for business owners wanting to expand, franchising is a pathway to growth

Macpherson Kelley acted for a franchisor in receipt of a Section 51ADD notice pursuant to the Competition and Consumer Act 2010. We assisted in the preparation of the documents to be produced and provided responses to various concerns raised by the ACCC.

Our team developed a strategy which allowed them to assess the risk profile of the client and implement mitigation strategies to minimise any exposure the client may have.

In acting for a national food franchisor, Macpherson Kelley provided extensive advice around the franchisor’s obligations under the Franchising Code of Conduct, in particular around the marketing fund requirements in light of the recent judgement in ACCC v Ultra Tune. Facing the challenge of “but this is how we have always done it” from the client meant our team needed to provide more than just extensive advice on the associated risk with not adopting the required changes. We worked through with the client what it would mean for the business and the network overall if the consequences of those risks came to fruition. Getting any organisation to change and overhaul their systems is no easy feat, however by providing extensive specialist advice and becoming the trusted advisor ensured we could implement those changes successfully for our client.

Macpherson Kelley worked with a start-up business in establishing a unique franchise system within the fitness sector. The solution incorporated two kinds of systems – a licensing system and a mobile/on demand system using an app. Bringing the two together involved lateral thinking, as there was nothing else like it on the market. As well as applying our franchise expertise, we called on lawyers from other practice areas, such as our intellectual property and tax teams to help establish a sustainable framework.

Macpherson Kelley acted for a franchisor which sold flat pack kitchens and who had a franchisee set up his own business providing the same service. The claim involved alleged breaches of the franchise agreement by the franchisee as well as breaches of confidential information when he left the franchise. At mediation we were able to negotiate an agreement, the former franchisee would not operate for a certain period of time or within a certain area, safeguarding the franchisor from any further losses. He also returned all confidential information held by him which related to our client’s business as well as payment of compensation.