Document background
The Multi Unit Franchise Agreement is a sophisticated legal instrument used in the Canadian franchise industry when a franchisor wishes to expand their network through an experienced developer capable of opening multiple units. This document is essential for businesses planning rapid expansion in specific territories while maintaining brand consistency and regulatory compliance. It addresses the unique aspects of multi-unit development, including development schedules, territory rights, and the relationship between the master agreement and individual unit franchise agreements. The agreement must comply with provincial franchise laws, particularly in Ontario (Arthur Wishart Act), Alberta (Franchises Act), and British Columbia (Franchises Act), which mandate specific disclosure requirements and govern franchise relationships. This document is typically more complex than single-unit franchise agreements as it must balance the franchisor's system-wide standards with the developer's need for operational flexibility in managing multiple units.
