Tunisia: New Franchise Legal Regime

Tunisia’s enactment of franchise legislation is changing the legal landscape for franchise transactions in the country. Prior to August 2009, franchising in Tunisia was primarily governed by general legal provisions contained in the Civil Code of Tunisia. On August 12, 2009, the Tunisian government issued Law No. 2009-69 (the “2009 Law”) that regulates franchise agreements. Under the 2009 Law, a franchisor is required to provide disclosure to a franchisee within twenty days before the franchise agreement is signed.  Other related decrees require the franchise agreement to include certain rights and obligations of the franchisor and the franchisee.  Tunisia is clearly making a way for itself in the franchising sector and franchising has emerged as a key vehicle through which companies are choosing to expand their operations. Given the changes to the Tunisian franchise laws, franchisors will need to review and audit their agreements and practices to ensure compliance. This alert is based on the Tunisia chapter written by Yessine Ferah in “Franchising in Africa,” a book edited by Kendal Tyre and Diana Vilmenay and published by  LexNoir Foundation in the 2012.

 

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