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UKSolicitorJA, Solicitor
Category: Law
Satisfied Customers: 4312
Experience:  English solicitor with over 12 years experience
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hi Max, I signed a franchise agreement that is not yet two

Resolved Question:

hi Max,
I signed a franchise agreement that is not yet two weeks old...The school i went with advertise a guaranteed full confident they will put it in far they have been advertising for me in my local area for 4 weeks...( started 2 weeks prior to franchise singing ) I am due my first payment and so far have only been given names of two pupils. The first payment is due this Friday and have not earned enough in four weeks to pay them never mind bring anything into the house. I signed the franchise on the back of this guarantee...under statutory law do I have a 14 day cooling of period with the franchise agreement...Thanks
Submitted: 2 years ago.
Category: Law
Expert:  UKSolicitorJA replied 2 years ago.

The short answer to your question is, no, there is no statutory cooling off period applicable to franchising.

However, your franchise agreement may have a contractual cooling off period, you should echeck your agreement to see if there is such a cooling off period.

If not, you may have the franchise agreement set aside on the grounds of misrepresentation and breach of contract as you were induced to enter into the franchise agreement on the basis of being guaranteed a minimum number of business/pupils which did not transpire. The franchisor would be in breach of their guarantee and you could also argue that you were misrepresented into entering the agreement and wish to set it aside under the Misrepresentation Act and general misrepresentation law.

You need to discuss the above with the franchisor first to see if they are fine with the franchise agreement being terminated amicably, if not, you may go to court to have it set aside on the above grounds.

Or you may simply send a letter to the franchisor outlining the above issues and advising them that as far as you are concerned, the franchise agreement is void and you will no longer be bound by it. You can then wait and see the reaction of the franchisor.

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UKSolicitorJA, Solicitor
Category: Law
Satisfied Customers: 4312
Experience: English solicitor with over 12 years experience
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