Posted by Elizabeth Gore-Jones
on 10 January 2018
Amongst other things, the franchisor for the Pastacup franchise system and its director have been ordered to pay the following pecuniary penalties:
1. the franchisor is to pay $100,000; and
2. the franchisor's director is to pay $50,000.
Both the franchisor and its director must pay the legal costs of the ACCC in the amount of $12,000.
These orders were made because the court found that the franchisor and its director should have disclosed that the director was previous...
Posted by Elizabeth Gore-Jones
on 31 May 2017
The ACCC has sought leave to commence proceedings against Geowash Pty Ltd.
These proceedings with allege:
false or misleading representations;
unconscionable conduct;
failure to act in good faith.
The action will be against the director and national franchising manager of the franchisor also.
The ACCC will allege:
the franchisor made representations of earning and profit capacity of franchisees when the franchisor had no grounds to make those claim...
Posted by Elizabeth Gore-Jones
on 26 May 2017
In what is a seemingly busy time for franchising and the courts we have the new judgment of Guirguis Pty Ltd v Michel's Patisserie System Pty Ltd [2017] QCA 83
In point form this is what you need to know:
The franchisee alleged the franchisor had made misrepresentations as to, amongst other things, the delivery and quality of stock and failed to disclose a key supplier had shut down impacting on a number of franchisees;
The franchisees did not outline the alleged repr...
