ADVANTAGES / FEATURES
The first importance of the Franchise agreement is that it is a legally binding document that outlines the franchisor’s terms and conditions for the franchise. It also outlines the obligations of the franchisor and the franchisee. The agreement also outlines certain important aspects like the duration of the franchise, fee, business operations, locations, training, and support to the staff, etc. It is an important document to protect the intellectual property rights of the franchisor. Franchise agreement defines what is licensed to the franchisee, how a franchisee can use the intellectual properties of the brand and the rights of the franchisor to evolve the system. To put it in simpler words, the franchise agreement governs the relationship between the parties and it stands to protect the parties in an event of a dispute.