Self-help: do not take justice into your own hands

Almost universally a bad idea if done outside of a larger strategy.

Always think:

In two years time, do I want to have a judge see me sink to a franchisor’s level?

Don’t go for the cheese in that trap: Everything in its proper time and place. Discipline, discipline, discipline. Come to the Court with clean hands. Two wrongs do not make a right. The Rule of Law (not the bully).

This is what I have learned over my apprenticeship.

Revenge is best served cold.

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12 Responses to Self-help: do not take justice into your own hands

  1. Ray Borradale says:

    A franchisor can always fund in any dispute forum way past when an individual franchisee can participate in deliberately drawn out and costly resolution process. It is extremely stupid of franchisees to share the focus of the process with any legitimate claim(s) by the franchisor.

    It is imperative that franchisees maintain their obligations to emphasize and keep the focus on the failure(s) by the franchisor. Anything else ensures various possible outcomes but none will achieve a result for the franchisee and only add to the constant of financial loss, stress and health issues.

    Revenge comes in a win and it comes after a win or a loss. Nearly always the latter.

    Carol this clip refers to many aspects of franchising from operations, dispute resolution to reform ….. and it’s just for you.

    IFA – CFA – FCA Induction Day 4 – http://www.youtube.com/watch?v=yD-ffhvefsw

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  2. Mark Highfield says:

    as a franchisee of a large system it is hard to keep Disciplined for the entire network that it is the only way results will happen. franchisee`s need to remeber good things come in time and keep renforcing that to stay the course of the battle

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  3. Carol Cross says:

    Yes, this exploitive business model called “franchising” almost always results in a “hole in the bucket” for those franchisees who seek some recourse for their losses — AFTER. of course, they have signed a “killer” non-bargained contract with no clue as to the risk of the investment in terms of disclosure of UNIT performance of the units within the system or in in terms of any small “independent” retail startup business. The BIG LIE of the SUCCESS of FRANCHISING (for founding franchisees) continues.

    You can bet that the franchisors won’t really EDUCATE prospective franchisees as to the risk and profitability of buying a unit in their system in any REAL terms.

    Good to see that a judge has determined that a franchisor breached the “good faith” franchise agreement and the terms therein to take advantage of a franchisee. A rare win for a framchisee.

    Will the Ontario Wishert Act finally get some “dentures” and will “now and then” take a bite out of franchisors whose attorneys believe that they can “contract away” any notion of fairness and good faith within the franchise agreements?

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  4. Ray Borradale says:

    Any franchisee or small group of franchisees who offer themselves up to the franchisor by breaching their contract in any way while in dispute will find themselves rolled into Court before they know it.

    I know I did it. Most of my supporters evaporated in 5 seconds and those who really wanted to stay the distance got enough education from what was happening to me and mine to back right off.

    It cost me my home, business and stocks and shares before I realized what the franchisor was prepared to spend and I ended up with a bloody ute and a trailer to move. And then the ute and the trailer were taken off me.

    If anyone wants to know a level of stress that has destroyed many then they should go ahead and see what that roller coaster does to their family.

    Refer to my comment above on how to behave when in conflict and rely on brains and history.

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  5. Ray Borradale says:

    OK, I could be wrong. But in Australia you don’t get to undo the damage once its done. Then it is a life time of effort down the drain. Perhaps in the US and Canada its different and ‘sorry’ gets you your shit back.

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  6. Les Stewart says:

    Ray,

    Ah…true that.

    Les

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  7. Carol Cross says:

    Ray! You have suffered mightily because of this franchise model of doing business and YET you believe that franchising can work if there is competence and fairness.

    But, the model itself invites exploitation of franchisees in order to serve the franchisor and the system. Always! those who survive in systems ally themselves with the franchisor and the failures are hidden.htt Franchisors fly under the radar and the courts pretend that they don’t know what is going on because only a small percentage ever make it into the courtrooms.

    If a franchisee breaches the contract, the franchisor has immediate access to the courts to shut them down and take their investments! If a franchisee must decide between feeding his family or paying his royalties, the law of the contract mandates that the royalties must be paid or the franchisee is in default and can be closed down by means of an injunction.

    Try getting an injunction against a franchisor for selling
    sh–t to the public or for exploiting the franchisees into personal poverty!

    I have to agree with Les! Franchising is unsafe at any BRAND for Mom and Pop investors —who shoud never borrow money against their homes or their retirement savings to GAMBLE on a franchised business venture.

    http://thegreatfranchisingrobbery.blogspot.com

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  8. Ray Borradale says:

    I know the franchise model works when aholes are not running the brand. That is a human problem and not one of the model.

    My problems with franchising comes with a) the abundance of aholes when their is no control over behaviours and b) good/reasonable brands are sold to aholes. And the sale of franchises to aholes is todays trend and out of the control of franchisees.

    While I might believe in the model that does not mean I believe people should invest in what they have no control over. Never!!!!

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  9. Ray Borradale says:

    Carol there is a point that can be forgotten and I do at times.

    In Australia alone there 71,000 franchise contracts and at the moment those franchisees will mostly not have access to Court remedy.

    So while we make people aware of the real risk in franchising where the crucial considerations are hidden, we still have to do our best to give existing franchisees a better chance of survival.

    The way I see it that means changing Laws to hopefully make brutal franchising less popular and better franchising an intelligent choice.

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  10. Carol Cross says:

    Absolutely, Ray, franchising is here to stay and there has to be a way to make the government and the courts aware of the premeditated exploitation of franchisees whose assets and cheap labor and personal guarantees produce the profits for the franchisors and other special interests.

    Since we like to think that we are NOT a species who “eat each other” to survive, the “exploitation” that is possible under current franchise laws has to be revealed and stopped.

    When huge corporate entities and newbies can use franchisees to enhance their bottom lines with no responsibility or obligation under the law to worry about the profits or survival of their franchisees, corporate cannibalism by way of contract becomes routine and part of the status quo!

    Franchising is one of the biggest confidence games of Capitalism and protected by those who suck profits up to the top of the financial pyramids —because they CAN! But, so often, these are “bloody profits” and there will be a price to pay in the end.

    http://thegreatfranchisingrobbery.blogspot.com

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  11. Les Stewart says:

    Youse two,

    Cheers to the most successful and influential franchise power couple on the web.

    I must admit that I personally measure success in terms of the contributions an individual makes to her or his fellow human beings.

    I was brought up to believe that the only thing worth doing was to add to the sum of accurate information in the world. Margaret Mead

    Also:

    Every time we liberate a woman, we liberate a man.

    Never doubt that a small group of thoughtful, committed citizens can change the world. Indeed, it is the only thing that ever has.

    It has been a woman’s task throughout history to go on believing in life when there was almost no hope.

    Like

  12. Ray Borradale says:

    Les, in 2004 the FCA laughed and threw $5M up and said ‘what you got little guy’.

    We got their discarded people so they can shove their $5M up their ass.

    Like

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