Document background
The Franchise Contract Agreement is a crucial document used when establishing a franchise business relationship in the Netherlands. It became particularly significant with the introduction of the Dutch Franchise Act 2021, which introduced specific requirements for franchise relationships. This agreement is essential when a business (franchisor) wishes to grant another party (franchisee) the right to operate under their business system and brand. The document covers comprehensive aspects of the franchise relationship including intellectual property rights, operational requirements, financial obligations, and territorial rights. It must comply with Dutch mandatory franchise laws, competition regulations, and EU directives. The agreement typically includes detailed schedules and manuals that provide specific operational guidance and requirements. It serves as the foundational document for the entire franchise relationship and requires careful consideration of both parties' rights and obligations under Dutch law.
