News & Publications

Franchising

Cannabis License Act: Franchising Implications

Written by on November 20, 2018.

Before the Ontario Cannabis License Act was passed, I wrote about the relative merits of corporate store ownership and franchising as business models for cannabis retail.[1] It now appears that corporate store ownership will not be an option for licensed producers who wish to establish a significant presence in the retail market. Section 4(4) of the Cannabis License Act prohibits licensed producers and their affiliates from operating more than one retail store. The definition of “affiliate” ...

Everything is electronic: Implementing electronic delivery of franchise disclosure documents and electronic execution of documents

Written by on November 09, 2018.

Everything is electronic. It certainly feels that way. Even in areas that are slow to adopt change, digital is taking over. While many franchise systems are on the cutting edge of technology in their offerings and their methods of conducting business with clients, the processes of selling franchises have taken longer to fully embrace the digital wave. This is not doubted attributable to the many advantages of conducting aspects of the franchise sales process using electronic means – efficiency...

Cannabis Retail in Ontario: Franchising as a Business Model

Written by on September 21, 2018.

In the wake of federal plans to legalize recreational cannabis use,[1] the Western Provinces announced licensing schemes for private sale. A number of cannabis companies, such as Canndara, Spiritleaf, and Starbuds, began the process of organizing franchise systems with a view to exploiting this new market. In Ontario, the former Liberal government had spurned the approach of the Western Provinces in favour of a public monopoly. In June 2018, that government was ousted by Doug Ford’s Progressiv...

So You’re Interested in Buying a Franchise. What Next?

Written by on March 15, 2018.

So you’re interested in buying a franchise. What next? There are many reasons to buy a franchise. Whether you’re attracted to the prospect of running your own business, the support that being a part a franchise system offers, owning a business that already has an established presence and reputation, the higher rate of success franchised businesses experience over other start-ups or one of any other number of advantages of purchasing a franchise, it’s important that you carefully consider ...

Is Your Franchise Disclosure Document Up to Date?

Written by on February 21, 2018.

Franchise legislation in Canada (BC, Alberta, Manitoba, Ontario, New Brunswick and PEI) requires the information contained in a franchisor’s disclosure document (“FDD”) to be updated at various times. Follow these steps to ensure that your document is up-to-date: A franchisor needs to ensure that certain information, such as its list of franchisees, is current as of the date of the FDD. This means that, every time the FDD is updated, the list should be too. There is certain inf...

Peter Dillon Analyses the Raibex Canada Case

Written by and on February 02, 2018.

Siskinds partner, Peter Dillon, was featured in today’s edition of Advocate Daily for his recent article that analysed the results of Raibex Canada v ASWR Franchising Corp. Dillon regards the decision by the Court of Appeal as a “dose of pragmatism” and a favourable decision for franchisors.  Read the full article here: http://www.advocatedaily.com/peter-dillon-a-dose-of-pragmatism-from-court-of-appeal-dillon.html

Peter Dillon Featured in Franchise Law Journal – Canada’s Developing Franchise Jurisprudence

Written by and on December 15, 2017.

The Franchise Law Journal is a respected collection of franchising news, published seasonally by the American Bar Association. Franchise lawyer Peter Dillon was recently featured in the winter 2017 edition for his article Canada: It’s Like Watching A Car Crash in Slow Motion. With homage to the writings of Robert Service, this article examines the current state of the developing franchise jurisprudence in Canada, and posits that there are other queer happenings in the land of the midnight sun.

What the Cost of Your Training Kit Says About Your Multi-Level Marketing Company

Written by on October 18, 2017.

For aspiring multi-level marketing ("MLM") or direct selling ("DS") companies, a positive written opinion by Canada's Competition Bureau is an important first step in the operational success of their business. However, early decisions in the pricing of "starter kits" or "training kits" can jeopardize that opinion and derail their business before it ever gets to market. In order to protect Canadian consumers from unscrupulous businesses, the Competition Bureau enumerates a number of requiremen...

$500 Million Tim Hortons Class Action – A Warning for Franchisors Administrating Ad Funds

Written by on August 28, 2017.

Tim Hortons is the largest franchise system in Canada by number of franchised locations, operating with approximately 3,500 units nationally. Accordingly, any legal action relating to the business makes waves in the franchise community and serves as a warning to other franchisors. On June 19, 2017, an Ontario-based Tim Hortons franchisee filed a $500 million class action lawsuit (the “Claim”) against its franchisor, its franchisor’s parent, the company that distributes its advertising f...

EU-US Privacy Shield Framework – Does it Apply to Your Business?

Written by on August 21, 2017.

Background In late 2015, the highest court in the European Union invalidated the Safe Harbor data-transfer framework that ruled over the transmission of personal data between the EU and U.S. for approximately 15 years. The European Court of Justice held that the U.S. government’s repeated and surreptitious access to the data of EU residents violated EU privacy rules and invalidated the agreement. In response, the European Commission and the U.S. Government negotiated a new framework for tr...