35. When will the ACCC take action against a franchisor?

The ACCC is responsible for administering the Competition and Consumer Act and will take enforcement action where necessary to ensure compliance with the Act.

The ACCC actively pursues franchising-related complaints where breaches of the Act can be substantiated, including:

  • breaches of the Franchising Code
  • misleading or deceptive conduct
  • unconscionable conduct.

The ACCC is particularly concerned where a matter involves conduct that:

  • indicates a blatant disregard of the law
  • causes significant detriment to consumers and/or businesses
  • is widespread
  • is of major public interest or concern.

The ACCC’s role does not extend to settling disputes between franchisors and franchisees that are purely contractual—for example, a dispute about how a specific term of the franchise agreement is to be interpreted.