LAWFUEL – The Law News Network – Leading commercial law firm Phillips…

LAWFUEL – The Law News Network – Leading commercial law firm Phillips Fox has welcomed a decision by the High Court of Australia not to grant special leave to appeal an earlier decision of the Full Federal Court (FFC) to a former Lenard’s franchisee.

The franchisee was seeking to overturn a July 2005 decision of the FFC in a case
concerning a claim by the former franchisee against Lenard’s for alleged misleading
statements about financial projections and site selection.

“The decision is good news for franchisors who could now confidently rely on the principles of the Federal Court decision in formulating their policies and procedures,” said Tony Conaghan, Partner, Phillips Fox who represented Lenard’s.

However, Conaghan cautions franchisors and their lawyers. “It’s important not to slavishly rely on the clauses which were the focus of the decision. These clauses have been significantly updated to take into account changes in the legal and commercial environment,” said Conaghan.

For further information or comment, please contact:
Tony Conaghan, Partner Phillips Fox
Tel: (07) 3246 4002 [email protected]

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