Recent Blog Posts

Navigating the Uncertain Waters of Franchise Renewal Agreements: An Introductory Map

Daniel Hamson

Published September 28, 2017

When approached with preparedness, renewal negotiations can offer the opportunity to retain a great franchisee and adapt the terms of the parties’ agreement to reflect evolving priorities and changing industry conditions, or, if the arrangement is no longer fruitful, amicably conclude the business relationship.

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Wishart Act Amendments Introduced

Peter Viitre

Published September 15, 2017

On September 14, 2017, the Ontario Government introduced Bill 154, the Cutting Unnecessary Red Tape Act, 2017, which includes the amendments to the Arthur Wishart Act (Franchise Disclosure), 2000 (the “Wishart Act”) that were recommended by the Ontario Business Law Advisory Council in its Fall 2016 Report. 

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Delivery Apps in Restaurant Franchising: How to Deal with Brand Protection?

Jennifer Kulyk & John Sotos

Published September 7, 2017

Disruptive technology has hit the restaurant industry in recent years, expanding the range of options for consumers to order their favourite meal in a fast and convenient way. Third party delivery apps offer restaurants the ability to outsource delivery, increase online promotion, provide more convenient options to consumers, and potentially increase revenues.

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Food Delivery Apps in Restaurant Franchising: How to Deal with Fees?

Jennifer Kulyk & John Sotos

Published August 31, 2017

Food order and delivery apps are rising in popularity.  Most are familiar with names such as UberEats, Foodora, and Doordash. Just recently, McDonalds partnered with UberEats to offer food delivery services to customers. Many restaurant franchise systems are encouraging or exploring the use of food delivery apps, in large part because they represent a new revenue source previously unavailable to all except the few who invested heavily in home delivery infrastructure.

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A New Era in Franchisee Compliance Strategy

Allan D.J. Dick

Published August 29, 2017

Franchisors go to great lengths to develop their systems.  They then spend significant resources to commit their processes and expectations to writing in the form of franchise agreements and manuals.  Most franchisors dedicate many days and often weeks to ensuring franchisees are trained in the system before opening their businesses to the public.  Compliance with these agreements and manuals is fundamental to the success of the system.

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Rights of First Offer and Rights of First Refusal: blessings or hidden trap

John Sotos & Mohsen Seddigh

Published August 11, 2017

When negotiating an agreement you may run into a clause titled Right of First Refusal (“ROFR”) or Right of First Offer (“ROFO”). Many people might read over such clauses and not pay much attention. Others may pay attention but not know if or how either clause may serve their interests. Regardless of which one they select, there can be unintended consequences down the line. Similarly, how the clause is drafted can have a material impact on the parties’ interests.

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Ontario Court of Appeal Weighs in on Canadian GM Dealer Litigation

Allan Dick

Published July 7, 2017

The Ontario Court of Appeal has released two decisions involving the appeals arising from trial decisions in a class action commenced on behalf of dealers of General Motors of Canada Limited (“GMCL”) against GMCL and Canadian-based law firm Cassels Brock and Blackwell LLP. In almost every respect, the Court upheld the results of the trial.

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Compliance, not reliance: Ontario Court of Appeal again emphasizes importance of disclosure document compliance

Jean-Marc Leclerc

Published June 9, 2017

In a series of cases decided over many years, the Ontario Court of Appeal has emphasized and re-emphasized the importance of complying with the technical rules of the Arthur Wishart Act (Franchise Disclosure), 2000, prescribing the contents of a franchise disclosure document.

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CASL Private Lawsuit Suspension: what does it mean?

Mohsen Seddigh

Published June 8, 2017

The Government of Canada temporarily suspended the implementation of certain provisions in Canada’s anti-spam legislation (“CASL”) that create a private right of action.

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Recommended changes to Ontario Labour law could open the door to more unionization in franchise sector

Louis Sokolov

Published May 25, 2017

On May 23, 2017, the Ontario government released the final report prepared as part of its Changing Workplace Review. This report follows a two-year process aimed at modernizing Ontario’s employment and labour laws, to address developments in industry and workplaces over the last two decades.

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