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
Supermarket letter – 6
No inspection of Association C1000 in documents C1000 acquisition
mr. Th.R. Ludwig teaches a master class franchise course for NFV on September 16, 2014
On September 16, Mr. Ludwig discuss various legal aspects involved in franchise relationships during a course organized by the NFV.
Formido franchisee stumbles over burden of proof in prognosis case
Formido franchisee stumbles over burden of proof in prognosis case
Is the end of the lack of evidence in prognosis cases in sight?
For many years, the franchise agreement has been, as it is called, an unnamed agreement.
Ex-Franchisee sentenced to rectification at EenVandaag after unacceptable statements
Very recently, the President has ruled in interlocutory proceedings that the franchisee has made statements, the correctness of which has not been established.
Jumbo’s refusal to convert C1000 is definitely subject to appeal
A sad outcome for a C1000 franchisee, of which the preliminary relief judge of the court in Amsterdam