The franchise business will contact you by means of email and/ or telephone only to the email address and phone number you have provided.
By submitting the enquiry form you are consenting to send your personal information to the selected franchise business.
You also agree to receive further newsletter email marketing from What Franchise.
Close
Is a protected trading territory classed as a restrictive practice?
EU competition laws apply to restrictions that prevent or distort competition to an appreciable extent in the EU. Similar principles apply within the UK under UK competition laws. A provision that involves restricting (or protecting) the territories into which, or the customers to whom, a franchisee may sell will generally fall within the competition law prohibition. It is a general principle that a franchisor must allow a franchisee to decide to whom and into which countries he or she wishes to sell. However, franchise agreements may restrict territories into which, or as the customers to whom, the franchisee may sell, so long as passive sales are permitted. Passive sales are sales by a company that responds to unsolicited requests from customers outside the exclusive territory. A restriction on active sales is permitted. Active sales are sales where a company approaches customers outside their exclusive territory or exclusive customer group, or an exclusive customer group reserved to the franchisor or allocated by the franchisor to another franchisee.
You might also be interested in

Answered by Alan Wilkinson
Alan Wilkinson writes: The short answer is no. The interesting bit is why a franchisee should actually... read more

Answered by Louise Harris
Louise Harris writes: This question is one that many have explored and much has been written on... read more

Answered by John Pratt
John Pratt writes: Virtually all franchise agreements are granted for a specific term and either contain an... read more

Answered by Shelley Nadler
Shelley Nadler writes: The answer to this will really depend on the reason your franchise is not... read more
Exciting Franchise Opportunities

Start your own BforB - UK franchise
Yes
Find Out MoreCirca £200,000 AFTER fees

Request Free Information
Send a free enquiry to BforB - UK for further information!

Start your own Dyno-Rod franchise
Yes
Find Out MoreN/A

Request Free Information
Send a free enquiry to Dyno-Rod for further information!

Start your own The Christmas Decorators franchise
Yes
Find Out MoreSix-figure profit

Request Free Information
Send a free enquiry to The Christmas Decorators for further information!

Start your own TREND Transformations franchise
Yes
Find Out More£600,000 to £800,000

Request Free Information
Send a free enquiry to TREND Transformations for further information!

Start your own The Design Print Distribution Group franchise
Yes
Find Out MoreTurnover circa £120,000. 30% profit...

Request Free Information
Send a free enquiry to The Design Print Distribution Group for further information!
Companies to Consider

Get expert franchising news delivered straight to your inbox
Franchise news, advice and new opportunities delivered weekly.
Must Read Articles
-
Brexit property investment myths BUSTED!
Added 3 years ago | 2 min read
-
5 greatest lessons we’ve learnt from COVID
Added about 7 hours ago | 2 min read
-
Franchisees, ace staff recruitment with these top franchisor-recommended strategies
Added 3 days ago | 2 min read
Franchises by Minimum Investment
Find your next business opportunity
Search 100s of UK franchises and become your own boss today.
-
Under 10k
Starting a franchise doesn't have to be costly
Click here -
Under 20k
A mid-range investment for the more experienced
Click here -
Over 50k
If budget is not an issue, then don't miss these.
Click here -
Local Franchises
Find the perfect franchise in a location to suit you
Click here
What Franchise Newsletter
Keep up to date with all the industry news