Latest News

Back to Latest News back

 

ACCC to audit fitness franchises

ACCC to audit fitness franchises
October 31, 2013

Australia's competition watchdog is to use its audit power to check whether franchisors in the fitness industry are complying with the franchising code of conduct, after the sector (along with take-away food franchises) was found to have generated a disproportionate number of complaints.

The Australian Competition and Consumer Commission (ACCC) will check franchisors are complying with the Franchising Code of Conduct through powers that enable the ACCC to compel a trader to provide information or documents which it is required to keep, generate or publish under a prescribed code.

For franchisors, this includes disclosure documents, marketing fund statements and franchise agreements.

Addressing a symposium on legal issues at the recent National Franchise Convention, ACCC Deputy Chairman Dr Michael Schaper said the audit power will be used to target industries which are generating a disproportionate number of complaints.

"In the ACCC's next round of audits we will be looking at franchisors from the take-away food and health and fitness industries. However, our audits will not be restricted to these two sectors."

Since the audit power was introduced in 2011, the ACCC has audited around 50 franchisors. Most have been compliant with the requirements under the Code.

Dr Schaper also discussed the ACCCs wider compliance and enforcement activities in the franchising sector, adding "the ACCC has actively enforced the Franchising Code since its introduction in 1998.

"During this time we have taken successful court action against more than 20 franchisors and have also obtained court enforceable undertakings from more than 10 franchisors.

"These cases cover unconscionable conduct, misleading and deceptive conduct and contraventions of the Franchising Code."

In delivering an update on activities, Dr Schaper reported that more than 5,000 people have enrolled in the ACCC funded franchise pre-entry education program run by Griffith University.

Dr Schaper also flagged that the ACCC will soon be calling for expressions of interest for membership of its Franchising Consultative Committee.

Earlier this year, the ACCC was responsible for changing and removing a series of unfair contract terms used in standard form consumer contracts by a number of fitness clubs.

For more information go to www.accc.gov.au 

30th October 2013 - FITNESS BUSINESSES ACCLAIMED AT FRANCHISE AWARDS

2nd August 2012 - GENESIS CLUB FINED FOR FALSE CARBON TAX CLAIMS

26th August 2010 - FITNESS FIRST PROVIDES ACCC WITH ‘SINGLE PRICE’ UNDERTAKING


Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?

The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.

However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.

Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.

Subscriptions cost just $90 a year.

Click here to subscribe.

 

supplier directory

The Complete Guide to Leisure Industry Products & Services.

See the directory see all

HYPOXI Australia Pty Ltd

HYPOXI®  is one of Europe’s most successful health and weight loss studio concepts.  It’s the first weight loss technology to incorporate exercise with advanced vacuum and…

read more

Fitness / Technology / Wellness

 
 

INTELLIGENZ

Recreation Management Software for managing all your program registrations, facility bookings, membership pass sales and Point of Sale; including detailed reporting, automated customer communication…

read more

Access / Billing / Finance / Marketing / Technology

 
 

CENTAMAN

Centaman has been a market leader in Enterprise Software Solutions for the leisure and recreation industry and both profit and not-for-profit attractions since 1991. It offers a wide range of software…

read more

Access / Billing / Fitness / Technology / Ticketing

 
 

AUSFIT

Ausfit began in 1992, providing software services to the health and fitness sector including ClubWise, a fully hosted web-based product which combines state of the art club management software,…

read more

Billing / Finance / Fitness / Technology

 
 

Pico Play

Pico is a global leader in Total Brand Activation. We specialise in engaging people, creating experiences and activating brands. Leveraging a track record in experience design that spans half a…

read more

Attractions / Consultants / Design / Recreation / Venues

 
 
 

MYRTHA POOLS

Founded in 1961, Myrtha Pools® quickly became Italy’s première swimming pool company, and has since grown into one of the world's leading swimming pool construction…

read more

Aquatics / Design / Play / Waterparks / Wellness

 
 

QUAYCLEAN

Quayclean are a national cleaning and waste services partner with proven results in the understanding and delivery of cleaning needs and challenges faced by facilities including; major venues and…

read more

Aquatics / Hospitality / Surfaces / Venues

 
 
 
 

get listed with our suppliers directory

Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!

list your business