Supermarkets COOP and PLUS merge
The intended merger will mean that the COOP supermarkets will be converted to the PLUS formula. In that case, the supermarket entrepreneurs of COOP will become members of the cooperative of PLUS.
The proposed merger is subject to various approvals, including the following:
- the Netherlands Authority for Consumers and Markets (ACM);
- the Council of Members of COOP;
- the General Assembly of PLUS.
It is by no means certain in advance that these required approvals will be obtained without further ado. PLUS and COOP seem to expect few problems here and indicate that they will have completed the transaction in early 2022.
For the individual entrepreneurs of COOP and PLUS, the proposed change will have a major impact on their operations.
- existing PLUS entrepreneurs may see a competitor appear under the same formula in their market area;
- existing COOP entrepreneurs will have to convert the store, with all the associated costs and divestments.
In the meantime, numerous supermarket formulas have been taken over and “swallowed up”. These include Edah, Super de Boer, C1000, Emté and more recently DEEN. In each of those processes there were supermarket entrepreneurs who successfully resisted the transformation. Ludwig & Van Dam successfully assisted supermarket entrepreneurs.
- See the successful resistance of an Emté entrepreneur who was forced to convert to COOP, but preferred to convert to PLUS: https://bit.ly/3jNrh8V
- See also the successful resistance of an Albert Heijn entrepreneur against the conversion of a DEEN to the Albert Heijn formula: https://bit.ly/38KaVHY
Transition processes in supermarket formulas are complicated processes that can turn out very differently per supermarket entrepreneur and per market area. The legal merits are complex and often subject to short deadlines and with far-reaching consequences. Expert legal assistance to supermarket entrepreneurs is an absolute must here.
Ludwig & Van Dam lawyers, franchise legal advice.
Do you want to respond? Then email to dolphijn@ludwigvandam.nl
Other messages
A proven success formula?
In these times of malaise and tentative recovery, it is of course also grating and hinged in the franchise world.
The duty of care of the franchisor is further specified in the context of the
In recent years, a large amount of jurisprudence has come to light regarding the non-achievement of the forecasts by the franchisee.
The bankrupt franchisor
In the current time of economic downturn, bankruptcies of companies are the order of the day.
The right of the franchisor to sell its franchise organization to a
Many franchise agreements contain a provision stating that the franchisor reserves the right
Locations on the move
There is a lot of construction going on in the Netherlands. New shopping centers are springing up here and there. Old ones are modernized and renovated.
Making changes by the franchisee to the
In addition to a franchise agreement, the franchisee has often also concluded a rental agreement with the franchisor.