A Victorian appeal case has found that franchisees establishing a new Billy Baxter's restaurant at Glenelg were misled by representations as to the sales estimates they could expect in the first year. The Court of Appeal overturned the original decision and awarded the franchisees $1.2 million in damages. The Court [...]
While at the National Franchise Convention 2011 hosted by the Franchise Council of Australia, the Australian Competition and Consumer Commission has stated that it will focus on ensuring franchising compliance to improve its standing. ACCC chairman, Rod Sims, acknowledged that while franchising offers many business opportunities, difficulties like the power [...]
Shafi Investments Pty Ltd, the former operator of an Ali Baba Kebabs and Wraps franchise has been brought to the Federal Magistrates Court in Melbourne for allegedly underpaying an employee more than $50,000. The Fair Work Ombudsman claims that the shop's former owners Younus Mohammed and Mahmood Mohammed, were involved [...]
The mobile phones retailer, Allphones, has been fined $45,000 for violating Court orders previously issued in 2008. The Australian Competition and Consumers Commission (ACCC) took Allphones to the Federal Court three years ago on behalf of the chain's franchisees following allegations that Allphones provided franchisees with incorrect and possibly misleading [...]
Franchisee-owned Collins Booksellers has acquired a group of Angus & Robertson franchises and flagged more purchases and store openings in the coming months. The number of former A&R franchisees acquired is unknown but it is believed to be in double digits, with undisclosed prices for the stores. Collins managing director [...]
Quick Service Restaurant Holdings, the group behind the more than 600 Red Rooster, Oporto and Chicken Treat food chains, has been sold by one private equity firm to another. Archer Capital bought a majority stake in QSR from Quadrant Private Equity for an undisclosed sum, believed to be about $450 [...]
Mobile phone retailer Allphones has been found in contempt of court in relation to three out of four charges in relation to undertakings made in earlier Federal Court proceedings regarding dealings with its franchisees. The court will hear from Allphones and the ACCC in relation to penalties at a later [...]
Administrators of failed book retail company RedGroup Retail have announced it will shut 38 stores in the next few weeks to stem the losses from the ailing group. The closures will see more than 300 staff lose their jobs. The bulk of the stores to be shut are in Victoria [...]
Shortly after the failed Souvlaki Hut fast food franchise was placed into administration, a group of private investors have stepped in to purchase it. The franchise was placed into administration last week, which was attributed by the previous owners as a result of financial challenges and threats of litigation from [...]
This month, the South Australian government adopted Labor MP Tony Piccolo's reforms to redress an imbalance between franchisors and franchisees. A private member's bill from Liberal MP Peter Abetz is also expected to be put before the West Australian Parliament this week. The proposed reforms in both states include the [...]