The Australian Government has recently announced the commissioning of another comprehensive review of the Franchising Code of Conduct (commonly referred to as The Code). This review is slated to be overseen by Dr. Michael Schaper.
For those unfamiliar with Dr. Michael Schaper, he brings with him a vast wealth of experience and knowledge, having served previously as Deputy Chairman of the Australian Competition and Consumer Commission. His track-record and qualifications make him an excellent choice for the monumental task of reviewing such a significant piece of legislation regulating franchising relationships in Australia.
Based on the announcement, the report, which aims to include appropriate findings and recommendations, is set to be delivered to the Minister for Small Business, the Honourable Julie Collins MP, by December 2023. It means the industry will have to wait but no doubt holds its breath as potential changes can significantly affect how franchisors and franchisees conduct their business.
We must remember that The Code is a critical legal document that governs the relationship between franchisors and franchisees in Australia. Any significant changes or amendments can have far-reaching impacts on these relationships and the overall franchising landscape in the country. In essence, the task Dr. Schaper is undertaking is of vital importance to the industry.
The government’s move to commission another review of The Code is a healthy sign that it is actively listening and responding to the ever-evolving needs of the franchising industry. It also suggests that it is committed to maintaining an up-to-date legislative environment that benefits both franchisors and franchisees – a significant consideration in the current economic uncertainty brought about by the global pandemic.
For more detailed information on this story, you are invited to read the original article here.