Franchises
The question
To ask the Secretary of State for Business and Trade, if he will take steps to prevent companies from changing commissions to franchisees at short notice.
Answered by Justin Madders
The franchising industry self-regulates through the British Franchise Association (BFA) and its Code of Ethics, and the Quality Franchise Association, which offers a Code of Conduct. Franchise agreements are the primary instrument that govern the relationship between franchisors and franchisees and those should normally include details such as fees, territory rights, contract duration and dispute resolution mechanisms. Disputes are, therefore, a private matter in which it would be inappropriate for Government to intervene.
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