Franchising Lawyers

Franchising is a powerful way to grow a business or invest in one, but the legal framework is complex and heavily regulated.

Our franchising lawyers advise both franchisors and franchisees across industries. We review, draft and negotiate franchise agreements, ensure compliance with the code, and help you resolve disputes if they arise.

Whether you are expanding your business or buying into a franchise, we give you the clarity and protection you need to move forward with confidence.

What is franchising?

Franchising is a way of doing business where one party (the franchisor) licenses another (the franchisee) to operate a business using its brand, systems and intellectual property.

In return, the franchisee pays fees and follows strict rules set out by the franchisor.

Franchising offers growth for franchisors and a proven model for franchisees, but it is also highly regulated and involves significant legal and financial commitments.

Understanding franchising at the outset is crucial to protecting your position.

What is a franchise agreement?

A franchise agreement is the contract that governs the franchising relationship. It sets out in detail the rights and obligations of both franchisor and franchisee, including fees, royalties, territory, training, marketing funds and renewal or termination rights.

These agreements are often long and heavily weighted in favour of the franchisor.

Because a franchise agreement usually runs for many years, it can lock you into obligations that are difficult and costly to exit.

Legal advice helps you identify risks, negotiate fairer terms, and commit with confidence.

What is a disclosure document?

The Franchising Code of Conduct requires franchisors to provide franchisees with a disclosure document before signing a franchise agreement.

This document contains important details about the franchise system, including fees payable, financial performance, any history of disputes or litigation and the franchisor’s background.

Its purpose is to give franchisees the information they need to make an informed decision before investing.

Reviewing a disclosure document with a franchising lawyer ensures you understand the financial and legal risks and can decide whether the franchise opportunity is right for you.

What rights do franchisees have?

Franchisees are not without protection. Under the Franchising Code of Conduct, franchisees have rights to disclosure, to be given key facts before signing, and in some cases, a cooling-off period after entering an agreement.

They are also protected against unconscionable conduct by franchisors and have the right to have disputes mediated before court action is taken.

These rights exist alongside whatever protections are set out in the franchise agreement itself.

Legal advice ensures you understand your rights and gives you the tools to enforce them if problems arise.

What obligations do franchisors have?

Franchisors must comply with strict obligations under the Franchising Code of Conduct. These include providing disclosure documents, acting in good faith, and ensuring their agreements meet legal requirements.

They must also update franchisees about material changes to the system and handle disputes in accordance with the Code.

If franchisors fail to comply, they risk penalties from the ACCC, disputes with franchisees, and reputational damage.

Our franchising lawyers help franchisors design compliant systems, prepare enforceable franchise agreements, and minimise the risk of costly disputes.

What happens if there is a franchising dispute?

Franchising disputes are common and often involve issues like fees, territory, marketing funds, performance targets, or termination.

The Franchising Code of Conduct requires parties to attempt mediation before escalating to litigation, which helps keep costs down and matters confidential.

Where disputes cannot be resolved, court proceedings may be necessary to enforce or challenge franchise agreements.

Our franchising lawyers represent both franchisors and franchisees in disputes, ensuring your position is clearly presented, risks are managed and practical outcomes are achieved.

Growing Brands, Protecting Investments

Franchising can drive rapid growth but carries significant risks. We draft, review and enforce franchise agreements that safeguard your brand, protect your investment and support long-term success.

Further IP Solutions

Why seek advice on franchising?

Franchising offers opportunity, but the rules are complex and the risks significant. Legal advice ensures your agreements are compliant, your rights protected, and your investment secure.

Compliance

We make sure your agreements and disclosure documents meet code requirements, so you avoid penalties and disputes. For franchisees, we explain obligations in plain English so you know exactly what you’re signing.

Protection

Franchise agreements often contain clauses on territory, marketing, fees, and termination that heavily favour the franchisor. We review and negotiate terms to reduce unfair risks, giving you protection before you commit long-term.

Clarity

We cut through legal jargon and explain your rights and obligations clearly. Whether you are buying into a franchise or granting one, our advice gives you clarity on risks, fees, and ongoing commitments.

Strategy

We align your franchise goals with the right legal structures and documents. For franchisors, that means scalable systems and enforceable agreements. For franchisees, it means ensuring your investment is commercially sound and sustainable.

We’re here to safeguard your franchise

Whether you are growing your brand as a franchisor or investing as a franchisee, our franchising lawyers provide clear advice and strong agreements that protect your position from the outset.

Why choose us for your franchising matter?

When franchising decisions affect your livelihood or business growth, you need advice that is practical, commercial, and timely.

Extensive Experience

We act for both franchisors and franchisees across industries. Our experience means we understand how franchise agreements operate in practice and where risks most commonly arise.

Balanced Insight

Having advised on both sides of franchise transactions, we know what franchisors typically demand and where franchisees should push back. This insight allows us to negotiate fairer outcomes.

Commercial Focus

We don’t just look at the documents. We consider your wider business or investment goals and provide advice that makes sense commercially, not just legally.

Clear Communication

Franchise agreements are complex. We explain your rights and obligations in plain English, keep you updated at every step, and give you certainty before decisions are made.

Client Testimonials

I contacted Axe Legal when I was about to buy into a cafe franchise and felt overwhelmed by the legal documents. Boris explained the disclosure document and franchise agreement in plain English, highlighting risks I never would have noticed. Thanks to his guidance I was able to negotiate better terms and sign with confidence.

As a franchisor expanding my fitness business, I needed franchise agreements that were watertight yet practical. Stefan and his team prepared everything, from compliant disclosure documents to robust franchise contracts. Their commercial insight saved me from several future headaches.

When a dispute arose with my franchisor about marketing fund contributions, Axe Legal stepped in immediately. They handled the mediation process and achieved a fair outcome without it escalating further.

I was setting up a new franchise system and wanted to make sure my documents met the code. Boris drafted my franchise and licence agreements and walked me through every clause. His attention to detail and practical advice were exceptional.

I sought advice from Axe Legal after my franchisor tried to terminate my agreement early. Stefan reviewed the contract and identified breaches of the code that completely changed the dynamic of the discussion. His quick action saved my business and restored my peace of mind.

Before granting my first franchise, I engaged Axe Legal to review my structure and prepare compliant documentation. They balanced strong legal protections with commercial flexibility.