Franchising Contract in Tunisia

Franchising is a relatively recent contract in Tunisia, for which the Tunisian government provides measures of encouragement, as evidenced by the growing spread of franchising, a formula already developed for food and textile products.
In 2009 the Tunisian government passed law no. 69 which regulates the franchise agreement, amended in June 2010 with the definition of a series of provisions governing information obligations.
In particular art. 14 of the law n. 69/2009 defines franchising as "the contract through which the owner of the trademark grants the right to use the trademark to a natural person or a legal person called franchisee in order to distribute the products or provide services in exchange for a consideration ". The concession also includes the transfer of knowledge and experience by the franchisor, in addition to intellectual property rights. First of all, the franchisor is obliged to inform the franchisee at least 20 days before the signing of the agreement.
In particular, this information concerns:

• The franchisor's business network and its nature, as well as the opportunities in the sector on the Tunisian territory;
• The identity of the legal representatives of the franchisor, offices and internal structure;
• Proof of ownership of the trademark by the franchisor;
• The list of franchisees and information relating to the franchising network on the Tunisian territory;
• The nature and burden of costs required for the start-up and management of the activity;
• The financial statement of the franchisor

• The provision of services, including the transfer of know-how, technical experience and intellectual property rights;
• The ability to access the franchisee's premises under certain conditions, including for its representatives;

On the other hand, the franchisee is expected to:

• Provide for an exclusive supply agreement;
• Defining of an investment plan;
• The obligation of constant communication to the franchisor on sales and financial situation;
• The possibility of defining sub-franchising agreements with third parties in the geographical area entrusted to him, when the franchising agreement covers the entire Tunisian territory;
• Carry out the required payments.

Inoltre, l’accordo deve disciplinare l’uso esclusivo del marchio nell’area geografica individuata, gli obblighi di non concorrenza, il termine del contratto e le eventuali condizioni per il rinnovo, l’indicazione delle informazioni confidenziali e la divisione delle spese di pubblicità.