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profilens09
FRANCHISE.docx

FRANCHISE

THE CONCEPT (MCDONALDS)

USUALLY NATIONAL IN SCOPE

ORIGINATOR – “ FRANCHISOR”

LEASES OUT TO

“ FRANCHISEE” FOR A FEE

NATURE OF REALTIONSHIP

…..A CONTRACT

…..SPECIFIES THE FEE

…..SPEFIFIES REQUIREMENTS

…..SPECIFIES WHAT FRANCHISOR WILL

PROVDE

LIABILITY FRANCHISOR

BASED ON CONTROL

Mcdonald’s and 7-11 cases

LIABILITY OF FRANCHISEE

LIABLE FOR ISSUE UNDER CONTROL

FORM OF FRANCHISEE

SOLE PROPRIETOR, PARTNERSHIP OR

CORPORATION