Changes to the enforcement powers of of the ACCC from January 1, 2015 could benefit newsagency businesses that operate under franchise agreements. The ACCC announcement this week outlines how increased powers could boost compliance of franchisors.
Dr Schaper said the ACCC will focus on particularly serious conduct, including breaches of the ‘key pillars’ of the revised Code.
“This is likely to include failure to act in good faith, failure to provide a disclosure document, refusal to attend mediation and unlawful termination of a franchise agreement.”
The code of conduct is comprehensive. Where it could be of particular interest to newsagents is in the disclosure obligations around the use of funds collected for a marketing fund.