Underneath the Golden Boy - Robson Hall Faculty of Law

Franchise Law Consultation Paper 2007 255
This bill will ensure fairness in the relationship between small business people in New
Brunswick and franchisors, while protecting our province’s competitive position in
attracting new business investment. 111
Bill 32, the Franchises Act, was introduced in the New Brunswick
Legislative Assembly on February 23, 2007. 112 The bill has not yet received
second reading. Like the former Bill 6, Bill 32 is a disclosure statute based closely
on the ULCC Model Bill, and similarly includes a mediation process that is
mandatory if initiated by one of the parties to a franchise agreement.
C. Agreement on Internal Trade
Canada’s Agreement on Internal Trade came into force on July 1, 1995. 113 The
Agreement was signed by all provinces and territories and the federal
government, with the purpose of reducing and eliminating, to the extent
possible, barriers to the free movement of persons, goods, services, and
investment within Canada and to establish an open, efficient, and stable
domestic market. 114
The parties agreed to six general rules, including ensuring that government
policies and practices do not create obstacles to trade, ensuring that non-trade
objectives that may cause some deviation from the guidelines have a minimal
adverse impact on interprovincial trade, and eliminating trade barriers caused by
differences in standards and regulations across Canada. As one measure,
governments are to focus on reconciling their consumer protection requirements
that act as non-tariff barriers to allow Canadian firms to capitalize on economies
of scale by servicing larger markets. 115
111
Hon. B. Green, New Brunswick Minister of Justice, Press Release (December 7, 2005), quoted
in J.S. MacKenzie and M.D. Wennberg, “Franchise Law: Prince Edward Island and New
Brunswick Updates”, 7:1 Atlantic Business Counsel, Stewart Mckelvey Stirling Scales (January,
2006), online:
(date accessed: May 9, 2007).
112
Bill 32, Franchises Act, 56 th Legislature, 1 st Session, New Brunswick [New Brunswick Bill],
online: (date accessed: May 9, 2007).
113
Agreement on Internal Trade (September 1994), online:
(date accessed: May 9, 2007).
114
Internal Trade Secretariat, Overview of the Agreement on Internal Trade, online:
(date accessed: May 9, 2007).
115
Ibid.