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Franchisor Franchisee Agreement Template for Philippines

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Key Requirements PROMPT example:

Franchisor Franchisee Agreement

"I need a Franchisor Franchisee Agreement for my fast-food restaurant chain in the Philippines, with rights to expand to 10 locations across Metro Manila, including specific provisions for local food safety regulations and provisions for delivery services."

Document background
The Franchisor Franchisee Agreement is a crucial document used when a business (franchisor) grants another party (franchisee) the right to operate under its business system and brand in the Philippines. This agreement must comply with specific Philippine regulations, particularly DTI Administrative Order No. 8 and the Intellectual Property Code. It comprehensively covers all aspects of the franchise relationship, including initial fees, ongoing royalties, operational standards, training requirements, territory rights, and quality control measures. The document is essential for protecting both parties' interests while ensuring compliance with local business practices and regulatory requirements. It serves as the foundational document for establishing and maintaining a successful franchise operation in the Philippine market.
Suggested Sections

1. Parties: Identification of the franchisor and franchisee with complete legal names and addresses

2. Background: Context of the franchise business, history, and purpose of the agreement

3. Definitions: Detailed definitions of key terms used throughout the agreement

4. Grant of Franchise: Specific rights being granted, territory, and exclusivity terms

5. Term and Renewal: Duration of the franchise agreement and conditions for renewal

6. Franchise Fees and Payments: Initial franchise fee, recurring royalties, advertising contributions, and payment terms

7. Franchisor's Obligations: Training, support, operations manual, ongoing assistance, and other franchisor commitments

8. Franchisee's Obligations: Operational standards, compliance requirements, reporting obligations, and performance metrics

9. Intellectual Property Rights: Use of trademarks, trade secrets, and other IP assets

10. Marketing and Advertising: Marketing requirements, advertising fund contributions, and local marketing obligations

11. Quality Control: Standards maintenance, inspections, and compliance requirements

12. Confidentiality: Protection of trade secrets and confidential information

13. Non-Competition: Restrictions during and after the franchise term

14. Default and Termination: Grounds for termination, cure periods, and consequences of termination

15. Post-Termination Obligations: De-identification, confidentiality maintenance, and other post-termination duties

16. Dispute Resolution: Process for resolving disputes, including mediation and arbitration procedures

17. Governing Law: Application of Philippine law and jurisdiction

18. General Provisions: Standard boilerplate clauses including force majeure, notices, and amendments

Optional Sections

1. Multi-Unit Development: Used when granting rights to develop multiple franchise units

2. E-commerce Rights: Required when the franchise includes online sales or digital platforms

3. International Operations: Needed for franchises with cross-border operations

4. Sub-Franchising Rights: Included when franchisee has right to grant sub-franchises

5. Equipment Leasing: Required when franchisor provides equipment on lease

6. Property Lease Provisions: Used when franchisor is involved in property leasing arrangements

7. Transfer Rights: Detailed section on transfer rights when more complex than standard

8. Co-Branding: Required when franchise allows operation with other brands

Suggested Schedules

1. Schedule 1 - Products and Services: Detailed list of approved products and services

2. Schedule 2 - Initial Franchise Fee and Royalties: Detailed breakdown of all fees and payment structures

3. Schedule 3 - Territorial Rights: Maps and descriptions of granted territory

4. Schedule 4 - Brand Standards: Visual identity guidelines and brand usage rules

5. Schedule 5 - Training Program: Details of initial and ongoing training requirements

6. Schedule 6 - Equipment and Inventory Requirements: Specifications for required equipment and inventory levels

7. Schedule 7 - Approved Suppliers: List of approved suppliers and purchasing requirements

8. Schedule 8 - Performance Metrics: Detailed performance standards and evaluation criteria

9. Appendix A - Disclosure Document: Required under Philippine franchise regulations

10. Appendix B - Operations Manual Table of Contents: Overview of operations manual contents

11. Appendix C - Form of Confidentiality Agreement: Standard confidentiality agreement for employees

12. Appendix D - Personal Guaranty: Form of personal guaranty if required

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
































































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Relevant Industries

Food and Beverage

Retail

Education and Training

Healthcare Services

Automotive Services

Personal Care and Beauty

Fashion and Apparel

Professional Services

Hospitality

Fitness and Recreation

Technology Services

Real Estate Services

Relevant Teams

Legal

Operations

Business Development

Franchise Development

Compliance

Brand Management

Training

Quality Assurance

Commercial

Sales

Regional Management

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Franchise Development Director

Business Development Manager

Operations Director

Legal Counsel

Franchise Operations Manager

Compliance Officer

Brand Manager

Training Manager

Quality Assurance Manager

Commercial Director

Business Owner

Franchise Sales Manager

Regional Manager

Territory Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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