Franchise Agreements

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Franchise Agreement Solicitors

Our Franchise Agreement Fees | Our Franchise FAQs

A franchise agreement is a legally binding contract between the parties to a franchise relationship, and for the franchisee to take ownership of the given franchise.

A franchise agreement protects both parties. It protects you as the franchisee and also protects the franchisor brand.

A franchise agreement is essentially a license from the franchisor to the franchisee. A license is essentially the permission one party gives to another to do or use something of value.

The franchisor licenses to the franchisee the right to use the franchisor’s intellectual property, systems and brand.
The franchisee obtains the rights to open a business using the franchisor’s intellectual property, systems and brand, if it meets certain conditions.

The documentation for a franchise agreement can be complex. Before the addendum and other content, they are usually 25-30 pages long- after these have been added, they can be 2-3 times longer.

How Can Freeman Harris Help You With a Franchise Agreement?

We have assisted a number of businesses with drafting franchising agreement and outlining what they need to be aware of to franchise their business.

If you have a franchise agreement dispute or would like us to provide advice on drafting a contract, please contact us, and we will outline the service we can offer, and the associated costs.

Contract Team

Ian Freeman

Ian has a great understanding of contract drafting especially for commercial purposes, and can assist SME’s with their legal needs.

Talha Fazlani

Talha has been working as a Paralegal assisting a range of departments with their research, drafting and correspondence.

Abdul Hafezi

Abdul carries out a broad range of legal work which include contract drafting and reviewing.

What our clients say?

I would recommend Freeman Harris solicitor to anyone. I was very happy in the way I was dealt with. The solicitor that handle my case was professional and efficient, she always put my mind at ease under difficult circumstance.

Franchise Agreement FAQ's

What is a franchise agreement used for?

A franchise agreement is a contract between a franchisor and a franchisee. It manages the legal relationship between the two parties.

A franchise agreement covers:

the rights to be granted to the franchisee;
the relevant territory where the franchisee can operate;
whether the franchise is exclusive;
outline the sales targets and development plans, and consideration; and
licensing of intellectual property (IP) rights and availability of trade names and domain names.

What are the obligations for parties in a franchise agreement?

A franchise agreement outlines each party’s duties and responsibilities for the duration of the franchise period, including end expectations.

It often covers a range of franchise business-related topics that include but are not limited to:

Training and assistance
Marketing and advertising
Operations and management
Intellectual property rights
Termination
Renewal
What are the grant of rights in a franchise agreement?

To operate the franchise during the length of the agreement, the franchisee is permitted to utilise the franchisor’s trademarks, service marks, logos, and operating procedures. The franchisor is granted the right to use these elements, but not having ownership of them.

What are the grant of rights in a franchise agreement?

Can the franchise be set up in an international location?

Where the franchisee conducts the business must be specified. The parties should be aware of the relevant commercial, political and cultural factors, guaranteeing that the franchisee has the knowledge and resources to develop the business overseas.

How long does a franchise agreement last?

The franchise agreement length will be determined through negotiations. The franchisee will seek a longer duration to maximize its return on investment. Franchise agreements typically have an initial period of five to ten years, while sometimes longer in international agreements. The period length that can be agreed upon is limited in several countries.

Can a franchise agreement be automatically renewed?

Under certain conditions and subject to the franchisee’s performance, domestic franchise agreements may provide for automatic franchise renewal. In international agreements where the period is often longer, and the power dynamics are more equal, automatic renewal may not be as attractive from the franchisor’s perspective. Regardless, the franchisor must prepare for the possibility of a replacement franchisee.