araripe@araripe.com.br | +55 (24) 2103-2200 

araripe@araripe.com.br | +55 (24) 2103-2200 

Franchising

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Franchising

Our expertise in franchising procedures and franchising contracts is aimed at developing operations to maximize the expected return. Our franchise team is dedicated to building and promoting an unique offer of legal expertise in business in a personalized way and with partnerships so that the process becomes less stressful and well structured.

 

What is a Franchise?

It is a means through which the owner of Intellectual Property rights (the franchisor) authorizes a franchisee the use of the marks and other assets, associated with the right of exclusive production or distribution of products or services and the right to use methods and systems for setting up and administrating the business in exchange for payment. In this business model, there is no consumer or employment relationship between the franchisor and the franchisee.

The franchising agreement in Brazil must be registered with Brazilian Patent and Trademark Office, meeting the requirements, including drawing up the Franchise Offering Circular.

Services:

  • Strategic legal advice;
  • Suggested partnership companies and monitoring of compliance process of franchise model;
  • Legal advice on contractual clauses for franchising agreements in a personalized and adequate way for national and international operations;
  • Negotiating contracts to enable franchise operations, both nationally and internationally;
  • Negotiating contracts involving transfer, discharges, and licensing for matters adjacent to the franchise operation;
  • Assistance in general commercial aspects, including service agreements; and
  • Solving potential legal disputes among franchisees, franchisors and suppliers of services, as well as general aspects of franchising agreements.

 

A Uniform Franchise Offering Circular is a legal document required from the franchisor to the franchisee which must be signed 10 days previous to the final franchising contract. This document must present the concise company background, the balance sheets and financial statements, franchisor profile and the status of their registered assets with INPI etc.

INPI – National Institute of Industrial Property, or the Brazilian Patent and Trademark Office is the government agency responsible for the examination and registration of trademarks in Brazil. Their headquarters are in Rio de Janeiro.