Why this matters.
Franchising in Australia is regulated by a mandatory industry code made under the Competition and Consumer Act 2010. The current Franchising Code of Conduct is in the Competition and Consumer (Industry Codes—Franchising) Regulation 2024, which replaced the previous code from 1 April 2025. It applies to franchisors and franchisees, including master franchisors and sub-franchisors, and covers the whole relationship: what a franchisor must disclose before signing, the cooling-off period, marketing and other cooperative funds, transfers, end of term, termination and dispute resolution. Both parties also owe each other a duty to act in good faith.
Breaching the Code is a contravention of the Competition and Consumer Act 2010 (s.51ACB), and the ACCC enforces it with audits, infringement notices and court action, with civil penalties available for breaches of key provisions. Franchisors must give a disclosure document, key facts sheet, a copy of the proposed agreement and a copy of the Code at least 14 days before a franchisee signs or pays non-refundable money, and must keep their entry on the Franchise Disclosure Register up to date. Franchise agreements are standard form contracts, so unfair terms can also be void and penalised under the Australian Consumer Law. This check shows where you stand, whether you are the franchisor or the franchisee.