Federal Minister finds new SA Franchising Rules ‘unwise and unfathomable’

Federal Minister for Small Business, Senator Nick Sherry, has found the new franchising rules for South Australia, unwise and unfathomable. Senator Sherry has shared his views with attendees at the Franchise Council of Australia ’s National Franchising Convent, which was held earlier in the week.

Senator Sherry reaffirms the Federal Government’s strong stance for national regulation of franchising and had repeatedly expressed his disapproval for SA Small Business Minister, Tom Koustantonis, and his move to introducing new franchising regulations.

“It is totally inappropriate,” says Senator Sherry.

“It flies in the face of the significant progress we have made on the seamless national economy.”

According to Senator Sherry, the SA Small Business Commissioner Bill 2011 would create conflict with Federal laws. He explained that the proposed bill could impact on or even duplicate Commonwealth arrangements.

“It is an unhealthy development, which I expect will ultimately end up in the courts,” says Sherry.

“The constitutional issues will have to be determined by the courts. That is the last place you probably want to be, but I believe that is what is likely to have to happen.”