Franchising

RFG to pay certain franchisees as ACCC settles legal action

The ACCC has accepted a court-enforceable undertaking from Retail Food Group Ltd (ASX: RFG) in which RFG, the operator of many well-known franchising brands, has agreed to make payments to and waive historical debts of a number of affected current and former franchisees, in relation to the purchase of certain corporate stores by these franchisees.

RFG will also pay $5 million to franchisees of Michel Patisserie stores who paid levies into that franchise’s marketing fund between 1 July 2012 and 30 June 2017.

Jim's Group pays penalties for alleged breach of Franchising Code and the Australian Consumer Law

Jim’s Group Pty Ltd has paid $24,420 in penalties in its capacity as franchisor of the Jim’s Dog Wash franchise after the ACCC issued it with two infringement notices for an alleged contravention of the Franchising Code of Conduct, and an alleged contravention of the Australian Consumer Law (ACL).