{"id":34551,"date":"2021-09-14T13:09:45","date_gmt":"2021-09-14T01:09:45","guid":{"rendered":"https:\/\/propertynoise.co.nz\/au\/?p=34551"},"modified":"2021-09-14T13:09:45","modified_gmt":"2021-09-14T01:09:45","slug":"major-changes-to-franchise-laws-will-significantly-impact-the-real-estate-industry","status":"publish","type":"post","link":"https:\/\/propertynoise.co.nz\/au\/major-changes-to-franchise-laws-will-significantly-impact-the-real-estate-industry\/","title":{"rendered":"Major changes to franchise laws will significantly impact the real estate industry"},"content":{"rendered":"

PHOTO: O*NO Legal\u00a0Founder and Legal Strategist, Kristen Porter<\/strong><\/p>\n

Important changes to Australian franchise laws, introduced in July, will impact both franchisors and franchisees, regardless of expansion plans.<\/h3>\n

The new laws will apply to new franchisee agreements, as well as renewals, meaning old contracts will eventually be superseded, despite how long they\u2019ve been in place.<\/p>\n

O*NO Legal<\/a>\u00a0Founder and Legal Strategist, Kristen Porter, said the new laws were franchisee friendly, and designed to balance the power relationship between the two parties.<\/p>\n

\u201cThe changes will increase the cost of administering franchisee agreements, putting more red tape in place, and increasing the civil penalties for non-compliance, so it\u2019s critical that all franchisors are across the amendments.\u201d\u201cEssentially, the laws are almost classifying franchisees as consumers, with consumer protections put in place,\u201d she said.<\/p>\n

At a high level, the updated Franchise Code of Conduct includes increased protection for franchisees, enhanced disclosure requirements, and changes to the dispute resolution process.<\/p>\n

The changes also cover:<\/p>\n