Questions about franchising and the law
In this section, experts answer the questions most commonly asked about the legal requirements and stumbling blocks for franchisors and franchisees.
This purchase fee is primarily a prepayment to the franchisor for the building up of the market, the level of recognition and system development. » Read more
Typically the regular fees cover the services rendered by the central system to the franchisee after he/she has commenced business, notably in this context assistance with financing, management assistance and training facilities by the central system. » Read more
The system manual describes in detail how the franchise concept is to be realised. It includes instructions to facilitate the franchisee’s work as a manager. » Read more
Are franchisees given protected rights to an exclusive territory or an exclusive group of customers?
Above all, franchisees may not be forbidden to carry out passive marketing, which also includes for example e-commerce via the Internet. » Read more
"Know-how" means a package of non-patented practical information, resulting from experience and testing by the franchisor, which is secret, substantial and identified. » Read more