GREECE: A new draft on franchising has been issued in Greece.

The draft is composed of 9 articles that provide definitions of franchising, the field of application of the law, the form and contents of the contract, the pre-contractual conduct obligations of the franchisor, the disclosure obligation and the pre-post-contractual non-competition obligations. A franchising contract is defined as an agreement between two independent legal subjects, through […]

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ARGENTINA: Two further decisions of Argentinean Labour Courts on franchising.

Judgement: Fernandez Mirta Liliana c/Aquino Marciana y otro s/ despido, Buenos Aires, 28 February 2007. In this case, the labour court condemned the franchisor for the labour debts owed by franchisee to a former employee on the basis that, despite the franchise agreement is made between independent parties and the franchisor does not exercise any […]

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Some considerations on the Glaxo case. A radical change in the approach to parallel imports?

In fact, in the first case dealing with this matter, the Grundig case, decided by the Court of justice on 13 July 1966, the principle was stated that clauses which grant an absolute territorial protection to an exclusive distributor, by preventing parallel imports to his territory: amount to a ‘per se’ violation of article 81 […]

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UK: An interesting recent new case on commercial agency. Crane v Sky In-Home Services.

Secondary Activities   The UK Regulations took advantage of Article 2(2) of the European Directive on commercial agents by incorporating a provision to the effect that the UK Regulations would not apply to agents whose activities as commercial agents are considered secondary. A Schedule to the UK Regulations provides that the activities of a commercial […]

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SWITZERLAND: Some judgements of the Federal Supreme Court on commercial agency and distribution agreements.

Federal Supreme Court Judgement 4C.2006/2005 of 28 September 2005   In its judgement, the Federal Supreme Court upheld a judgement at the previous instance regarding the termination without notice of an exclusive agency agreement by the manufacturer because the exclusive agent had defaulted on payment and had failed to meet the minimum purchasing obligations. The […]

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THE IDI WEBSITE FEATURES A NEW COUNTRY: URUGUAY.

A new country report on commercial agency in Uruguay is now available in the Reports section of the website, provided by Hector Ferreira, the new IDI Country Expert for Uruguay, whose CV has been included in the IDI Experts web page. All the main laws, particularly rules on commercial agency, provisions on private international law […]

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EUROPEAN COURT OF FIRST INSTANCE: An important judgment partly annuls the Commission Decision in the GlaxoSmithKline (GSK) Case, on Article 81 of the EC Treaty.

In March 1998 GW adopted new General Sales Conditions, which provided that its medicines would have been sold to Spanish wholesalers at prices differentiated according to the national sickness insurance scheme which would have reimbursed them. In practice, medicines intended to be reimbursed in other Member States of the Community would have been sold at […]

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THE NETHERLANDS: A national judgement regarding the motor vehicle sector.

The dispute was related to the question whether the supplier (Peugeot Nederland) was under an obligation to supply the unauthorized dealers and repairers the same diagnostic equipment as supplied to the authorized Peugeot dealers and repairers. The defense of Peugeot Nederland against a claim to this effect by the group of unauthorized dealers and repairers […]

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LEBANON: Supreme Court decision on the applicability of Decree-law No. 34/1967 to exclusive commercial agency contracts.

In the present case, the plaintiff was denying as a ground of avoidance the incompetence of the judicial courts, based on an arbitration clause. The Supreme Court rejected the ground, deciding that the application of the Lebanese decree-law No 34 of 1965, as subsequently amended, related to exclusive agency agreements is mandatory for the protection […]

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UNITED ARAB EMIRATES: New amendments to the Commercial Agency Law.

At the beginning of September 2006, the Ministry of Economy issued the Resolution No. (381) regarding cancellation of the Commercial Agencies Registration, that sets out the procedure and the specific conditions under which a commercial agency might be cancelled from the ministerial Register. The main provisions of the new law are devoted to reducing the […]

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BELGIUM: Comment on the judgment pronounced by the Supreme Court of Belgium on 16th November 2006.

I. Introduction The issue is very important since in Belgium the unilateral termination of an exclusive distribution agreement concluded for an indefinite period of time that covers part or all of the Belgian territory, is governed by a very unique Act of 27th July 1961 (modified on 13th April 1971). This Act is outmost protective […]

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NEW CONTENTS ON THE IDI WEBSITE: Finnish contract translations and new national case-law.

The translations into Finnish of the IDI balanced short-forms of agency and distribution agreements are now available in the Contracts section of the website, thanks to the contribution of the IDI country expert for Finland, Ville Hailikari. In addition, the Reports section of the IDI website has been improved by introducing new interesting judgements provided […]

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EUROPEAN COURT OF JUSTICE: Decision on the applicability of Art. 81 of the EC Treaty to exclusive fuel distribution agreements.

‘Must Articles 10 to 13 of Regulation [No 1984/83] be interpreted as meaning that they include within their scope contracts for the exclusive distribution of motorvehicle and other fuels which are nominally classified as commission or agency contracts and which contain the following clauses: the service-station operator undertakes to sell the supplier’s motor-vehicle and other […]

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EUROPEAN COURT OF JUSTICE: A further judgment regarding the motor vehicle sector.

The joined cases concerned the termination of distribution contracts by BMW, with a period of notice of one year, on the assumption that there was for the supplier the necessity of restructuring its distribution network. In fact, Regulation 1475/95 allowed the supplier to terminate the distribution agreement subject to at least one year’s notice in […]

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FRANCE: From franchise to sales agent through a “commission-affiliation”: an interesting decision of the Paris Court of Appeal.

Indeed, under this type of agreement, the principal, unlike the franchisor, remains the owner of the products that are offered to consumers via the distributor (i.e., the “commissionaire-affiliate”), and thus maintains control over both the availability and the sales price of the products. In the abovementioned case (Paris Court of Appeals, 5th Chamber, Section A, […]

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LEBANON: The Court of First Instance of Beirut issued an important decision on commercial agency agreements.

«Article 5 of decree-law n°34 dated 11/7/1967 providing: “In spite of any contrary clause, the court of the representative’s activity deals with agency agreement’s disputes”, is related to public order that protects the representation’s rights, especially regarding the cancellation or termination or non renewal of the contract. Therefore, the competence and the arbitration’s clauses inserted […]

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