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The line between licence and franchise: is the agreement a franchise?

In the decision of Leon Cycle Pty Ltd v Hi5 Scooters Pty Ltd and Jamal Raad Raad, Her Honour Judge Burchell held that the Licensing Agreement between Leon Cycle and Hi5 Scooters was not a franchising arrangement for the purposes of the Franchising Code of Conduct.

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Licenced to operate: What the ASIC v RAMS litigation offers about licence models applying to franchise systems

The Schaper report in December 2023 recommended further evaluation of the merits of replacing the Franchising Code of Conduct with a licensing regime. This recommendation arose after a submission to the review by the Australian Competition and Consumer Commission. Without detail of what a licensing regime may look like there is uncertainty about what any licensing regime may require. The recent case of ASIC v RAMS however provides an illustration of the effect a licensing regime may have on a franchisors. Click here to read more.

#franchising #licensing #franchisor_liability

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