espresso Lounge), considered the situation in which an employee

The Supreme Court sets strict requirements for franchise forecasts

A ruling by the Supreme Court on Friday casts a new light on the provision of profit and turnover forecasts to aspiring franchisees.

By Ludwig en van Dam|28-02-2017|Categories: Dispute settlement, Forecasting issues, Franchise Agreements, Statements & current affairs|Tags: , , |
Go to Top