How often do I need to update and give out copies of my Franchise’s Disclosure Document?

The Disclosure Document must be updated every time the Franchisor enters a new Franchise Agreement, including when there is a transfer, renewal or extension of a Franchise Agreement. A copy must be provided at least 14 days before they enter into the Agreement, or at least 14 days before a prospective Franchisee makes a non-refundable payment in connection with the Agreement.

In addition, the Franchisor must update the Disclosure Document within four months of the end of each financial year (that is, by 31 October each year). A Franchisor must provide a copy of the current Disclosure Document upon request by a Franchisee (limit one per Franchisee per year).

Also note that a Franchisor must disclose to its Franchisees and prospective Franchisees in writing if any materially relevant matter not mentioned in its Disclosure Document occurs (such as if there is a change in ownership of the Franchisor, or proceedings are commenced against the Franchisor).

You should seek legal advice whenever a significant change needs to be made to the Disclosure Document.