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  The Franchising Code of Conduct attempts to enhance Franchisee rights. Franchisees have had enhanced support under the Franchise Code of Conduct since 2015: 1. Franchisors must provide a short information for sheet to intending franchisees which gives an overview of the risks and benefits of Franchising.  The...

Riba Business Lawyers Most people think that businesses have to register a business name.  They are not correct.  You can always trade using your own name or your company name and it is not necessary to separately register a business name. Of course there are some rules that must be followed if you chose to do this. Firstly you must trade using your full name.  In the case of company this means using all of the name of the company and this includes the end part of that name.  For example a company called The Groovy Herb Pty Ltd must in all documentation signage etc. include the whole of that name which means writing "Pty Ltd" on everything.

Riba Business Lawyers

Have you ever wondered whether licensing or franchising is the best model to grow your business?  Many people wanting to avoid the cost and regulation of franchising will consider licensing as an alternative. But is licensing your business model really an alternative to franchising? What is licensing anyway and what is the difference between a franchise and a licence?

Firstly you cannot convert a franchise to a licence simply by changing the name at the top of the document.  The label given to the arrangement has no influence over the legal effect of the arrangement.  Franchising is just a form of licensing.

Whether the relationship that you wish to establish is really a franchise or a licence can be determined only in one way.  The Franchising Code of Conduct defines certain arrangements as a franchise.  The code provides that if certain ingredients are present then a franchise exists.

A new national business names registration system commences on 28 May 2012. The national register of business names will replace the existing state and territory registers. The new system will be administered by Australian Securities and Investments Commission (ASIC) Benefits of the new national register The national register will offer some advantages to Queensland business owners:
  • The national system eliminates the need for registration in more than one state.
  • The new system will allow for online registration and renewal. Online payment options will also be available.
  • Business name registration will happen simultaneously with the registration of an Australian Business Number.
  • There may be a reduction in fees in Queensland

Riba Business Lawyers For all businesses, it is inevitable that the time will come when there will be a ‘changing of the guard’. But what happens when this is unexpectedly forced upon us?

In the event that a director or key person was to suffer an unexpected departure  from the business due to death or disability, there are several important factors that  every business needs to consider.

For the purpose of this article we will assume ABC Pty Ltd has 3 directors, Allan, Bart,and Cindy, and director Allan has recently passed away unexpectedly.

When a retailer purchases from a wholesaler or a manufacturer the retailer must ensure that they know the limitations of the goods purchased.  If the goods are faulty then the retailer may be liable to any subsequent buyer.

Whenever a retailer sells goods to a consumer there is a sale agreement and conditions are implied into that agreement.  Consumers may make use of these conditions to successfully claim against a retailer.

The stakes can be high!  If a product is not fit for a purpose it may cause damage and necessitate rectification works the cost of which may go well beyond the cost of the goods supplied.

Since the commencement of the PPSR, retention of title clauses are ineffective against the interests of a registered creditor or a liquidator, unless the supplier’s continuing interest in goods supplied is registered. If the supplier fails to register their interest then they will at best be considered an unsecured creditor in the event that the purchaser goes into liquidation or bankruptcy.

Security interests under retention of title and leasing agreements are capable of being registered (and should be) as ‘Purchase Money Security Interests’ (PMSIs). The major benefit of a PMSI is that, if registered correctly, the PMSI takes priority over all other security interests (registered and unregistered) in the same collateral notwithstanding that some of the other registrations may be earlier in time. This priority survives the purchaser going into liquidation or becoming insolvent. It therefore makes it easier for the supplier to prove their interest as against any liquidator or trustee.

There is lot at stake for an employer who incorrectly identifies a relationship as one between contractors when in fact the relationship is properly defined as one between employer and employee.  An improper assessment of the relationship can lead to the financial ruin of a business.  The improper assessment may result in a requirement for the unexpected payment of many years of award payments, sick leave, holiday leave, long service entitlements and superannuation.  It is essential to get this right.

It is necessary to note at the outset that you cannot agree that a person is a contractor if in fact that person is an employee.  An agreement between the parties of this kind is of no effect.  The payments due to employees are required by statute and cannot be waived by anyone, not even the employee.

If it looks like a duck and quacks like a duck it is probably a duck.  It should be no surprise that the courts don't place any weight upon the "title" given to a worker.   To assess whether a worker is an employee or a contractor the whole of the relationship must be examined.

Since the High Court decision in Hollis V Vabu (2001) 207 CLR 21 the common law distinguishes employees and contractors by considering various indicators under seven headings:

Lots of people have great ideas but, do not have the time, the focus or the money, to implement or advance those ideas.  In these times, which many business people see as, uncertain times, people are not prepared to take a risk, even if the potential reward is handsome.

There are however ways of reducing the cost and risk associated with the development of  an idea, project or business, while at the same time obtaining access to a bank of  ideas, knowledge and resources, at no upfront cost.  Yes, less cost and a better chance of success!  It is possible!