Franchise Agreement

An agreement wherein the franchisor agrees to lend the trade name or business system to another person or entity (the franchisee).

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How does Franchise agreement work for you?

This agreement lets an organization lend their Intellectual properties to help you pursue business
under the same brand name covering all conditions.

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We work with the best Attorneys
Our platform connects you to highly rated lawyers
Lawyers draft your Document
The first draft will be shared with you in four days
Revisions are free!
Two rounds of iterations at no extra cost

Importance of a Franchise Agreement

A franchise agreement is a contract where the business person consents to grant the enterprise name or company system to someone or an entity (the franchisee). The agreement will characterize the foundation of the terms between both the consenting groups, defining the remuneration for the franchisee ( payment in parts is frequently in the way of royalties for the usage of the business trademark etc), conditions on the usage of the brand name, the extent of the agreement, and terms concerning disciplinary provisions, varying from penalty in money and allowance to withdrawing the business franchise and the contract.

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Benefits of a Franchise Agreement

Defines the Guidelines

A franchise agreement permits the businessman who is franchising his company to define guidelines for the upkeep of quality in regards to the different facets of the trade before onboarding the client and binding them in a franchise contract.

Brand Management

With a franchise agreement in place, the franchisor can set guidelines to the manner in which the franchisee adopts the business and branding. Also, the penalties for mismanagement or violation of the business branding are also defined thereby to protect the brand name.

Franchise Agreement Process

3 Business Days

Upon contact, your request to file for a Franchise Agreement will be received and our representative will be in touch with you to take your request forward. If we need more information from your end, we will call you as and when required. After we receive all your details, our in-house lawyers and legal experts, will create the Franchise Agreement and send it across for your view within 2- 4 business days.

2 Business Days

Your original price includes two rounds of iterations. Therefore, if you need any changes done to the Franchise Agreement, and our lawyers will do the needful and send it across to you for your view once again.

Frequently Asked Questions

A franchise is any business, which has a parent company that provides it with a basic business model and brand name. The parent company loans these principles and brand image to a third party, known as a franchisee. While the franchise is owned, operated and managed by individuals, the entire process is overseen by the larger parent company, which is usually an MNC.
No, while India does not have separate laws used explicitly for franchise business models, we do have laws regarding how they must function. But, India does not have any particular law that deals with the franchise agreement, its termination, the setting of clauses and non-disclosure. But several enactments help control and regulate the functioning of franchise businesses in India.
The different laws which govern the various aspects of franchising in India are as follows:
  • The Indian Contract Act, 1872.
  • The Competition Act, 2002
  • Income Tax Act, 1961
  • Consumer Protection Act, 1986
  • Arbitration and Conciliation Act, 1996
  • The Foreign Exchange Management Act, 1999
  • The Trademarks Act, 1999
  • Patent Act, 1970
  • Design Act, 2000
  • Copyright Act of 1957

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