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DRAFT REGULATION STILL SOME WEEKS OFF


last updated 29/07/2009

July 2008 - We are advised by the office of the Minister of Commerce that the draft regulations are still being worked on and will then have to go through Cabinet, so they are still some weeks off.

The Franchise Association is not the only organisation to have made submissions over the regulation; a body called the Fair Trading Coalition, which was established in 2005, is also believed to have sought consultation. The FTC has its roots in the motor industry and many of its concerns are specific to that industry.

In an election year there can be no certainty that any current proposals will become law. The attendance of National Party leader John Key at a recent Franchise Association function did little to enlighten those present about the Opposition's views on franchise regulation, as he admitted to knowing little about the topic. However, National MP Kate Wilkinson did canvass opinions from around the room and seemed a little surprised at the level of support for regulation. A former lawyer, Ms Wilkinson claimed that when she was assisting clients buying franchises, she told them never to deal with companies which were not members of the Franchise Association.

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