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Media Release: FCA working for fair franchising outcomes in unfair contracts legislation

Written on the 3 July 2015 by FCA Media Release

The Franchise Council of Australia (FCA) is continuing its efforts to ensure there are no negative impacts on franchising from the Federal Government's proposed extension of unfair contracts legislation to small business.

The FCA recently met with Federal Small Business Minister Bruce Billson and spoke at length about the Association's concerns regarding the draft legislation and the need ensure the contractual regime that underpins franchising in Australia is not adversely affected by any new unfair contracts laws.

"The FCA is working for its members to ensure that contractual certainty is maintained within Australian franchising," said FCA General Manager, Kym De Britt.

"Our recent meeting with the Small Business Minister was an important part of this process. I'm pleased to say the discussions with the Minister were productive and he was receptive to our viewpoint.

"The Minister indicated that the intent of the legislation is not to impact the day-to-day running of a franchise. We are hopeful the final legislation will reflect this position," said Mr De Britt.

During the meeting, the Minister also mentioned that he has received numerous submissions from a variety of interested parties with differing ideas of how the legislation should be implemented. It is therefore envisaged the proposed legislation, which is currently before the Federal Parliament, will be subject to the full parliamentary process before it is brought into effect.

The FCA will also shortly be meeting with the Australian Competition & Consumer Commission (ACCC) to discuss the types of contract terms that may raise concerns for franchising under the new law and to learn about the ACCC's proposed education and compliance activities in regard to the proposed new provisions.

"The FCA will continue to work collaboratively with the Minister, the Department of Treasury and other relevant Government Departments to ensure there are no adverse impacts for franchising from the legislation," said Mr De Britt.

ENDS

For more information, please contact:
Kim Coverdale, Marketing and Communications Manager
Franchise Council of Australia 1300 669 030 or email kim.coverdale@franchise.org.au


Author: FCA Media Release

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