ARN

Allphones agrees to ACCC restrictions

After being taken to court regarding allegations of impropriety in its dealings with franchisees, Allphones has pledged to remedy the situation.

Allphones Retail has pledged to the Federal Court to better inform franchisees - and not prevent them from selling their franchises - after an ACCC appeal to the Federal Court.

The ACCC had petitioned the Federal Court for urgent interlocutory orders against Allphones, alleging the company had acted deceptively and breached the Franchising Code of Conduct in dealings with its franchisees.

According to the ACCC, Allphones had refused to allow franchisees to sell their business, which is a clear breach of the franchising code.

The company had also sent out a misleading position paper to its franchisees, the ACCC claims, placing it in breach of the Trade Practices Act.

In response, Allphones has promised the court it will clarify the misleading position statement.

The company has also pledged not to prevent franchisees from selling their franchises, and not to engage in contract negotiations without providing details of the company's yearly revenue.

Come socialise with us! Facebook | LinkedIn

More about: ACCC, ACT

Comments

Post new comment

The content of this field is kept private and will not be shown publicly.
Users posting comments agree to the ARN comments policy.
Login or register to link comments to your user profile, or you may also post a comment without being logged in.
Related Whitepapers
Latest Stories
Community Comments
rhs_login_lockGet exclusive access to ARN's news, research and invitation only events.
ARN Distributor Directory
Find distributors by name | vendor | location
Channel Deals
/deals/synnex/2012-02-08_422_power-up-your-thinkpad-offer
Synnex

Power Up Your Thinkpad Offer!

More details »
ARN Vendor Directory
Find vendors by name | category

iAsset is a channel management ecosystem that automates all major aspects of the entire sales,marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.