ALERTS: DISTRIBUTION - FRANCHISING - NON-COMPETITION CLAUSE - UNFAIR COMPETITION

Franchise: The French Supreme Court recognizes implied non-competition clause imposed on the franchisee based on the common intention of the parties and loyal performance of the agreement (Val Trappeur, Indian River / Buffalo Grill)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. Buffalo Grill, a franchisor, enters into a franchise agreement with a franchised company represented by its General Manager, for the operation of a restaurant. The latter, who is not a party as a natural person to the contract, subsequently became the manager and majority shareholder of two companies (a holding company and its subsidiary), formed during the execution of the franchise agreement, one of which (the subsidiary) operates a restaurant. Considering this opening and the visual similarities (shape and colour of the roof), the franchisor notified the franchisee of the early termination of the contract for serious misconduct. The franchisee then sued

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Aymeric Louvet, Franchise: The French Supreme Court recognizes implied non-competition clause imposed on the franchisee based on the common intention of the parties and loyal performance of the agreement (Val Trappeur, Indian River / Buffalo Grill), 14 November 2018, Concurrences N° 1-2019, Art. N° 89132, www.concurrences.com

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