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Who selects the site? Do I need to sign a lease?

Answered by Warren Scott from Mills Oakley Lawyers
Warren Scott
You should not enter into a franchise agreement if you are not satisfied with, or will not have the opportunity to approve the premises. In most franchise agreements, the ultimate responsibility for site selection rests with the franchisee. In some cases the franchisor will take the head lease and in other cases you will be asked to take the lease. If you are to enter into a licence agreement in relation to the premises rather than a lease you should obtain legal advice about that arrangement. The legal position of a licensee is different to that of a leasee.

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About Warren Scott

Warren Scott is the Partner at Mills Oakley Lawyers. Warren is a recognised expert in franchising law. He heads the Mills Oakley franchising team, which offers a premium service nationally. Warren advises both franchisors and franchisees.

You should always check independently that an ask an expert answer published on Franchise Business applies to your particular circumstances.

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Tel: 1300 202 326

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