Jurisdiction(s):
United Kingdom

Key definition

Franchise definition

What does Franchise mean? In legal practice, a franchise most commonly means a commercial arrangement in which a franchisor licences a franchisee to run a business using the franchisor’s brand, system and know‑how under a franchise agreement. Typical legal features include an intellectual property licence, quality control and operational standards, fees (initial fee, continuing royalties and marketing contributions), territorial exclusivity or protection, non‑compete and non‑solicitation covenants, reporting obligations, and detailed provisions on term, renewal and termination. Across England & Wales, Scotland, Northern Ireland and Ireland there is no dedicated franchising statute; issues are governed by contract, IP and competition law (including rules on vertical...

The British Franchise Association: role, accreditation and self-regulatory framework in UK franchising, including Code of Ethics, complaints, appeals and sanctions, and relationship with the European Franchise Federation

Published by a LexisNexis Commercial expert

Practice notes

This Practice Note explores the purpose and scope of the British Franchise Association (the BFA) within the UK franchising industry. It reviews the legislative and regulatory environment of the sector, together with the BFA’s membership requirements, its Code of Ethical Conduct, the BFA’s complaints and appeals procedures, the Sanctions the BFA may apply to its members, and the BFA’s relationship with the European Franchise Federation...

Role and remit

The BFA was established in 1977 to evaluate and accredit franchising businesses operating in the UK. As set out in its Articles of Association, the BFA’s objectives are to:

advance the interests of franchisors
secure adherence to its Code of Ethical Conduct
provide guidance on all franchising enquiries
build trust and confidence in BFA-accredited franchises
deliver education and training in relation to franchises, and
enhance efficiency and economy in franchising practice

To further those objectives, the BFA holds a number of powers which it may use. By way of illustration, it can:

receive gifts and donations
produce and distribute publications
speak for the BFA’s membership
lobby Parliament, and
deliver education...

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Fiona Boswell

Knights plc

Fiona is Head of the Franchising and Commercial Services Team at Knights plc and has over 17 years’ experience in advising businesses on commercial contracts of all kinds and in particular on setting up, managing, growing and exiting franchise networks. This includes the preparation of pilot, master, development, management and standard franchise contracts, assisting with franchise roll out, advising on regulatory compliance, the management and removal of underperforming franchisees, terminating franchise contracts, enforcing restrictive covenants, charging deposits, franchisee associations, franchise resales and data protection compliance. Fiona’s experience has been gained both in private practice and working in house for brands that franchise in the UK and overseas. Her clients span the full spectrum of sectors from hospitality to domiciliary care.Fiona also advises franchisees that operate multiple units or multiple brands, advising on the acquisition of and operation of master...

Web page updated on 22/05/2026

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