New Zealand Franchise Association Calls For Regulation
From New Zealand, we learn that Franchise New Zealand - Franchise Association Calls For Positive Regulation:
" The Franchise Association of New Zealand has come out in favour of franchise regulation with calls for six specific recommendations to be included in legislation currently before parliament.The recommendations proposed by the Association, which will be submitted to a Parliamentary Select Committee shortly, are :
1. A registration system for organisations which offer franchises for sale.
2. Registration of advisors to the franchise industry.
3. Terms which can result in disqualification from registration. Association chairman Miles Agmen-Smith said these will be similar to regulations covering company director or investment adviser disqualification.
4. A system for registration of sub-franchisees with their franchise system.
5. Extension of the Association's own disclosure document requirements to all franchises.
6. Compulsory mediation before any disputes or entering arbitration or other legal routes."
Franchising is often compared to marriage - both involve long term relationships in which both parties enter the relationship with high hopes.
In marriage, there are no disclosure laws - you are free to make very bad decisions which may have a large financial impact.
In marriage, there are no relationship laws peculiar to the institution.
In marriage, the only time the law becomes involved is at the termination of the relationship.
Family law for franchisees anyone?
