The franchisor compliance manual

Civil penalty provisions under the Code

Obligation Relevant clause
Failure to act in good faith subclause 6(1)
Failure to create a Code compliant disclosure document subclause 8(1)
Failure to update the disclosure document within 4 months after the end of each financial year subclause 8(6)
Failure to update the disclosure document to reflect the position of the franchise as at the end of the last financial year in circumstances where the franchisor was not required to update but a franchisee has requested a disclosure document subclause 8(8)
Failure to provide pre-entry disclosure documents as required by the Code subclauses 9(1) and (2)
Failure to provide lease documents where franchisee leases premises from the franchisor or its associate or failure to do so within one month subclauses 13(1) and (2)
Failure to provide lease information where franchisee occupies premises without a lease or failure to do so within the specified time subclauses 13(3) and (4)
Failure to provide certain agreements to the franchisee subclause 14(1)
Failure to comply with reporting obligations for marketing or cooperative funds subclause 15(1)
Failure to provide a copy of the disclosure document to a franchisee within specified time (after receiving a written request) subclause 16(1)
Failure to disclose a materially relevant fact subclauses 17(1) and (2)
Failure to provide notice of end of term arrangements subclauses 18(2)
Failure to inform a franchisee that it may request a disclosure document when providing notice of end of term arrangements subclause 18(3)
Failure to repay all payments (whether of money or of other valuable consideration) made by the franchisee to the franchisor within the specified time after the franchisee has exercised their cooling off rights subclause 26(3)
Failure to provide reasonable written notice of proposed termination for breach subclause 27(2)
Failure to provide reasonable written notice of proposed termination, and the reasons for it, where the franchisee is not in breach subclause 28(3)
Franchisor influencing, or attempting to influence a former franchisee to request that its details not be disclosed subclause 32(3)
Franchisor engaging in conduct that restricts or impairs the freedom or ability of franchisees or prospective franchisees to form an association clause 33
Failure to attend mediation under the internal complaint-handling procedure subclause 39(3)
Failure to attend mediation under the code complaint-handling procedure subclause 41(3)

 

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