A guarantee is a contractual promise to pay the liabilities of another.
When a franchise agreement is entered into between a franchisor and a corporate franchisee, such as a limited company, it is usual for the franchisor to require at least one individual, such as a company director or key shareholder, to provide a personal guarantee that they will satisfy the obligations and liabilities of the franchisee, in the event that the franchisee fails to meet those obligations and liabilities under the franchise agreement.
We are one of the leading firms of franchise solicitors in the UK with over 40 years’ experience of advising franchisors and franchisees. We are highly rated in both the Legal 500 2022 and Chambers & Partners Guide 2022 for Franchising. We act for approaching 100 franchisor brands and we have been Affiliate Members of the British Franchise Association since 1977.
We provide a complete franchise legal advice service in all aspects of franchising for both new and established franchisors and franchisees.
Our team of franchise solicitors is described by industry commentators as ‘exceptional in every respect’ and handles both contentious and non-contentious franchising matters.
Our specialist team of franchising solicitors are recognised as second to none when handling a wide range of franchise business sales and purchases. We have a strong franchise disputes resolution practice and have been involved in many of the leading franchise disputes cases in the last 15 years.
Jane Masih is recognised in the Hall of Fame in the Legal 500 2022 Guide and a Band 1 Franchise Lawyer in the Chambers & Partners Guide 2022.
Russell Ford is recognised as a Band 1 Franchise Lawyer in the Chambers & Partners Guide 2022 and Lynsey Smith is described as a “force to be reckoned with” in the Legal 500 2022 Guide.
Our franchise lawyers act for an evergrowing client base reflecting the wide range of sectors in which franchises operates including domiciliary care, fitness clubs, quick service restaurants, home services, courier and logistics and commercial and domestic cleaning services.
Acting for Franchisors
- Advising on the establishment of franchise networks including drafting franchise agreements.
- Amending and updating franchise agreements and franchise documentation.
- Overseeing and managing resales between outgoing franchisees and incoming franchisees on behalf of the franchisor.
- The enforcement of post-termination restrictive covenants against former franchisees.
- Advising on disputes with franchisees including claims for breach of contract and misrepresentation.
- Enforcement of franchisor’s intellectual property rights, including trade mark infringement and passing off.
- Acting on the acquisition of UK master licence rights.
Acting for Franchisees
- Fixed-fee Franchise Agreement Reviews.
- Advice on buying and selling existing franchise businesses.
- Advice on the sale and purchase of multi-unit franchises.
- Advising on termination of franchise agreements.
- Advising on misrepresentation issues, claims for damages for breach of contract and negligent advice by franchisors.
- Advising on premises acquisition and lease negotiations.
Acting for Action Groups
- Representing dozens of action groups of franchisees, involving allegations of breach of contract by the franchisor.
- In 2019, representing Cash Generator franchisees in their buy-out of the business and brand.
- Advising on and negotiating changes to franchise agreements proposed by the franchisor.
- Drafting Franchise and Master Licence Agreements
- Acquisition and Sale of Franchise Networks
- UK and EU Competition Law and relevant exemptions
- Franchise Resales
- Acquisition of Premises
- Trade Mark Advice and Brand Protection
- Employment and HR support
- Disputes between Franchisor and Franchisee
- Franchisee Misrepresentation Claims
- Breach of Contract and Compensation Claims
- Injunction Proceedings
- Enforcement of Restrictive Covenants including Restraint of Trade
- Franchisee Associations
- Franchise Mediation
Our experienced team of franchise disputes resolution solicitors act for franchisors, action groups of franchisees and individual franchisees in a wide range of franchise disputes arising from franchise agreements. Our work involves claims for breach of contract, enforcement of restrictive covenants, misrepresentation and financial compensation.
We take a proactive approach to achieve the best possible result for our clients mindful always of the need for swift resolution of franchise disputes in a cost effective manner.
Where appropriate we represent franchise clients in injunction proceedings in order to achieve an immediate interim remedy until their wider claim is heard by the court. Increasingly, we encourage our clients to seek to resolve disputes through mediation and other forms of alternative dispute resolution. As these alternatives to court proceedings can offer a more cost effective approach.
By working closely with our Property Disputes team we provide our clients with a full service for all their business needs.
We offer a comprehensive franchise agreement review service for all prospective franchisees. The written report outlines the principal terms and highlighting any unusual or onerous provisions. We also offer a follow-up telephone consultation to ensure that all concerns are addressed. The service is offered for a fixed fee. For further details please click below.
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