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How to handle a franchise related dispute

Any business operating under a franchise agreement – as do most newsagency marketing groups – has certain rights and opportunities for the handling of any dispute.

The office of the franchise mediation advisor is in place to assist with the navigation of disputes. It provides a mediation service between franchisors and franchisees in dispute and makes sure that the dispute resolution procedures under the Franchising Code of Conduct are followed.

The office can provide information over the telephone but applications for mediation assistance need to be in writing.  http://transition.accc.gov.au/content/index.phtml/itemId/287395

However, you must follow processes.  Letters that do not follow the process will be a waste of time as will meetings and phone calls.  You MUST follow the pricess as doing this sets in place the timeline from which the franchisor cannot resile.

From their website – http://www.franchisingmediationadviser.com.au – here are the steps involved in navigating a dispute with your franchisor:

  1. Write to the other party setting out:
    1. The issues in dispute;
    2. What outcome you want; and
    3. What action you think will settle the dispute
    4. You may wish to use the Notice of Dispute form. Click here to download a copy.

  2. Try to agree with the other party as to how to resolve the dispute. OFMA Can provide assistance at this stage by trying to facilitate agreement between the parties through telephone or written contact.
  3. If 21 days have elapsed since you sent a Notice of Dispute to the other party and the dispute is unresolved, you may wish to initiate mediation under the Code. Either:
    1. Agree on a mediator with the other party; or
    2. Write to OFMA requesting the appointment of a mediator.
  4. OFMA will appoint a mediator within 14 days of receiving a written request to do so and will send the parties the contact details of the appointed mediator, along with a copy of the mediator’s mediation cv.
  5. The mediator will contact each party to prepare for the mediation and to arrange the date, time and place of mediation.
  6. The mediator will also send to each party a mediator appointment agreement for them to sign before the mediation can take place and ask for payment of estimated fees and possible room hire costs prior to the mediation meeting. Note: Once the mediation has taken place an adjustment will be made depending on how long the mediation actually lasted compared with the mediator’s estimate.
I will help any newsagent franchisee navigate a reasonable and just dispute with a franchisor.
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Newsagency management

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