In recent years, "joining" has gradually become one of the most popular vocabulary used by the public.

Then, what are the provisions of our legislation on franchising? What aspects should investors protect their legitimate rights and interests from franchisee?

In a commercial franchise contract, a franchising company is called franchisee, and the investor is called the franchisee.

As a special contract legal relationship between the franchisee and the franchisee, the rights and obligations of the franchisee and the franchisee shall be subject to specific laws, regulations and regulations. Besides, the management of Commercial Franchising (Trial Implementation) is the most important specialized rule at present.

In the context of the relevant provisions of the contract and the contract law, investors should make special contracts when signing contracts.

Seriously examine the qualification of the franchising party

Investors must examine their qualifications when selecting franchisee.

The franchising business (Trial Implementation) stipulates that the franchisor must have the following qualifications: an independent legal person qualification (an independent legal entity registered in China); a registered trademark, firm, product, patent and unique imparable management techniques or know-how, and has a good business performance for over a year; has certain operating resources; and has the ability to provide long-term business guidance and services to the franchisee.

Before signing a contract, the investor has the right to consult the franchisee's enterprise name, basic information, business performance, the operation of the franchisee, the investment budget form of the concession place, the royalties and the collection methods of various fees that have been proved by practice, and the conditions and restrictions for providing various kinds of goods and goods.

The above information should be provided to investors at least ten days before signing the contract.

The terms of the contract should be mutually recognized.

Investors should pay special attention when signing the contract prepared by the franchisee. The pre prepared contract is not a statutory format contract. Investors must scrutinize the contents of the contract carefully and have disagreed terms. They must negotiate with the franchisee and sign a contract on the basis of equality, voluntariness and fairness so as to protect their legitimate rights and interests according to law in the future.

Essential clauses in the contract

In order to ensure the interests of investors, the contract must include the terms of operation, training and other aspects provided by the franchisee.

The contract contains at least the following contents: within the scope of the contract, the rights granted by the franchisee to the investor; the business skills, business secrets and business manuals; the provision of education and training before the opening; the preparation for the opening of the shop; and the provision of long-term business guidance, training and the supply of goods stipulated in the contract.

Eliminating the words that infringe the ownership of property

A franchised store is a store that has no assets with headquarters.

That is to say, investors should be clear about the content and scope of the license granted by the franchisee through their contracts, such as trademarks (including service marks), trade names, products, patents, proprietary technology, business models, etc., and the right to use them within the agreed areas (or stores) within the agreed time limit.

The ownership of the store property (except the special agreement between the two parties) is owned by the investor.

Therefore, when signing a contract, investors should pay special attention to whether there are any words that infringe upon the ownership of the property.

It is limited to the length of space. The above are only based on the existing laws and regulations of our country.

Franchising is an international mode of operation, but it is still a new thing in our country.

In the future, the state will issue comprehensive laws and regulations on commercial franchising, which will definitely make franchising more standardized and make the rights and obligations of franchisees and franchisees more clearly protected.