Appendix 2: Arthur Wishart Act (Franchise Disclosure), 2000

• Author: Frank Zaid
• Profession: Senior Partner Osler, Hoskin & Harcourt LLP
• Pages: 382-411

APPENDIX 2

ARTHUR WISHART

ACT FRANCHISE

DISCLOSURE, 2000

S.O. 2000, CHAPTER3

Notice of Currency:* This document is up to date.

* This notice is usually current to within two business days of ac-

cessing this document. For more current amendment information, see

the Table of Public Statutes — Legislative History Overview.

Amended by: 2001, c. 9, Sched. D, s. 1.

Def‌initions

1.(1)In this Act,

“disclosure document” means the disclosure document required by

section 5; (“document d’information”)

“franchise” means a right to engage in a business where the franchisee

is required by contract or other wise to make a payment or continu-

ing payments, whether direct or ind irect, or a commitment to make

such payment or payments, to the franchisor, or the franchisor’s

associate, in the course of operating the business or as a condition

of acquiring the franchise or commencing operations and,

(a)in which,

(i)the franchisor grants the franchisee the right to sell, offer

for sale or distribute goods or services that are substan-

tially associated with the franchisor’s, or the franchisor’s

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Appendix 2: Arthur W ishart Act, S.O. 2000, c. 3 383

associate’s, trade-mark, service mark, trade name, logo or

advertising or other commercial symbol, and

(ii)the franchisor or the franchisor’s associate exercises sig-

nif‌icant control over, or offers signif‌icant assistance in,

the franchisee’s method of operation, including building

design and furnishings, locations, business organization,

marketing techniques or training, or

(b) in which,

(i)the franchisor, or the franchisor’s associate, grants the fran-

chisee the representational or distribution rights, whether

or not a trade-mark, service mark, trade name, logo or ad-

vertising or other commercial symbol is involved, to sell,

offer for sale or distribute goods or ser vices supplied by the

franchisor or a supplier designated by the franchisor, and

(ii)the franchisor, or the franchisor’s associate, or a third per-

son designated by the franchisor, provides location assist-

ance, including securing retail outlets or accounts for the

goods or services to be sold, offered for sale or distributed

or securing locations or sites for vending machines, dis-

play racks or other product sales d isplays used by the fran-

chisee; (“franchise”)

“franchise agreement” means any agreement that relates to a franchise

between,

(a)a franchisor or franchisor’s associate, and

(b) a franchisee; (“contrat de franchisage”)

“franchisee” means a person to whom a franchise is granted and in-

cludes,

(a)a subfranchisor wit h regard to that subfranchisor’s relationship

with a franchisor, and

(b)a s ubfranchisee with regard to that subfra nchisee’s relationship

with a subfranchisor; (“franchisé”)

“franchise system” includes,

(a)the marketing, marketing plan or business plan of the franchise,

(b) t he use of or association with a trade-mark, ser vice mark, trade

name, logo or advertising or other commercial symbol,

(c)the obligations of the franchisor and franchisee with regard to

the operation of the business operated by the franchisee under

the franchise agreement, and

(d) the goodwill associated with the franchise; (“système de fran-

chise”)