March 18, 2025 Copyright ©️ 2025 by goldkeen International Patent & Trademark Joint Office


 

1. Europe

  • No unified franchise law, but pre-contractual disclosure is required in many countries.
  • France, Spain, the Netherlands, Belgium, Romania, and Sweden require disclosure by law.
  • Germany lacks specific disclosure rules, but the Civil Code requires good faith and full disclosure during negotiations.
  • Italy has enacted franchise-specific disclosure legislation in recent years.

2. Australia

  • Has comprehensive franchise regulations, including a mandatory Franchise Code of Conduct.
  • Franchisors must provide a disclosure document at least 14 days before contract signing.
  • The code also governs marketing funds, cooling-off periods, contract termination, and dispute resolution via mediation.

3. New Zealand

  • No dedicated franchise law; franchises are governed under general commercial law.
  • However, the Franchise Association of New Zealand (FANZ) maintains a self-regulatory code of conduct for its members.

4. United States

  • Franchise regulation is highly stringent.
  • Franchisors must disclose a Franchise Disclosure Document (FDD) containing 23 detailed sections about their business.

5. Canada

  • Recent legislation enhances disclosure and fairness toward franchisees.
  • Franchisees are granted rights such as forming associations and initiating collective actions.

6. China

  • Over 400,000 franchised outlets nationwide.
  • Franchisors must be registered with regulatory authorities and must:
    • Have operated at least two company-owned outlets for over a year;
    • Maintain a clean business record;
    • Provide long-term operational guidance and training;
    • Offer a 3-year standard franchise contract, operations manual, and working capital plan.

7. India

  • Franchise agreements are governed by the Indian Contract Act and Specific Relief Act, which provide enforceability and remedies.

8. Russia

  • Franchisors cannot impose pricing restrictions on franchisees.

9. Kazakhstan

  • Has dedicated franchise legislation, encouraging foreign investors by protecting intellectual property rights.

10. Lithuania

  • Defines franchise agreements as contracts between a “rights holder” and a “user”.

11. Brazil

  • Under the Brazilian Franchise Law, franchisors must provide a disclosure document covering brand, trademarks, technology, etc., in exchange for franchise fees.

12. South Korea

  • Laws require franchisors to support, educate, and assist franchisees in running the business.

13. Malaysia

  • Franchisors are legally required to provide materials, training, and marketing support to franchisees.

 

Note: This information is translated and summarized from [franchisense.org]. Local legal and regulatory conditions should be verified before entry into each market.

 

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