Plenary debate dated June 9, 2020 in the Lower House of the Franchise Act – dated June 10, 2020 – mr. AW Dolphin
On 9 June 2020, the legislative proposal for the Franchise Act was discussed in plenary in the House of Representatives. An amendment and a motion have been tabled.
Amendment by members Palland and Aartsen on mandatory legal character only for franchisees established in the Netherlands. This amendment provides that the Franchise Act may not be deviated from to the detriment of franchisees operating in the Netherlands. Deviation, on the other hand, is permitted to the detriment of franchisees operating outside the Netherlands. Therefore, even if a choice of law for Dutch law has been made between the parties (where the franchisee operates outside the Netherlands), that choice does not preclude agreements that deviate from the Franchise Act being made in the franchise agreement to the detriment of that franchisee.
Motion by member Aartsen on a consultative body of franchisors and franchisees. This motion requests the government to bring representatives of franchisors and franchisees together in a periodic consultation body and to encourage them to come to model agreements and agreements for the implementation of the open standards from the Franchise Act.
The bill has received a generally positive reception and appears to meet with little resistance from members of the House of Representatives.
The (uncorrected) report of the plenary debate in the House of Representatives on the Bill to the Franchise Act can be read via the following link: https://www.tweedekamer.nl/kamerstuks/plenaire_verslagen/detail/10ef6de4-abce-44d3- 871b-a8537cd7e282#ide038e8f4
The Chairman has indicated that the bill, the amendment and the motion will be voted on next week.
mr. AW Dolphijn – franchise lawyer
Ludwig & Van Dam Franchise attorneys, franchise legal advice. Want
you respond? Go to
dolphijn@ludwigvandam.nl
Other messages
Article The National Franchise Guide: “Why joint and several liability, for example, next to private?” – dated 7 January 2020 – mr. AW Dolphin
Franchisees are often asked to co-sign the franchise agreement in addition to their franchise, for example. Sometimes franchisees refuse to do so and the franchise agreement is not signed.
Ludwig & Van Dam Advocaten assists Sandd franchisees: Franchisees Sandd challenge postal monopoly in court – dated 12 November 2019 – mr. AW Dolphin
The Association of Franchisees of Sandd (VFS) is challenging the decision of State Secretary Mona Keijzer to approve the postal merger between PostNL and Sandd before the court in Rotterdam.
Franchisee trapped by non-compete clause? – dated October 21, 2019 – mr. AW Dolphin
The District Court of East Brabant has ruled that a franchisee was still bound by the non-competition clause in the event of premature termination of the franchise agreement.
Supermarket letter – 26
Supermarket Newsletter No. 26
Link franchise agreement and rental agreement uncertain? – dated October 14, 2019 – mr K. Bastiaans
It is no exception within a franchise relationship that the parties agree that the franchise agreement and the rental agreement are inextricably linked.
Termination of franchise agreement in case of changes in leased retail space – September 27, 2019 – mr. AW Dolphin
Termination of a franchise agreement in light of a substantial change in the leased retail space.