*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. The non-reaffiliation clause stipulated as an accessory to a franchise agreement is a recurrent dispute, as franchisors are reluctant to see a point of sale switch to a competing brand (See lastly CA Paris, 17 Sept. 2009, ConcurrencesNo. 1-2010, p. 119, obs. D. Ferrier). In this case, a franchisee of the Shopi network complained about the poor performance of the contracts binding him to the franchisor and its partners and had given notice of termination before starting a new activity in the same premises but under the G20 brand name. The former franchisee had then been sued by the franchisor before an arbitral tribunal which was invited to declare the
CASE COMMENTS : DISTRIBUTION - FRANCHISING - NON COMPETITION OBLIGATION - PROTECTION OF THE KNOW HOW
Non-compete provisions: The Paris court of Appeal holds void a non-competition obligation not justified by the protection of the know-how passed on by the franchisor (Prodim/Diapar, Francap et Groupe G20)
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