B.C. Franchises Act will level the playing field for franchisees, lawyers sayFebruary 3, 2017 7:26 pm
Thanks to B.C.’s new Franchises Act that came into effect February 1, franchisees in the province can breathe a small sigh of relief, proponents say. More than four years in the making, the act will make it more difficult for underhanded franchisors to hide behind arcane lease clauses, sealed financial records and ethereal sales projections.
“It should cut down the opportunity for deceptive practices and exploitation within the franchise relationship,” said Greg Blue, senior staff lawyer at British Columbia Law Institute, which wrote a consultation paper and a report about franchise legislation in B.C. Blue stressed that the protection afforded by the legislation isn’t one-sided.
“The benefits of the Franchises Act do not flow in only one direction,” he said. “It is helpful to franchisors as well by creating much more certainty around the standard of pre-contractual disclosure in franchising.”
Categorized in: Western Investor