You dream of starting your own business, but since you lack hands-on experience, you decide to open a franchise. With a franchise, no need to start from scratch and you can take advantage of the benefits offered by a franchisor.
The polished pre-contractual information package and the franchisor’s sales pitch win you over. You decide to leap in feet first. You sign a franchise agreement and invest your life savings in the venture.
But the honeymoon is short lived.
Profits are lower than expected. You begin to wonder if you were misled regarding the company’s balance sheet or whether you were given market studies which were artificially inflated or outright wrong.
To make matters worse, the franchisor refuses to help you or provides inadequate assistance in running your franchise. Yet, receiving appropriate guidance is one of the main reasons you decided to invest in a franchise.
You now see you made a huge mistake and you are afraid of losing your investment.
Faced with this nightmare, you consider unilaterally stopping the payment of your franchise fees or even finding suppliers other than the ones provided in your franchise agreement.
Decisions such as these can have serious legal ramifications. Before taking action, it is essential to receive the proper counsel. Our team of seasoned litigators represent franchisees, individually and collectively, and can help you develop the best possible strategy in the circumstances.