Appendix 1: Franchises Act

• Author: Frank Zaid
• Profession: Senior Partner Osler, Hoskin & Harcourt LLP
• Pages: 357-381

APPENDIX 1

FR ANCHISESACT

R.S.A. 2000, CHAPTER F23

Table of Contents

1Interpretation

Purpose and Application

2Purpose statement

3Application of Act

Disclosure Document

4Giving of document to franchisee

Exemptions

5Statutory exemptions

6Further exemptions

Fair Dealing

7Fair dealing

Right to Associate

8Franchisee’s right to associate

Damages, Cancellation and Other Rights and Remedies

9Misrepresentation in disclosure document

10 Defence to liability

11 Contravention of right to associate

12 Joint and several liability

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FRA NCHISE LAW358

13 Failure to give disclosure document

14 Effect of cancellation

15 Other remedies

16 Alberta law

17 Limit on jurisdictional choice

18 Waiver of rights

19 Burden of proof

General Regulations

20 Regulations

Self-government

21 Self-government

Transitional Provisions

22 Transitional

HER MAJESTY, by and with the advice and consent of the Legisla-

tive Assembly of Alberta, enacts as follows:

Interpretation

1(1) In this Act,

(a) “disclosure document” means a disclosure document required to

be given under section 4 and includes any changes required to be

given under section 4(4);

(b) “former Act” means the Franchises Act, RSA 1980 cF-17, as it read

immediately before October 31, 1995;

(c)“fractional franchise” means a franchise granted to a person to sell

goods or services within a business in which that person has an

interest, the sales arising from which, as anticipated by the parties

or that should be anticipated by the parties at the time the franchise

is entered into, do not exceed, in relation to the total sales of the

business, the percentage prescribed by the regulations;

(d) “franchise” means a right to engage in a business

(i)in which goods or services are sold or offered for sale or are

distributed under a marketing or business plan prescribed in

substantial part by the franchisor or its associate,

(ii)that is substa ntially associated wit h a trademark, service mark,

trade name, logotype or advertising of the franchisor or its as-

sociate or designating the franchisor or its associate, and

(iii) that involves