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  Site Home » Business & Services » Opportunities & Openings
   
 

International Franchising; Did you read the agreement?

   
Author: Lance Winslow
 

Perhaps this may amuse you in some way. Did you know one of the ways that international franchisees of a US based franchisor often try to get out of the franchise agreement is by saying that they did not read it or could not read it? Or that they did not understand what they read, yet signed it and promised to follow all the stipulations? Well it is true.

And yes it happens in the United States too with franchisees who do not follow their words, signature or promises to follow the franchising contract, yet they still partake in all the fruits of the strong brand name, confidential proprietary knowledge and marketing techniques. Then they do not pay their royalties or follow the rules undermining the entire franchise system. Then when in litigation or arbitration they say; "I did not read the franchise agreement."

Well I got sick and tired of that crap and I designed this little paragraph for our franchise agreements to stop such BS from those who failed to keep their word;

7.17.3 Franchisee Read This Document

Franchisee acknowledges that they have reviewed the Franchise Agreement and the Franchise Offering Circular and have received all information, which Franchisee has requested concerning the business operation and any other information which in Franchisee's opinion was necessary for Franchisee to decide whether to enter into this Agreement. Franchisee also acknowledges that they believe they have made a good decision for themselves or for their partners, their company or their corporation based upon what Franchisee believes is their ability to run and control a business of their own.

- - - - - - - - - - -

Sometimes the lack of integrity in the world is a little unnerving but we are dealing with humans here and they so often cheat and lie that they often believe their own drivel. Without being too cynical perhaps you should ask a professional parasite [attorney] how you might deal with this issue in your company? Consider this in 2006.

 
 
 

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