UTGB Vol 5.pdf - Robson Hall Faculty of Law

Response to Consultation
Paper on Franchise Law
BRYAN SCHWARTz,t JOHN POZIOSt &
LEANDRO ZYLBERMANt
I. INTRODUCTION
T
he following is a response to the Manitoba Law Reform Commission's
Franchise Law Consultation Paper published in May, 2007. The "Paper,.
addresses the question of whether Manitoba needs franchise legislation
and provides a review of the state of franchise law in Canada, Australia, and the
United States. Finally, the Paper poses a series of questions with regard to what
should be done in Manitoba. 1
This response discusses the need for franchise law in Manitoba, drawing from
the experience of other provinces. Having done so, a discussion of the issues
raised in the Law Reform Commission's Paper will ensue.
II. Is FRANcmsE LAW NEEDED IN MANITOBA
A. The Need for Franchise Law in Manitoba
The Legislative Assembly of Manitoba has already had the opportunity of
discussing the question of whether franchise law is needed in the province. Jim
Maloway, MLA for Elmwood, introduced Bill 18, The Franchises Act, during the
Yd session of the 35th Legislature in 1992. The Bill followed the Alberta
Franchises Act 2 very closely, providing for the delivery by a franchisor to a
franchisee of a statement of material facts containing prescribed information,
and further providing that no person shall trade in a franchise in the Province
Bryan Schwartz} Asper Professor oflntemational Business and Trade Law, Faculty of Law,
University of Manitoba.
John Pozios, Director, Marcel A. Desautels Centre for Private Enterprise and the Law.
Leandro Zylberman, B.A., LL.B. (2008).
The Reform Commission's report may be found online at: .
R.S.A. 1980, c. F l7 (repealed).