Victorian Consolidated Legislation

Estate Agents Act 1980 - SECT 43

Franchising agreements

43. Franchising agreements









(1) An estate agent who enters into a franchising agreement must give notice
to the Authority of the agreement.

(2) A notice under subsection (1)-

   (a)  must be in a form approved by the Authority and contain the prescribed
        particulars; and



   (b)  must be given to the Authority within 30 days after the agreement is
        entered into.



(3) If an estate agent carries on business pursuant to a franchising
agreement-

   (a)  each party to the agreement is jointly and severally liable for any
        defalcation by the estate agent; and

   (b)  each party to the agreement is jointly and severally liable for any
        liability incurred by the estate agent as a result of negligence by
        the estate agent or by an employee or servant of the estate agent in
        the performance of the duties of an estate agent; and

   (c)  each party to the agreement is jointly and severally liable for any
        costs or fines arising out of any proceedings instituted in respect of
        that defalcation or negligence.

(4) If an estate agent contravenes this section each party to the franchising
agreement is guilty of an offence.

(5) In this section-

franchising agreement means an agreement whereby an estate agent is authorized
to carry on business under any name in consideration of any other person
entitled to carry on business under that name receiving any consideration
whether by way of a share in the profits of the estate agent's business or
otherwise;

defalcation has the same meaning as in Part VII.