So Ontario, Canada is a worldwide franchise industry outcast? Okay then…

August 11, 2010

Peter Dillon of Siskinds LLP is an expert in franchise law and a practicing franchise lawyer.

In this month’s  edition of Canadian Lawyer magazine an article entitled Ontario courts side with franchisees, Mr Dillon is quoted as believing:

…franchise law and its judicial interpretation by the courts of Ontario has created probably the most perilous jurisdiction in the world in which to conduct franchises,”

The Wishart Act and its appeal court justices have created the “most perilous jurisdiction in the world“?

Mr. Dillon is reported as having sent out this warning:

He concludes his memorandum by advising his franchisor clients that the courts have clearly demonstrated they are favouring the franchisees, which therefore “creates a high degree of risk and uncertainty that will put some franchisors out of business and will deter many others from commencing to do business through franchising.”

Taking it further, he’s quoted as having:

…spoken to many U.S.-based franchises “that want nothing to do with Ontario. In an era where franchising plays a large part in our retail economic engine, it’s a shame to have mechanics at work that seem bent on lowering the horsepower or spiking the engine altogether.”

These are not the first unsubstantiated claims made in rejection of even the most tepid legal franchisee protection provisions nor will they be the last.

Just simply the next new article I added to the WikidFranchise collection.


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