Expertise

Practice Profile

Franchise

Franchising has rapidly evolved into one of the most important sources of economic growth in Canada and around the world. The Cassels Brock Franchise Law Group ensures our clients understand the legal issues and fundamental aspects of franchising and related distributions models. Our dedicated practice group is recognized across Canada and around the world for its extensive practical experience in all facets of franchising, from local startup to international expansion.

Our franchisor clients represent a broad spectrum of businesses, from traditional business format franchises to clients offering services and products through new and unique methods of distribution. We have assisted them in matters at the local, national and international levels.

We regularly represent clients buying and selling one or more individual franchises, up to and including whole franchise systems, as well as others who service the franchise sector, such as the major banks.

Our franchise lawyers have expertise in every sector of franchising, including entertainment; restaurant; fast food; retail; and service.

We offer complete legal and strategic advice, across jurisdictions, in the following areas:

• Set-up of franchise systems
• Negotiation and drafting of franchise agreements
• Compliance with franchise disclosure law
• Purchase and sale of individual units or complete franchise systems
• Expansion and financing strategies
• Securities law and public financing, including income trusts
• Internet, e-commerce and information technology
• Trade-marks and other intellectual property rights
• Master franchising and area development agreements
• Corporate and personal tax implications
• Dispute resolution and litigation
• International franchising
• Competition law

Our lawyers have provided business law advice on many prominent, unusual or unique transactions or commercial contracts, including:

• Acting for a prominent franchisor in the service industry in obtaining an injunction restraining a former franchisee from operating a competing business using the franchisor’s know-how and system
• Acting for a retail-sector franchisor in terminating an agreement with a franchisee that was in arrears, with minimal disruption to the franchise system
• Acting for a major franchisor in the fast-food sector in altering its franchise agreement with 250 existing franchisees
• Acting for a group of franchisees unhappy with their franchisor, and negotiating a successful exit from the franchise system for each franchisee
• Developing an e-commerce strategy for a Canadian retailer with franchised outlets, while minimizing any damage to its relationship with its franchisees