Nice weather as an excuse?
Legal discussions are regularly held about the question of whether disappointing visitor numbers in a (new) shopping center can be blamed on the lessor. Recently some statements have been made in this regard. These statements are important because estimates of visitor numbers may form part of forecasts as made available to the franchisee by the franchisor. The culpability can therefore extend to the franchisor and is therefore not limited to the operator of the shopping centre.
Whether disappointing visitor numbers in a (new) shopping center can be blamed depends very much on the facts and circumstances of the case. In concrete terms, this means that the lessor and/or the franchisor may indeed be liable if the figures presented turned out to be unrealistic afterwards.
An independent research obligation of the prospective tenant/franchisee is of course important in this respect. As a professional counterparty, the necessary may be expected of him in this regard. However, if a shopping center provides very clear figures that are also decisive for entering into the final rental agreement, then this can indeed be decisive. It is also important to check to what extent the data of the shopping center has been taken into account in the final forecast and to what extent these data are decisive for any deviations found. In this context, a professional attitude from the franchisor may be expected. Generalities such as economic malaise or a buyers’ strike because of the warm weather are therefore not valid.
Ludwig & Van Dam franchise attorneys, franchise legal advice
![](https://ludwigvandam.megaconcept.nl/wp-content/uploads/2020/12/232court-min-400x222.jpg)
Other messages
Article De Nationale Franchise Gids: “Reinvestment obligation for franchisees has limits” – dated October 13, 2020 – mr. RCWL Albers
In practice, it often happens that franchisors choose to renew their franchise formula and the appropriate image
Judge anticipates Franchise Act: no mandatory formula change (without threshold value)
The District Court of Amsterdam ruled that a Blokker franchisee is not obliged to renovate the store in accordance with the latest formula principles, as instructed by Blokker.
Interview Mr. J. Sterk and mr. C. Rutten in Franchise+: “Call to the automotive sector: prepare yourself well for the new Franchise Act” dated October 2, 2020
The new Franchise Act has a broad effect, also in the automotive sector. But are people aware of it enough?
Article The National Franchise Guide – “Corona discount of 50% on the rent” – mr. AW Dolphijn – dated September 15, 2020
Disappointing turnover due to the corona crisis may mean that the rent is halved, even if the rent is partly turnover-related.
Article Franchise+ – “Franchisor uses “derivative formula” (without his knowledge)” – mr. AW Dolphijn – dated September 9, 2020
Many franchisors will not be aware of the fact that they use a "derived formula" as referred to in the Franchise Act.
Article Franchise+ – “Obligations and rights of the starting franchisee” – mr. AW Dolphijn – dd
What should you pay attention to as a starting franchisee, what are your obligations and what are your rights when concluding the franchise agreement?