Pre-contractual Disclosure Obligation and Franchise Relationships

In the 25th issue of the most widely read Slovenian legal journal, Pravna praksa, article titled “Pre-contractual Disclosure Obligation and Franchise Relationships” of the author mag. Sebastjan Kerčmar, attorney at law, was published.

The article examines pre-contractual disclosure obligations of contractual parties entering into a franchise relationship, noting that there is no specific theory and case law regarding this area in Slovenia. The article presents the German regulation, where, as in Slovenia, general rules on pre-contractual disclosure obligation apply, and the Dutch regulation, which in year 2021 introduced a new chapter in the Dutch Civil Code specifically governing franchise relationships, applicable to all franchise agreements from January 1, 2023 onwards. Regardless of whether the franchise agreement or relationship is specifically regulated or not, there are significant pre-contractual disclosure obligations on the franchisor, the violation or omission of which can have adverse consequences for the franchisor.

The purpose of the article is to provide a brief overview of the rights and obligations related to this matter, while recognizing that information rights or obligations do not end with the conclusion of the franchise agreement but continue in a modified form throughout the entire contractual relationship.

The entire article in electronic form is available at: https://www.pravnapraksa.si/?Id=425.