How is enforcement of the Code being strengthened?

Sarah Stowe

The proposals for new enforcement powers are very significant and include:

  • Pecuniary penalties ( in effect fines of up to $1.1 million) for misleading and unconscionable conduct
  • Random ACCC audits to test compliance with the Franchising Code
  • ÒNaming and shamingÓ powers to warn the public of Òrogue and unscrupulousÓ franchisors
  • ACCC power to issue Òsubstantiation notices requiring franchisors to substantiate claims made
  • ACCC power to apply for a court orders seeking remedies for all franchisee harmed by the behavioiur of a franchisor without requiring every franchisee to be a party to the legal proceeding

title