Federal Government Gets It Right In Franchise Code Review

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6th November 2009, 08:50pm - Views: 1085





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     MEDIA STATEMENT

                                                                                                     National Retail Association 



Gary Black

Executive Director NRA

M. 0413 046 614 

E: g.black@nra.net.au 



                        



NRA Helping Australian Business Grow.



      

6 November 2009


Federal Government Gets it Right in Review of Franchise Code 


The National Retail Association

(NRA)

is Australia’s largest and most representative retail

organisation with over 3000 members and affiliates located across all Australian states and

territories.

Its membership includes a substantial number of franchisor and franchisee entities,

both small and large. 


The NRA’s Executive Director Gary Black says the franchise sector, which has been subject to

a range of state and federal reviews over the last few years, welcomes the conclusion brought

to the process by the announcement yesterday by Small Business Minister Craig Emerson

that the Australian Government

had decided on its response to the Joint Parliamentary

Committee Report into the franchise sector. 


“The reforms will provide significantly improved protections for franchisees while not

unnecessarily adding to the compliance costs of franchisors or intervening in the regulation of

the sector to the extent that would impede its efficient conduct.” Mr Black said.


“NRA now strongly advocates that the regulation of the sector going forward should be left to

the central government and encourages the states to defer to the federal government on this

issue. With so much COAG activity currently directed towards the achievement of uniform

legislation across Australia or the harmonisation of state laws,

it is counter-productive for the

states to enter the franchise arena.”


Mr Black said that “The certainty generated by Federal Government’s announcement should

be welcomed

by all parts of the franchise sector.

While the proposed reforms may not fully

satisfy franchisee or franchisor interests,

they represent a fair and balanced outcome which

will work in the best interests of the sector going forward.“








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