Retail, Distribution & Franchising

A new era in retailing is underway. With e-commerce, alliances and speed to market becoming more critical, participants in this mature industry face a changed competitive landscape. As larger businesses consolidate at one end of the scale, many new growth areas and niche opportunities continue to emerge.

One of the sector’s key developments is the growth in franchising; in fact, Australia is the most franchised nation in the world. The success of the franchising model lies in its ability to service niche markets, meet the rising demand for convenience and standardised quality and support operators in an increasingly difficult business environment.

While the general trend in retail is moving toward total deregulation, franchising and distribution have emerged as a new field of legal and business specialty over the past 15 years with franchisors facing increased regulatory obligations.

Franchising in Asia

Although franchising was conceived in the west, the growth and and development of franchising undoubtedly lies in the emerging markets of Asia. Franchising in Asia varies greatly from country to country. It takes an understanding of a particular market's regulatory framework, business environment and cultural practices and franchise laws - where they exist - to successfully set up and then manage a franchise network in that market. The guides below are intended to give franchisors an overview of what they can expect to face and the sorts of issues they should be taking into account when considering expansion into Asia.

Deacons is recognised as a leading firm in the area of franchising throughout Australia and Asia. With franchising, intellectual property and and competition law experts in each of its 16 offices in Asia, Deacons can offer franchisors superior service and value.

Franchising in China - click here to view complete article

Franchising in Indonesia - click here to view complete article

Franchising in Malaysia- click here to view complete article

Franchising in Singapore - click here to view complete article

Franchising in Thailand - click here to view complete article

• Newsletter: Franchising Focus - June 2008

  Welcome to the June issue of Franchising Focus. In this issue we examine: Preparing your business for sale, What is a franchisee acquiring: business system or business potential?, Owner's drawing and misleading wages claims, Determining the monetary threshold for unconscionability actions and "Direct supervision" provisions in franchise agreement upheld

  17 Jun 08 Andrew Terry and Marshall Bromwich

• Legal update: WA Franchise Inquiry Report released

  The Report of the Bothams inquiry into the operation of franchised businesses in Western Australia released April 28 2008 has given the franchise sector a relatively clean bill of health.

  1 May 08 Stephen Giles

• Legal update: New .au Domain Name Transfer Policy from 1 June 2008

  In last month’s Legal Update on Upcoming Changes to .au Domain Name Transfer Policy we noted that the Australian domain name administrator (auDA) had approved an implementation plan for a new policy on the transfer on .au domain name licences. auDA has now confirmed that the new policy will take effect on 1 June 2008.

  18 Apr 08 Michael Park

• Legal update: New Guidance Note issued by the Takeovers Panel on equity derivatives

  On 11 April 2008, the Takeovers Panel (Panel) released Guidance Note 20 - Equity Derivatives (Guidance Note) outlining when, and in what circumstances, the use of equity derivatives may constitute unacceptable circumstances and require disclosure to the market.

  17 Apr 08 Robert Sultan, Shane Bilardi , Natalie Trezise

• Legal update: Upcoming changes to .au domain name transfer policy

  The Australian domain name administrator (auDA) recently announced that it has approved an implementation plan for a new policy on the transfer of .au domain names licences. (It is the exclusive licence to use the domain name that is transferred, rather than ownership of the domain name itself.) This announcement follows auDA’s earlier acceptance of the recommendation from the 2007 Names Policy Panel that the current policy be relaxed to allow a registrant to transfer its domain names for any reason.

  27 Mar 08 Michael Park , Ka-Chi Cheung

• Legal update: Market volatility - ASX and ASIC respond

  Sensing a growing controversy, the ASX and ASIC have issued a number of media releases in response to market concerns, reminding market participants of laws designed to protect the integrity of markets. This update discusses the ASX and ASIC statements in light of the current apparent market volatility.

  17 Mar 08 Tim Woodforde

• Legal Update: Franchising Code of Conduct - recent update to Trade Practices Regulation

  The Trade Practices (Industry Codes - Franchising) Regulations 1998, more commonly known as the Franchising Code of Conduct, was updated this month.

  14 Mar 08 Stephen Giles

• Legal update: ACCC releases new draft merger guidelines

  The ACCC recently published its 2008 Draft Merger Guidelines for consultation. These guidelines are intended to provide an explanation of the framework the ACCC will apply when considering whether a merger or a proposed merger could substantially lessen competition in a market. Guidelines such as these issued by the ACCC from time to time, provide a useful overview of polices and procedures applied by the ACCC when reviewing proposed mergers.

  4 Mar 08 Jyoti Singh and Chris Mitchell

• Legal update: New Australian Dangerous Goods Code 7th Edition

  The new Australian Code for the Transport of Dangerous Goods by Road and Rail (the ADG7) has now been released. The ADG7 will replace the Australian Dangerous Goods Code 6th Edition (the ADG6) and is scheduled for implementation in 2008. The requirements under the ADG7 are more closely aligned with the international requirements of the United Nations Recommendations on the Transport of Dangerous Goods Model Regulations. However, the ADG7 retains Australian specific requirements.

  6 Dec 07 Michael Tooma , Leanne Thomas

• Legal update: Parallel Importation of Trade-Marked Goods

  A recent decision of Justice Tamberlin in the Federal Court of Australia has again raised the problematic issue of parallel importation of trade-marked goods. That case is Brother Industries Ltd v Dynamic Supplies Pty Ltd [2007] FCA 1490.

  14 Nov 07 Andrew McRobert