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Vol 10 (2012) - Issue 6

Social media marketing: potential and pitfalls for franchisors and franchisees

Mikkel Friis Rossa, Associate, Bech-Bruun, Aarhus, Denmark

Social media has become an important marketing channel, expanding the opportunities to communicate and connect with consumers. However, it is also a minefield of commercial and legal risk of which franchisors and franchisees should beware. This article highlights some of the basic legal issues that social marketers will often encounter when operating on currently the largest social network, Facebook, in the Nordic countries. Additionally, the author offers suggestions on how to regulate the use of social media in franchise contracts.

Choice of law, venue and jurisdiction, arbitration v. litigation

Kerry L. Bundy, Faegre Baker Daniels LLP, Minneapolis, USA; Marco Hero, TIGGES Rechtsanwälte, Munich, Germany, and; Pascal Hollander, Hanotiau & van den Berg, Brussels, Belgium

Although in theory countless options and combinations of dispute resolution mechanisms are possible, international franchise practice narrows these down to a limited number of approaches. This article highlights the most common approaches to dispute resolution - mediation, arbitration and litigation - and analyzes their most relevant and crucial characteristics in terms of cost and enforceability. It further considers the key issues and considerations surrounding the choice of applicable law and venue.

Recent developments in Canadian franchising law

Judy Rost, Partner, Alexander Holburn Beaudin + Lang LLP, Vancouver, Canada

This article examines recent developments in franchising legislation and case law in Canada. Two more Canadian provinces - Manitoba and New Brunswick - have enacted franchising legislation, so franchisors need to review their disclosure practices. The author also considers the significance and impact of recent court decisions.

Ukraine – termination of franchise agreements

Nataliya Mykolska, Counsel and Anzhela Makhinova, Associate, Sayenko Kharenko, Kiev, Ukraine

This article provides a comprehensive and detailed overview of the rules applicable to the termination of franchise agreements on statutory or contractual grounds, or following agreement between the parties under Ukrainian law. The authors further consider the consequences of termination, in particular in the areas of non-competition provisions and trademark registration.