NETHERLANDS: Royal decree confirms effective date of 1 January 2021 for new Dutch Franchise Act.

The minimum implementation period of at least 2 months, the period between the date of publication and the date of entry into force, has not been respected. However, this deviation from the two-month period is considered justified by the Dutch government. It is argued that during the parliamentary discussion of the Franchise Act, January 1, […]

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POLAND: Decision of the President of the Polish Office of Competition and Consumer Protection regarding minimum prices of Yamaha music equipment agreed between the supplier and their distributors.

The President of the Polish Office of Competition and Consumer Protection stated that since 2004 Yamaha has been setting minimum prices at which their products were to be sold by distributors in online stores, which were calculated with the help of the logarithm. In addition, representatives of Yamaha Music Europe were setting minimum selling prices […]

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NEW ZEALAND: Water Babies International Limited v Williams and Others.

The application was for an interim injunction against Kelly Williams, a former franchisee at Wellington, as the First Respondent, Silvana Tizzoni as the Second Respondent and Coral and Aquamarine Limited as the Third Respondent. In essence, the franchise agreement with Kelly Williams expired and it was not renewed. However, she was devious and involved a […]

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New content now available on the IDI website!

IDI never stops. We’re always working to keep the website up-to-date. We are collaborating with new Country Experts for South and Central America and new reports are already available for Ecuador, Paraguay, Peru and Guatemala. In addition to them, we are involving further Experts and more new reports are coming soon. Moreover, maybe you didn’t […]

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POLAND: Statutory possibility of breaking the non-competition agreement by the principal (due to COVID-19).

This is a privilege that only serves the principal and enables him to avoid paying the agreed compensation to the agent. This solution – concerning not only agents but also employees or service providers – is criticized, because it interferes with the principle of freedom of contract and unjustifiably gives the right to terminate the […]

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EU – IRELAND: No "negotiation" for the Court of Justice of the European Union on commercial agent status.

Should Article 1(2) of Directive 86/653/EEC of 18 December 1986 on the status of commercial agents be interpreted as meaning that a self-employed intermediary who is acting as an agent on behalf of and in the name of his principal, but does not have the power to change the prices and contractual conditions of his […]

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CHINA: Recent Appeal Decision regarding the definition of a franchise and the right of unilateral termination in franchise agreements.

Sometimes they appear to be generally unaware of the Franchise Regulations. And sometimes this is the way the alleged franchisor can avoid the extra obligations of a franchise system, such as in this case where the prospective franchisee sought to exercise the right to unilaterally terminate the franchise agreement, even though the franchise agreement is […]

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SPAIN: International agency with decrease of sales. Clientele indemnity includes lost clients. Applicable law and competent courts.

The facts The Court of Appeal of Girona has issued a judgement in 18 May 2020 on an international agency agreement where an exclusive agent for Italy (“Mr. A”) represented in Italy a Spanish Shoes Manufacturer (“Espadrilles Banyoles, SL,”) under the trademark Castañer. The Agent was entitled to a commission for the shoes (and some […]

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INDIA: Franchising, licensing and distribution in India during the pandemic.

1. In light of virus-related lockdowns and restrictions on business, can one still sign franchise and distribution deals with Indian parties? Does it even make sense to, at this time? Yes, some multinational companies who were earlier keen to directly enter the Indian markets are now considering a franchise or distribution model in light of […]

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CANADA: Ontario Arthur Wishart Act 2020 amendments.

Carve-out from the obligation to disclose for confidentiality, site-selection agreements and deposits Before the amendments, franchisors could not require prospective franchisees to sign a confidentiality agreement, or a site-selection agreement, or pay any deposit prior to providing a franchise disclosure document and waiting the 14-day disclosure period. The amendments now make it possible for a […]

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NETHERLANDS: New Dutch Franchise Act has been adopted.

The new Act is expected to enter into force on 1 January 2021. From this date onwards, new franchise agreements concluded with franchisees operating in the Netherlands must comply with the mandatory provisions of the Dutch Franchise Act. Existing franchise agreements are subject to a transitional period of two years with regard to specific provisions […]

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Revision of the VBER: The EU Commission published its “Staff Working Document Evaluation”

This concludes an important phase of the process of revision of the VBER (expiring on May 31, 2022). The Staff Working Document Evaluation provides a clear and detailed explanation of the purpose, methodology and evaluation questions, with an in-depth analysis of all the inputs and requests received by the stakeholders. Although the Commission does not […]

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BRAZIL: The impact of COVID 19 on commercial agreements in Brazil.

We have also undergone into the difficult dilemma of choosing between mitigating the effects of the health crisis on its citizens or avoiding further disruption of production lines and business. There is still the fear that negative effects of the crossroads between the reduction of productivity and the increase in unemployment have not yet been […]

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