Last year we consulted on franchise relationships in the automotive industry, and now draft regulations are available for comment. The regulations will amend the Franchising Code of Conduct, improving transparency and cooperation for new car dealers and manufacturers.
The regulations follow finalisation of a Regulation Impact Statement (RIS). The RIS considered how best to address new car dealers’ concerns with their franchising relationships with car manufacturers.
The exposure draft regulations propose to implement more transparent and cooperative end of term and capital expenditure arrangements.
Your input will help us to refine the regulations with a view to making them official.