The most fundament and crucial step towards deciding to enter into a Franchise arrangement is getting to know and understand the proposed franchise. Disclosure documents provided by franchise systems in Canada contain a wealth of information, which allows prospective franchisees an opportunity to gain valuable insight into the franchisor’s operations. It is extremely important you take the time to fully analyze the disclosure document and be ready to ask the franchisor any questions that arise from your review. Also, while the following information serves as a general overview, you must also seek your own legal and accounting advice when reviewing a disclosure document.
The document is provided to potential franchisees so that they may make a more fully informed business decision. In Canada, franchise systems are required by law to provide a Disclosure Document to prospective franchisees in the provinces of Alberta, Ontario and PEI. Although franchise systems are only legally required to provide Disclosure Document in these three provinces, many franchisors provide a disclosure document across all of Canada to assist prospective franchisees in learning about the franchise opportunity. Franchisors have different application processes for franchisees but will typically provide the Disclosure Document to prospective franchisees once they have been qualified as a potential franchisee and have shown serious interest in the franchise opportunity. It is not a public document and is usually only available to serious investors. In Alberta, Ontario and PEI the Disclosure Document must be provided a minimum of 14 days prior to the potential franchisee signing any franchise agreements or paying any funds. The Disclosure Document must meet legislative requirements and disclose all material facts regarding the franchise opportunity and the franchise system's history.
The disclosure document is only a summary of important information. Potential franchisees should study the franchise agreement in detail as this is ultimately the document they will be signing. Legal and financial advisors, along with the franchisor, will all assist potential franchisees in reviewing the documents and in clarifying the obligations as a franchisee of the franchise system. Lawyers with franchising experience can review the disclosure document so that he or she can ensure that it meets all legal requirements. Potential franchisees should also seek advice from an accountant and the bank to ensure that they can financially afford the investment. The bank may also request a copy of the Disclosure Document so that they can make an informed lending decision. ( from the CFA bhttp://www.cfa.ca/) For more information call our offices 905- 456-9969 or email ruby@rutmanlaw.com.
Getting sick is an unavoidable part of life. No one knows when they have to leave all their work and take time off due to illness. But for people living in Ontario, things are different when it comes to sick days. People there often have these questions running through their minds - Am I entitled to sick leave? Will I get a paid leave? What if my leave request gets disapproved? And more So, we are here to answer all your questions. No matter if you are a full-time worker, doing part-time, or just working under a contract, it is crucial for you to understand your rights and obligations regarding sick days in Ontario. If you know what to expect during your hard days will help you to plan things without stress and you are sure to receive fair treatment. Are Sick Days Paid in Ontario? That one question every...
Read MoreBeing a common law partner in Ontario, you might think that your relationship mirrors that of a married couple. However, the legal realities have a different story to tell. Here is what you need to know – even though love may bind you, the law operates differently for conjugal partners. Through this blog, we will break down the crucial distinctions between married and common law status. Knowledge is power, so we'll unravel the essential rights, equipping you to make informed decisions. So, are you ready to get started? Well, here we go. What is a Common Law Partner? A common law partner is a person with whom you share a domestic and committed relationship but without being married legally. Even though these partners share responsibilities like parenting and finances, their legal rights are not equivalent to those of married couples. For instance, conjugal partners do not automatically have rights to...
Read MoreMarriages are commitments that are supposed to last forever, but sometimes, things do not turn out as you plan, and that’s completely fine. In Ontario, when a relationship reaches its breaking point, couples have two legal options to choose between - divorce or annulment. How do you know which one to choose? To make it simpler for you to understand here is the major difference between these two– a divorce is like returning a product you used but no longer want, while an annulment is like saying the product was faulty and shouldn’t have been sold in the first place. Now, let's delve deeper to know the key differences and help you figure out the best way forward! What Is a Divorce? Divorce can be explained as a legal process for putting an end to a valid marriage. This means that the couple, who has now decided to part ways...
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Getting sick is an unavoidable part of life. No one knows when they have to leave all their work and take time off due to illness. But for people living in Ontario, things are different when it comes to sick days. People there often have these questions running through their minds - Am I entitled to sick leave? Will I get a paid leave? What if my leave request gets disapproved? And more So, we are here to answer all your questions. No matter if you are a full-time worker, doing part-time, or just working under a contract, it is crucial for you to understand your rights and obligations regarding sick days in Ontario. If you know what to expect during your hard days will help you to plan things without stress and you are sure to receive fair treatment. Are Sick Days Paid in Ontario? That one question every...
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Are you confused about the difference between corporate and business lawyers? It's a common misconception. While they often work together, they have completely distinct roles. Let's break it down to help you understand who to hire for your specific needs. As Warren Buffett once said, "Risk comes from not knowing what you're doing." Understanding the nuances between corporate and business law can mitigate risks and maximize opportunities for your business. Let's dive into the details. What is a Business Lawyer? A business lawyer is a legal professional specializing in advising businesses on a broad spectrum of legal matters. They act as a strategic partner, helping businesses navigate complex legal landscapes and make informed decisions. What is a Corporate Lawyer? A corporate lawyer is a legal professional who specializes in providing counsel to corporations on a diverse array of legal issues. They ensure that businesses operate within the boundaries of corporate...
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One of the first hard decisions you make in your life is getting married, but what may prove to be more difficult is the hopefully unlikely situation of ending your marriage. Getting separated from your spouse is never an easy decision, it comes with a lot of questions, legalities, and emotions. Whether it's you who is contemplating a divorce or supporting someone who is, educating yourself on the process is the first step towards clarity and peace of mind. This step-by-step guide will simplify this daunting task, by outlining the grounds for divorce and how to navigate the application process. So, let’s dive in! How To Apply For Divorce? Applying for a divorce means you first have to file an application in court. This helps in ensuring that you meet the required eligibility criteria before the proceedings begin. To file for a divorce, you must meet some of the conditions....
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