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Understanding the ACCC and Franchising Code of Conduct

25 July 2012

Every franchise owner needs to be aware of the legal aspects of their business, including any applicable mandatory codes of conduct and the regulatory bodies in place to ensure compliance.

Understanding the role of the ACCC and the Franchising Code of Conduct are two essential constituents of any successful franchise business.


The Australian Competition and Consumer Commission (ACCC) is an independent Commonwealth statutory authority. The ACCC works hard to help both individuals and businesses understand their rights and obligations under the Competition and Consumer Act.

As a government watchdog, the ACCC ensures compliance with competition, fair trading and consumer protection laws, which are uniform across all states. As franchising is one of the most dynamic and progressive business sectors in the Australian economy, the ACCC plays an integral role in safeguarding franchise participants and promoting development of the sector.

To help you understand your responsibilities as a new franchise owner, the ACCC will feature a stand at the Franchising and Business Opportunities Expo. You’ll find a wide range of educational materials such as guidelines, articles and fact sheets. These will equip you with the information you need to ensure your business venture meets legal checklists. Be sure to enquire about the free specialist franchise course funded by the ACCC.

The Franchising Code of Conduct

If you are engaged in a franchise relationship, you must comply with the provisions of the Franchising Code of Conduct. Prescribed under the Competition and Consumer Act 2010, legal proceedings can be initiated should you breach the code and/or the Act. Therefore, the code aims to ensure individuals are adequately informed about a franchise before entering into it and to regulate the conduct of franchise participants towards one another. The code also provides services such as a cost-effective dispute resolution scheme.

A copy of the Franchising Code of Conduct will be available from the ACCC stand at the Franchising and Business Opportunities Expo. You will also find a copy of the code at their website, or by phoning 1300 302 502.

Register for free tickets to the upcoming Franchising and Business Opportunities Expo in Melbourne on August 17-19.