On 1 January 2015 the Franchising Code was repealed and replaced with the New Code. The New Code has made sweeping changes to the Disclosure Document. The new, updated Disclosure Document is now available from Precedents Online!
As well as having all the 2015 changes, our version comes fully formatted in Microsoft Word ready for you to download and edit. It includes automatic paragraph numbering, drafting notes and a table that update itself automatically. Guaranteed to save time and effort in drafting this complex document.
The changes in the New Code Disclosure Document include:
- the common law obligation to act in good faith;
- marketing funds be kept separate
- marketing funds only be used for purposes disclosed .
- franchisors required to contribute to marketing funds;
- limits significant capital expenditure ;
- limits end of term restraint of trade covenants ;
- limits nominating a jurisdiction for dispute resolution ;
- require a new ‘information statement’ in addition to the disclosure document;
- expands the information to be given in a disclosure document
- expands the circumstances in which penalties may be imposed on franchisors for breaches of the code.
18 pages long.