As strange as it may seem, few French laws expressly address the franchise model.
For example, one of the only articles of the French Commercial Code to mention franchising is article A.441-1[1] – which requires franchisees to “inform consumers of their status as independent businesses”.
This information must be communicated on all information documents, advertising materials, Internet communication, invoices, sales receipts, etc., as well as inside and outside the franchisee’s point of sale.
To this end, the following formula may be used:
“Company [name of franchised company] independent company, franchised by the network [name of franchise network]”.
The purpose of this information is twofold
- to protect the consumer, by indicating to whom he should direct his complaints ;
- to protect the franchisor from being confused with the franchisee and held responsible for the franchisee’s actions.
[1] Article A.441-1 of the French Commercial Code – resulting from the Neirtz decree of February 21, 1991: “Any person selling products or providing services, bound by a franchise agreement to a franchisor, informs the consumer of its status as an independent enterprise, in a legible and visible manner, on all information documents, particularly of an advertising nature, as well as inside and outside the place of sale.”
