Embarq Law offers a wide range of franchise law support and services.

Franchise law is multifaceted and includes a wide range of business and legal issues which can be challenging for both franchisors and franchisees. Building a successful franchise system starts with good strategic advice and business structure.

We can assist with:

Business Structure.

For Franchisors.

We help you find the ideal corporate structure for your franchise and can answer your questions about single unit franchising, master franchising, area development and area representation. Rely on our expertise to select the right expansion structure.

For Franchisees.

We can answer questions about the structure of the franchise you’re considering, and assist you with incorporating your own company to operate the franchise.

Disclosure.

For Franchisors.

We’re familiar with the disclosure requirements across Canada, and routinely prepare Franchise Disclosure Documents (FDDs), Statements of Material Change (SMCs), and ancillary documents and agreements to ensure you’re in compliance with applicable rules.

For Franchisees.

You’ve been handed a 200-page FDD and don’t know where to start. We can help you make sense of an FDD.

Franchise Agreements.

For Franchisors.

A functional and understandable franchise agreement is the cornerstone of your franchise system. We prepare franchise agreements for use in Canada, or adapt your non-Canadian agreement to comply with Canadian law.

For Franchisees.

We help you understand and negotiate your franchise agreement, advising on critical issues such as personal guarantees, currency and supply issues and guide you through the process. We answer the age-old question, “Is this standard?”

Purchase and Sale of a Franchised Business.

For Franchisors.

We can guide franchisors through the process of disclosing and giving consent when the franchised business is bought and sold.

For Franchisees.

We can advise existing franchisees who want to sell their franchised business and prospective franchisees who are buyers of a franchised business, whether you are purchasing individual franchise units or a complete franchise system.

Dispute Resolution.

For Franchisors and Franchisees.

When a franchise relationship breaks down, we can assist with compliance, enforcement and termination questions, dispute mediation and litigation including non-competition and rescission claims.

Avoiding the Accidental Franchise.

For Franchisors.

Legislation in certain Canadian provinces sets out the criteria for what constitutes a franchise. If you operate a business in Canada which relies on granting the right to sell or distribute goods or services associated with your name or mark, you should ensure you are not becoming an accidental franchisor.

For Franchisees.

If you operate a business that you think may be a franchise, but you didn’t receive a disclosure document, we can answer your questions.

Contract Work with Law Firms and Lawyers.

Franchise is a specialized area. We work with law firms and individual lawyers on a file-to-file basis that do not have franchise experience. We can work independently on the franchise elements of a file or transaction by reporting to the client or advising the law firm directly. We offer this service for solicitor / transactional work and for litigation support.