Dutch Franchise Law

There is no such thing as a Dutch Franchise Act. The laws of The Netherlands do not contain a specific act with repect to franchise and distribution agreements. Hence, a franchise agreement under Dutch law is governed by the rules of general civil law, together with specific rules that are applicable to specific parts of the contract.

A franchise agreement is a Contract by which the franchisor licenses its trade name and/or business system and practices for a fee to an independent company (the franchisee). The licensed rights can include the licensed right to use trademark names, secret commercial know-how and other distinguishing features, in the sale of products or services. The use of franchise agreements is widely spread in The Netherlands, but beware that specific arrangements can be prohibited by EU and national competition law.

The lawyers of our firm represent clients who are interested in entering or exiting their franchise relationship on their own terms. For individuals seeking to invest in a particular franchise opportunity, we will review the terms and conditions set forth in your franchise documents and provide advice and counsel regarding material provisions, including:

• financial obligations;
• the length/term of the agreement;
• choice of venue and choice of law with respect to disputes;
• renewal rights;
• territorial exclusivity;
• requirements for remodelling or refurbishing the location;
• the goodwill associated with the franchisor's trademarks;
• restrictions on transfer;
• default/termination provisions.

For franchisees looking to exit their franchise relationships, our attorneys are skilled and experienced in drafting and negotiating all of the legal documents required to effectuate the sale of your franchise investment.

Further information

For additional information please contact us. Your comments and questions are always welcome. Please feel free to contact our contact person.