LAW 525 Lecture Notes - Lecture 8: Loan Guarantee, Rescission, Collegehumor
6 Sep 2016
School
Department
Course
Professor
Document Summary
Chapter 8 law 525 franchising law. Franchisor -> authorizes a franchisee to use method of doing business in return for a fee & royalites (% of sales) F-ee: pros, cons, f-or assistance, successful business models, initial costs may be lower, lack of freedom, paying fees, royalties, buying from designated suppliers, f-or doesn"t deliever. Problems: franchising churning relies on churning franchisees, not delighting customers. Constutitonal authority: constitution act, 1867, s. 92(13) -> property & civil rights. Applies to franchise agreements (fa) in ont. Fa has: 1) one party (f-ee) pays another (f-or) to operate a business, 2) f-or allows f-ee to use its trademark, 3) f-or has significant control. Duty of fair dealing ( d of fd ) Cause of action for breaching (d of fd) Cause of action where disclosure contains misrepresentation or fails to contain. F-ee has right to rescind fa if disclosure not given or given late prescribed info. F-ee has right to associate with other f-ees.
