Removing a nominee director

The rules regulating a company are contained within the Corporations Act 2001 (Cth), the constitution that may be adopted to govern the operations of the company and a shareholders agreement. The importance of consistency between all of these documents, and...

Insolvency and the right to terminate contracts

Reforms to insolvency laws which commenced on 1 July 2018 prevent contracting parties from relying on certain termination clauses in commercial contracts. The ipso facto regime aims to give companies facing financial difficulties an opportunity to trade their way out...

Franchising Code changes are coming

Franchise agreements are governed by the Competition and Consumer (Industry Codes – Franchising) Regulation 2014 and the Franchising Code of Conduct (the ‘Code’). The Code is regulated by the Australian Competition and Consumer Commission which has the power to...

Franchisors must act in good faith and reasonable cause

A franchise operates within an existing business structure that gives the franchisor discretion to implement strategies, introduce new products and set prices for the ‘branded’ goods or services. These commercial decisions however must be exercised in ‘good faith and...

Lessons for Financial Services Licensees

The Federal Court of Australia recently considered the ‘best interests and appropriate advice duties’ required of financial services licensees and providers, which form Part 7.7A of the Corporations Act 2001 (Cth) (the Act). The Australian Securities and Investments...