When the relationship fails.
WHAT DISPUTES TYPICALLY CONCERN
Support not provided Fees and their calculation Standards enforcement Territory encroachment Supply arrangements and pricing Renewal and transfer Termination
WHAT TO ESTABLISH
What the agreement actually says.
WHY
Positions are frequently argued on expectations rather than terms.
WHAT TO DO FIRST
Attempt resolution directly.
WHY
Formal proceedings are slow and expensive, and the relationship frequently continues.
WHAT TO ESTABLISH
What outcome each party actually wants.
WHY
It is frequently narrower than the dispute suggests.
WHAT TO DOCUMENT THROUGHOUT
Support provided Standards findings Communications Payments
WHY
Disputes turn on records.
WHAT TERMINATION REQUIRES
Grounds under the agreement Proper notice An opportunity to remedy, where required Following the process exactly
WHY EXACTLY
Improper termination is challenged and reversed, and it can produce liability.
WHAT TO TAKE
Legal advice, before terminating anything.
WHAT TO ADDRESS ON TERMINATION
Cessation of brand use Return of materials Outstanding payments Equipment and premises Customers and their information Restrictions on competing
WHAT TO EXPECT
That a terminated franchisee may continue operating independently.
WHAT TO ENFORCE
Post-termination restrictions, where enforceable.
WHAT TO ESTABLISH BEFOREHAND
Whether they are enforceable.
WHY
Overly broad restrictions are frequently unenforceable.
WHAT TO PROTECT
Customers and the brand, immediately.