المنظمون

هيرو السيد / ماركو

Mr. Marco Hero

Marco HeroMarco Hero

Partner & AttorneyPartner & Attorney

TIGGES RechtsanwälteTIGGES Rechtsanwälte

Zollhof 8Zollhof 8

D-40221 DüsseldorfD-40221 Düsseldorf

+49 211/8687-112 (Tel)+49 211/8687-112 (Tel)

+49 211/8687-270 (Fax)+49 211/8687-270 (Fax)

hero@tigges-info.de

The European Experience with Laws on Franchising

International Conference & Expo for Franchise

Riyadh, June 2, 2008

I. Laws applicable to franchisingI. Laws applicable to franchising

1.1.General regulationsGeneral regulations

- General commercial, trade and civil lawsGeneral commercial, trade and civil laws- Trademark lawTrademark law- Consumer protection rightsConsumer protection rights

2. Specific franchise laws2. Specific franchise laws

-Registration requirementsRegistration requirements-Pre-conctractual disclosure Pre-conctractual disclosure -Franchise relationship laws Franchise relationship laws

I. Laws applicable to franchisingI. Laws applicable to franchising

3. Codes of Ethics3. Codes of Ethics

-Europe Franchise FederationEurope Franchise Federation- every national European Franchise every national European Franchise Association,Association,

e.g. German Franchise Associatione.g. German Franchise Association

Difference to laws: Difference to laws:

Codes are not legally enforceable, but Codes are not legally enforceable, but ethically binding for franchisorsethically binding for franchisors

II. Franchise Laws in EuropeII. Franchise Laws in Europe

1.1. European Countries with Franchise European Countries with Franchise LawsLaws

- BelgiumBelgium- FranceFrance- ItalyItaly- RomaniaRomania- SpainSpain- SwedenSweden

II. Franchise Laws in EuropeII. Franchise Laws in Europe

2. Franchise laws require franchisors to:2. Franchise laws require franchisors to:

- Correct disclosureCorrect disclosure- Correct registration Correct registration - Correct franchise agreementsCorrect franchise agreements

Consequence of non-compliance:Consequence of non-compliance:

- Voidness of franchise agreement- Voidness of franchise agreement- Damage claims- Damage claims

III. European Countries without III. European Countries without Franchise LegislationFranchise Legislation

1.1. European countries without franchise European countries without franchise laws:laws:

e.g.e.g.

- AustriaAustria- GermanyGermany- SwitzerlandSwitzerland- United KingdomUnited Kingdom

III. European Countries without III. European Countries without Franchise LegislationFranchise Legislation

1.1. General laws and case law require General laws and case law require franchisors to:franchisors to:

- Some pre-contractual disclosureSome pre-contractual disclosure- Definition of franchise natureDefinition of franchise nature

Consequences of non-compliance:Consequences of non-compliance:

- Claims questionning franchise Claims questionning franchise agreementagreement

- Damage claimsDamage claims

IV. Franchise Laws vs. Self IV. Franchise Laws vs. Self RegulationRegulation

1.1. Pro franchise lawsPro franchise laws

- Clear definition of legal requirementsClear definition of legal requirements- Clear definition of franchise scopeClear definition of franchise scope- Clear definition of pre-contractual Clear definition of pre-contractual

phasephase

2. Contra franchise laws2. Contra franchise laws

- RegulativeRegulative- Advance costs Advance costs

Franchising in EuropeFranchising in Europe

Thank you for your attention!Thank you for your attention!

Marco HeroMarco HeroPartner & AttorneyPartner & Attorney

TIGGES RechtsanwälteTIGGES RechtsanwälteZollhof 8Zollhof 840221 Düsseldorf40221 DüsseldorfTel.: +49 211 8687-112Tel.: +49 211 8687-112Fax: +49 211 8687-270 (fax)Fax: +49 211 8687-270 (fax)Email: Email: hero@tigges-info.deDüsseldorf – Frankfurt – Warzaw - KitzbühelDüsseldorf – Frankfurt – Warzaw - Kitzbühel

المنظمون

هيرو السيد / ماركو

Mr. Marco Hero