Don Randall (Canning, Liberal Party, Shadow Parliamentary Secretary for Energy and Resources) Share this | Hansard source

to move:

That the House:

(1)

notes that in December 2008 the Parliamentary Joint Committee on Corporations and Financial Services tabled its report entitled Opportunity not opportunism: improving conduct in Australian franchising;

(2)

condemns the Minister for Small Business for ignoring the calls of current and former franchisees, the Opposition and his own colleagues to urgently implement the recommendations of the Opportunity not opportunism: improving conduct in Australian franchising report;

(3)

acknowledges that adoption of Recommendation 8 to insert a new clause into the Franchising Code of Conduct imposing a good faith requirement on franchisors, franchisees and prospective franchisees to act in good faith in relation to all aspects of a franchise agreement, would impose a standard of behaviour that would discourage opportunistic and unethical conduct in the franchising sector; and

(4)

notes that:

(a)

amendments to the Trade Practices Act 1974, imposing pecuniary penalties for breaches of the Franchising Code of Conduct, would further act as a deterrent and ensure full compliance with the Code and also discourage opportunistic and unethical conduct in the franchising sector; and

(b)

while the Minister fails to implement all 11 recommendations, aggrieved franchisees will continue to lose their livelihoods and homes and many will continue to have no means for redress without recourse to expensive and often unaffordable litigation.

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