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    Fundamentals of franchising, Canada / Peter V. Snell and Larry Weinberg, editors.

    • Title:Fundamentals of franchising, Canada / Peter V. Snell and Larry Weinberg, editors.
    •    
    • Other Contributors/Collections:Snell, Peter, 1968- editor.
      Weinberg, Larry, 1963- editor.
      American Bar Association. Forum on Franchising, sponsoring body.
    • Published/Created:Chicago, Illinois : ABA, Forum on Franchising, [2017]
    • Holdings

       
    • Library of Congress Subjects:Franchises (Retail trade)--Law and legislation--Canada.
    • Edition:Second edition.
    • Description:xxxvi, 552 pages ; 26 cm
    • Summary:"Updated and expanded to reflect the significant increase in Canadian provinces with franchise laws, this deskbook provides the practical tips, useful definitions and the expert advice you need to counsel clients who intend to expand into the Canadian marketplace."--Provided by publisher.
    • Notes:Includes index.
      Includes bibliographical references and index.
    • ISBN:9781634256988 (pbk.)
      1634256980 (pbk.)
      9781634256995 (ebook)
      1634256999
      9781634256995
    • Contents:Machine generated contents note: ch. 1 Structuring an Expansion to Canada / David M. Shaw
      I. Introduction
      II. Options for Expansion to Canada
      A. Branch or Subsidiary
      1. Branch
      a. Structure
      b. Tax considerations of a branch
      c. Tax advantages of a branch
      d. Tax disadvantages of a branch
      e. Registrations required for a branch
      2. Subsidiary
      a. Structure
      b. Jurisdiction of incorporation of a subsidiary in Canada
      c. Tax considerations of a subsidiary
      d. Tax advantages of a subsidiary
      e. Tax disadvantages of a subsidiary
      f. Potential shareholders' agreement for a subsidiary
      g. Registrations required for a subsidiary
      B. Special Rules for an Unlimited Liability Company (ULC)
      1. Tax Considerations of a ULC
      2. Tax Advantages of a ULC
      3. Disadvantages of a ULC
      C. Joint Venture
      1. Equity Joint Ventures
      a. Partnership
      i. General Partnership
      ii. Limited Partnership
      iii. Tax Considerations of a Partnership
      b. Corporation
      i. Limited Liability Corporation
      ii. ULC
      2. Co-ownership
      3. Contractual Joint Venture
      D. Master Franchise or Area Development
      1. Master Franchise Agreement
      2. Area Development Agreement
      3. Tax Considerations
      III. Goods and Services Tax (GST) and Harmonized Sales Tax (HST)
      A. Overview
      B. Application of GST/HST to Franchises
      C. Registration Requirements
      1. Branch Operation
      a. Mandatory registration
      b. Voluntary registration
      c. Security
      2. Canadian Subsidiary
      IV. Provincial Sales Tax
      A. Overview
      B. Retail Sales Tax
      C. Quebec Sales Tax (QST)
      ch. 2 Franchising in the Province of Quebec / Stiphane Teasdale
      I. Introduction of the Province of Quebec
      II. Disclosure
      III. Franchise Agreement
      A. Nature of Agreement
      B. Adhesion Contract
      C. Good Faith
      D. External Provisions
      E. Abusive Provisions
      F. Covenants Against Competition
      G. Termination
      IV. Charter of the French Language (CQLR c C-ll)
      A. Office Quebecois de la Langue Franchise
      B. Use of Trademarks and Name
      C. Signs and Advertising
      D. Translation of Agreements and Other Materials
      E. Products and Labels
      F. Websites
      G. Labour Relations
      H. Penalties and Other Sanctions
      V. Consumer Laws
      A. Rules Governing Consumer Contract
      B. Warranties
      C. Language
      D. Representations and Advertising
      E. Penalties and Other Sanctions
      VI. Security
      A. Personal Guarantees
      B. Movable Hypothecs
      1. Creation
      2. Registration
      3. Enforcement
      C. Immovable Hypothecs
      VII. Recent Developments and Case Law
      A. Liability
      B. Obligations Contained in the Franchise Agreements
      C. "Intensity" of the Franchisor's Contractual Obligations
      D. Application of the Business Judgment Rule
      E. Evidence of the Franchisor's Fault
      F. Causation
      G. Releases
      VIII. Damages
      A. Damages for Lost Profits
      B. Damages for Lost Investments
      C. Significance of the Case
      ch. 3 Other Laws Affecting Franchising in Canada / Clark Harrop
      I. Introduction
      II. Laws Affecting the Movement of People and Goods Across the Border
      A. Bringing Your Executives and Employees into Canada
      1. Temporary Work Permits
      a. Temporary resident visa exemptions
      b. Work permit exemptions
      c. Work permit categories
      d. Work permit conditions
      e. Hiring temporary foreign workers
      2. Permanent Residency Requirements
      B. Bringing Your Existing Supply Chain into Canada
      1. Consumer Packaging and Labelling Act
      2. Food and Drugs Act
      a. Food labeling and advertising
      3. Customs Tariffs
      a. North American Free Trade Agreement
      b. Other trade agreements
      4. Taxes on Imports into Canada
      a. Mandatory GST/HST registration
      b. Voluntary GST/HST registration
      5. Supply Management in Canada
      -Marketing Boards in Canada
      a. Milk and dairy-based products
      -Canadian Dairy Commission
      b. Chicken
      -Chicken Farmers of Canada
      c. Eggs
      -Canadian Egg Marketing Agency
      6. Importation and Sourcing/Sale of Alcohol
      III. Laws Affecting How Products and Services Are Advertised
      A. Trademarks, Trade Names and Trade Dress
      B. Pricing and Advertising in Canada
      1. Competition Act and Resale Price Maintenance in Canada
      2. Advertising Sale Prices in Canada
      a. Bait-and-switch selling
      b. False and misleading advertising
      3. Voluntary Codes
      a. Canadian Code of Advertising Standards
      b. Broadcast Code for Advertising to Children
      4. Language Laws in Quebec
      C. Canada's Anti-Spam Law
      D. Contests in Canada
      1. Competition Act
      2. Criminal Code Provisions Governing Illegal Lotteries
      3. Contest Registration in Quebec
      E. Nutrition Claims
      1. Voluntary Codes
      a. Restaurants Canada
      -voluntary guidelines to providing nutrition information to consumers
      b. British Columbia Informed Dining Program
      2. Non-voluntary Requirements
      a. Ontario
      IV. Privacy Law
      A. Collection of Customer Data
      1. Federal
      -PIPEDA
      a. Canada's ten privacy principles
      2. Alberta
      3. British Columbia
      4. Quebec
      V. Securing Payment
      A. Taking Security in a Franchisee's Assets
      1. Provincial PPSA Legislation
      a. Attachment
      b. Online registry system
      c. Place of registration
      d. Priority
      2. Quebec
      -the Hypothec
      B. Personal Guarantees from Franchisees
      1. Alberta
      -Guarantees Acknowledgement Act
      2. Quebec
      -Implications of the Civil Code
      ch. 4 Trademark and Other Intellectual Property Issues / Bruno Floriani
      I. Trademarks
      A. Common-Law Protection of Trademarks
      1. Common-Law Passing-Off
      B. Trade-Marks Act
      1. Types of Trademarks
      a. Trademarks
      b. Certification trademarks
      c. Distinguishing guises
      d. Official trademarks
      2. Registrability
      a. Use and Distinctiveness as Key Features
      b. Registrable trademarks
      c. Filing basis for registration
      3. Registration Process
      4. Prohibited Use and Remedies
      a. Statutory passing-off
      b. Infringement
      c. Depreciation of goodwill
      d. Other remedies
      5. Expungement
      a. Cancellation for non-use
      b. Invalidity
      6. Licensing
      a. What constitutes use under license
      b. Marking requirements
      c. Intercompany licenses
      7. Upcoming Changes to the Trade-marks Act
      8. International Treaties
      C. Domain Names
      1. Registration of .ca Domain Names
      2. Domain Name Disputes and Resolution
      II. Copyright
      A. Copyright Act
      1. Scope and Term of the Right
      a. Definition of copyright
      b. Types of works
      c. Criteria of originality
      d. Conditions for subsistence of copyright
      e. Term
      2. Ownership of Copyright
      a. Ownership and author of a work
      b. Employees vs. independent contractors
      c. Assignments and licenses
      d. Translation and creation of independent work
      3. Moral Rights
      a. Right to integrity and association
      b. Assignments and waivers
      c. Term
      4. Registration Process
      5. Prohibited Use and Remedies
      a. Infringement of copyright
      b. Exceptions to infringement
      c. Remedies
      6. Changes to Canadian Copyright Law
      III. Other Intellectual Property Rights
      A. Industrial Designs
      B. Patents
      IV. Confidential Information Protection
      ch. 5 Canadian Franchise Agreement / Edith Dover
      I. Introduction
      A. Term and Renewal
      B. Territory and Reservation of Rights
      C. Non-competition Covenants
      D. Initial Fees and Royalty Payments
      E. Interest Rates
      F. Location, Design and Construction
      G. Pricing Provisions
      1. Unfair Business Practices
      H. Training and Operating Assistance
      I. Advertising Fund
      1. Establishment of Advertising Funds
      2. Advertising Provisions in the Franchise Agreement
      J. Intellectual Property Protection and Confidentiality
      K. License to Use Trademarks
      L. Accounting Records, Audits and Inspections
      M. Insurance
      1. Liability Insurance
      2. Property Insurance
      N. Assignment, Transfer and Sale
      0. Termination
      1. Franchisee's Obligations upon Termination or Expiration
      2. Franchisor's Rights and Obligations upon Termination
      P. Guarantor's Covenants
      Q. Security to Franchisor
      R. Boilerplate Provisions
      1. Canadian Spelling and Language Issues
      2. Currency Selection
      3. Penalty Clauses and Equitable Remedies
      4. Waiver of Jury
      5. Severability
      6. Entire Agreement Clause
      7. Governing Law and Jurisdiction
      8. Mediation and Arbitration
      II. Conclusions
      ch. 6 Franchise Disclosure Issues in Canada / Daniel Zalmanowitz
      I. History of Franchise Legislation in Canada
      A. Introduction
      B. Alberta
      C. Ontario
      D. Prince Edward Island
      E. New Brunswick
      F. Manitoba
      G. British Columbia
      H. Other Provinces and Territories
      1. Uniform Law Conference of Canada (ULCC)
      II. Overview of the Requirements under Canadian Provincial Franchise Legislation
      A. Introduction
      B. Highlights of the Provincial Acts
      C. Important Definitions under the Provincial Acts
      1. Franchise
      2. Franchise Agreement
      3. Franchisor's Associate
      III. Application of the Provincial Acts
      A. Obligation to Disclose
      B. Exemptions from the Obligation to Disclose
      Contents note continued: C. Material Changes
      D. Delivery Mechanics
      E. Rescission
      F. Damages for Misrepresentation
      G. Liability
      H. Waivers, Jurisdiction, Venue and Forum
      I. Financial Information Exemptions
      J. Financial Statements
      K. Certificate of Disclosure
      L. Risk Statements
      M. Alternative Dispute Resolution
      N. Disclosure Document General Information
      O. Disclosure Document Material Facts
      IV. Matters of Special Interest to Foreign Franchisors
      A. Can a Foreign Franchisor Use Its Domestic Disclosure Document in Canada?
      1. Ontario
      2. Alberta, P.E.I., New Brunswick, Manitoba and British Columbia
      B. Can a Foreign Franchisor Use Its Domestic Law to Govern Its Canadian Franchise Documents?
      ch. 7 Dispute Resolution and Franchise Litigation in Canada / Jeff Hoffman
      I. Introduction
      II. Legal System
      III. Jurisdiction of Courts
      IV. Litigation Differences Between Canada and the U.S
      V. Judge-Made Law
      VI. Damage Awards
      A. Introduction
      B. Codified Damages in Franchise Law
      C. Punitive Damages
      D. Recent Developments
      VII. Costs and Legal Fees
      VIII. Class Actions in Canada
      A. Introduction
      B. Procedure
      C. Goals of Class Proceedings
      D. Recent Developments
      1. Tim Hortons
      2. Midas Canada
      3. Quizno's Canada
      4. Pet Valu Canada
      5. Other Cases
      E. Conclusion
      IX. Right of Association
      X. Enforcement of Foreign Judgments in Canadian Courts
      A. General
      B. Defences to a Foreign Judgment
      C. Recognition of Final Money Judgments and Other Final Orders
      D. Moving for Injunctive Relief
      E. Quebec Considerations
      XI. Choice of Law and Forum and Waivers
      A. Choice of Law and Choice of Forum Provisions
      B. Non-waiver Provisions
      XII. Duty of Good Faith and Fair Dealing in Canada
      A. What Does the Duty Entail?
      B. Statutory Provisions
      C. Case Law: Interpretation of the Duty of Good Faith, and Examples of Good and Bad Faith Conduct
      D. Damages for Breach of the Duty of Fair Dealing
      XIII. Injunctive Relief
      A. Types of Injunctions
      B. Test for Injunction
      C. Mandatory Injunctions
      D. Damage Undertakings
      E. Equitable Factors
      F. Public Policy Issue
      G. Recent Injunction Cases
      XIV. Non-competition Covenants
      A. Non-solicitation Provisions
      B. Chapter Note
      C. Reasonableness Test
      D. Blue Pencil Doctrine
      E. Privity and Proper Execution
      F. Internet Sales
      XV. Alternative Dispute Resolution, Mediation, and Arbitration
      A. Introduction
      B. Mediation
      1. Private Mediation and Arbitration Services
      2. Arbitration
      3. Conclusion
      XVI. Conclusion
      ch. 8 Acting for the Canadian Franchisee / Peter Viitre
      I. Introduction
      A. Possible Structures and the Respective Roles of the Parties in Each
      B. Due Diligence
      n. Additional Risks and Benefits to Purchasing a Franchise from a Non-Canadian Franchisor vs.Buying into a Canadian-Based System
      A. How Well Does the Brand or Concept "Work" in Canada?
      B. How Well Does the Business Model "Work" on This Side of the Border?
      C. Legal Concerns
      1. Protection of Franchisor's IP
      2. Trademarks
      3. Patents
      4. Trade Secrets
      5. Copyright
      6. Regulatory or Other Legal Barriers
      7. "Canadianization" and Translation of FDD and Operations Manual
      D. Impact of the Master on These Issues and Its Role in Managing or Supporting Them
      III. Common Relationship Flashpoints and Red Flags Arising Out of a Disclosure Document Review
      A. Franchisor Commitment to the Territory
      -Don't Become an Orphan
      B. Marketing Funds and Other Pooled Resources
      C. How to Deal with Disclosure Deficiencies
      IV. Negotiating Key Provisions of or Amendments to a Franchise or Multi-Unit Development Agreement
      A. Territory and Expansion Rights
      B. Development Schedules
      C. Withholding Tax Issues
      D. Conversion of Funds and Currency
      E. Personal Liability: Guarantees and Indemnification
      F. Restrictive Covenants: Non-competition and Non-solicitation
      1. Non-competition Covenants
      2. Non-Solicitation Covenants
      V. Dispute Resolution and Enforcement Issues
      A. Statutory Requirements
      B. Enforcement Issues.
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