Activities of Mylène TROSZCZYNSKI related to 2016/2244(INI)
Shadow reports (1)
REPORT on the functioning of franchising in the retail sector PDF (320 KB) DOC (66 KB)
Amendments (16)
Amendment 4 #
Motion for a resolution
Recital B
Recital B
B. whereas in its resolution of 11 December 2013, Parliament welcomed franchising as a business model, which supports new business and small-business ownership, but noted the existence of unfair contract terms in certain cases and called for transparent and fair contracts; moreover, it drew the attention of the Commission and boosts growth and Member States, in particular, to problems faced by franchisees wishing to sell their business or change their business formula, whilst remaining actiployment at national level ins the same sector and requested that the Commission examine the ban on price-fixing mechanisms in franchise systems and the effects of long- term competition clauses, purchase options and the prohibition of multi- franchising, and to reconsider in this respect the current exemption from competition rules for contracting parties having a market share of less than 30 %o be welcomed; whereas the franchisor and franchisee engage in a relationship of mutual trust in the strict interests of both parties;
Amendment 8 #
Motion for a resolution
Recital B a (new)
Recital B a (new)
Ba. Whereas the unfavourable economic conditions in the eurozone and the emergence of unfair competition within the single market itself are generating chronic market instability which acts as a disincentive to investment and the establishment of long-term cooperation between parties;
Amendment 9 #
Motion for a resolution
Recital C
Recital C
C. whereas franchising has the potential of being a business model that can help in completing the single market in the retail sector, but is currently under- performing in the EU, representing only 1.89 % of GDP, as opposed to 5.95 % in the USA and 10.83 % in Australia, 83.5 % of franchising’s turnover being concentrated in only seven Member Statesis a business model which contributes to growth in the retail sector in the Member States, but has not yet reached its full potential;
Amendment 15 #
Motion for a resolution
Recital D
Recital D
D. whereas existing legislation covering franchising as a business model varies widelyunderstandably varies between Member States, and franchisees may refrain from entering into cross-border franchise networks, because they are not familiar with other legal systems and may not be protected against unfair trading practices;
Amendment 22 #
Motion for a resolution
Recital F
Recital F
Amendment 28 #
Motion for a resolution
Recital G
Recital G
G. whereas, in the context of the realisation of the digital single market specific attention should be paid to the tensions which have arisen between franchisors and franchisees with respect to e-commerce and the sharing of consumer data, since currently franchise agreements do not contain provisions on these subjects and thus lead to unnecessary uncertainty and conflicts;
Amendment 36 #
Motion for a resolution
Paragraph 1
Paragraph 1
1. Considers that for the completion of the single marketranchising in the retail sector, franchising can play an important role, provided that effective protection of both franchisors and franchisees against unfair trading practices is offered throughout the EU;
Amendment 42 #
Motion for a resolution
Paragraph 2
Paragraph 2
2. EmphasiStresses that the franchisees are often the weaker contracting party, as formula is developed by the franchisor and franchisees directly benefit from it; stresses, further, that the fbranchise formula has normally been developed by the franchisor and franchisees tend to bd's chances of commercial success depend on a detailed contractual commitment and a high level of trust between the parties; takes the view that franchisees are highly dependent on the finrancially weaker and less well-inforhisor's expertise, and that, at the samed thanime, the franchisor and therefore heavily dependent on the expertise of the franchisorhas to be able to count on the franchisee's commercial effectiveness and economic stability and has no interest in creating businesses with an uncertain future;
Amendment 55 #
Motion for a resolution
Paragraph 3
Paragraph 3
3. StaNotes that franchisors have organised themselves both at national and European level for the representation of their interests, whereas often due to a lack of resources, franchisees often lack such representative organisations and are under- represented;
Amendment 61 #
Motion for a resolution
Paragraph 5
Paragraph 5
Amendment 69 #
Motion for a resolution
Paragraph 6
Paragraph 6
6. Calls on the Commission to actively examine the functioning of franchising in the retail sector, and, in particular, the existence of unfair contract terms or other unfair trading practices, and to request Eurostat to devote special attention to this model when collecting statistical information on the sectorstresses that unfair contract terms or other unfair trading practices exist within the single market;
Amendment 74 #
Motion for a resolution
Paragraph 7
Paragraph 7
7. Takes note of the European Code of Ethics for Franchising, developed by the European Franchise Federation, but also notes that the Code has been unilaterally drawn up by franchisors and has met with fundamental criticism from franchisees pointing, inter alia, to the fact that the code preceding the 2016 revision of the Code was worded more strongly in respect of the commitments of the franchisor;.
Amendment 82 #
Motion for a resolution
Paragraph 8
Paragraph 8
8. Expresses its concern withWelcomes the lack of an additional independent enforcement mechanism accompanying the European Code of Ethics and recalls that in somthe Member States this lack of independent enforcement prompted the introducdo not need European legislative texts to establish their own adapted, made-to- measure and proportion ofate legislation to effectively preventing and addressing unfair trading practices in franchising;
Amendment 90 #
Motion for a resolution
Paragraph 10
Paragraph 10
Amendment 111 #
Motion for a resolution
Paragraph 14
Paragraph 14
Amendment 116 #
Motion for a resolution
Paragraph 15
Paragraph 15
15. Emphasises that non-competition clauses should beare generally clearly formulated, reasonable and proportionate and should not apply for a longer duration than what is strictly necessary, considering, in particular, the potential need for franchisees to change their franchise formula, if their neighbourhood and therefore the demand for products or services changes;