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What help and advice should I expect from my solicitor during the negotiation period?
After instructing your solicitor to act for you in the grant of your franchise, you may wish to discuss with your solicitor any documents that you are being asked to sign before you enter into a franchise agreement. The franchisor may require you to enter into a confidentiality agreement or a preliminary agreement, which may involve you paying a deposit to the franchisor. You should always consult your solicitor before signing any agreement, or paying any money over to the franchisor. In particular, you will want to know if the monies you are paying over as a deposit will be refundable in the event that you decide not to go ahead with the franchise. Preliminary documents may also impose certain obligations on you regarding confidential information you receive and may prevent you from being involved in a competing business should you decide not to go ahead with the franchise in question. Naturally, you will want your solicitor to thoroughly review and report to you on the franchise agreement that you are being asked to sign by the franchisor. Your solicitor should explain the provisions of the franchise agreement to you so you understand the rights that you are being granted by the franchisor and your obligations under the agreement. Your solicitor should also point out any particularly unusual or onerous provisions in the franchise agreement.
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