Journal of Accounting and Management Information Systems (JAMIS)

Considerations on the effects of the franchising network within the commercial competition

15/2006 ,   p118..126

Charlotte ENE

Keywords:   law, franchising network, franchising agreement, competition

The franchising network represents an organisational structure with contractual nature, which brings together merchants having common interests and the same purpose. Taking into consideration the main functions of the franchising network (i.e. the domination of the market) and the nature of the relationship settled by the members of franchising network, the franchising network could affect the competition on the market. From the competition point of view, the franchising agreement, which forms the franchising network, is qualified as vertical agreement. The vertical agreements are, in certain conditions mentioned expressly by the law, excepted from the provisions regarding the competition