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What advice can I expect from my solicitor during negotiations with a franchisor?
A solicitor can offer assistance with negotiations on various aspects of a franchisee’s relationship with its franchisor, not just in relation to the franchise agreement but, for example, with the negotiation of any lease terms if the franchisee is taking a lease or sub-lease from the franchisor. A solicitor’s main role will be to advise a franchisee on the franchise agreement. The reason why solicitors are rarely involved in extensive negotiations is that a franchisor is unlikely to entertain any negotiation on or amendments to the franchise agreement or business model as franchise agreements are usually presented on a take it or leave it basis. Many franchise solicitors provide a franchise reviewing service, through which they will produce a report and advice on the obligations under the franchise agreement, for example, by highlighting any hidden costs, onerous provisions or unreasonable deadlines. One of the first things a solicitor may advise you to do is a practical rather than a legal matter, and that is not to take the franchisor’s word about what he tells you about the franchise business. A franchisee should consider conducting its own due diligence checks on both the franchisor and the franchised business before beginning any negotiation with a franchisor.
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Exciting Franchise Opportunities
Companies to Consider
Recognition Express Ltd
£220,000 to £450,000+
Third party. 50%+ of capital required available to borrow
Ask for more information
Depends on store turnover
Tills & Sign Investment
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