Franchisees' defensive tactics
1/3 franchises do well, 1/3 break even & 1/3 lose money
Abolish the FTC Rule
Academic research
Advice from franchise lawyer only
Affordable, early and non-legal dispute resolution mechanism
Appropriate franchise law
Ban corporate and union political donations
Ban gag orders
Ban junk food
Ban waivers of legal rights
Boycott
Buying an existing outlet even riskier than a new one
Buying co-operatives
Canada: An unwise place to invest
Collective bargaining used in franchise agreements
Commercially reasonable exercise of discretion
Commission with investigation, publication and enforcement powers
Contracts seen as unenforceable or void
Cooperatively owned franchise system
Debt is nullified
Don’t owe your lawyer money
Due diligence is irrelevant
Evergreen renewals
Evils of the system defined in 1971
Fair dealings: treat assets as if they were their own
Franchise agreements are so complex, they are breached the moment they're signed
Franchise agreements virtually non-negotiable
Franchise law being ignored
Franchisee repudiates loan
Franchisee revolt
Franchisees buy franchise system
Franchisees invited to switch to competitor's brand
Franchisees more willing to speak up
Franchisees move to buy system
Franchisees viewed as employees
Franchising practiced the same, worldwide
Franchisor cash flow cut by franchisees acting as one
Franchisor held personally liable
Franchisor in hiding
Free academic materials
Get promises in writing
Government inquiries into franchise abuse allegations
Grange Report
Gripe sites
Income guarantees
Independence
Independent franchisee association
Loan repudiation
National press coverage
No justice in legal system for franchisees
No real penalties for abuse of federal insolvency laws
Non-compete restrictions defeated
Odious debts
Political champions
Protest, rally and demonstration
Public perception of sleaze and greed
Put personal assets in someone else's name
Register franchisees and franchisors
Rent payments withheld
Rescission
Restrict gag orders
Reverse onus on good faith and fair dealing
Right to associate
Royalty payments withheld
S. G. M. Grange, Q.C.
Self-help: take your own store back, de-brand and run to fund a fight
Self-represented litigants
Small Claims Court no solution
Social justice
Spouse can sue for losses also
Spouse needs independent legal advice
Stopped paying royalties
Sue the lawyer
Tougher to sell franchises
Tragedy of the commons
Whistleblowers
Wives free to sue franchisor
Work as employee inside system before investing
Would you advise anyone to buy into your system?
Would you do it over again?
Privacy laws must be violated in a fraud
Bank alerts franchisor of problem franchisee
Bank sues person who reported privacy violations
Franchise consultant
Freedom of information legislation
Ombudsman, risk of information going to franchisor
Personal Information Protection and Electronic Documents Act, Canada
Privacy breaches a prerequisite for fraud
Privacy Commissioner of Canada
Privacy laws
Sales agent shenanigans
Internet information sharing
Access to knowledge is a right
Activism over the internet
Awareness
Blogs
Cyber-bullying
Emails, unauthorized sent to franchisees
Emails, unauthorized sent to suppliers
Internet anonymous posters protected
Internet franchise-sales hype
Internet information sharing
Marshall McLuhan
Open source franchising
Power to publish offenders name
Reputation registry
Reputational risk
Where is the franchisor hiding? contest
Supplies: no price, quality and quantity control
Can't buy lower priced products
Forced ordering
Forced to spend on renovations
Franchisor controls both wholesale costs and retail prices
Franchisor cuts off supplies
Gouging on supplies
Listing fees and inside money
Must buy entirely useless goods and services
Oligopoly
Right to choose suppliers, buy from competitor
Secret kickbacks and rebates
Short- or forced-shipping
Supply margins are a hidden added royalty payment
Vendor incentives
Investor poverty is the best protection for fraudsters
Bankruptcy
Can't afford to sue
Catastrophic sales decline
Dispute resolution means franchisee goes broke
Fear, distrust, hate and contempt
Franchisor refuses to return franchisees' calls
Ineffective marketing
Law grinds the poor, and rich men rule the law
Loser pays court costs
Poverty
Preying on the economically poor
Profits from one franchise system sucked out to subsidize another one
Trade payable debt used to dominate
