26Statements with respect to disclosure document and this Code

26 Statements with respect to disclosure document and this Code

A franchisor must not: (a) enter into a franchise agreement; or (b) renew or transfer a franchise agreement; or (c) extend the term or scope of a franchise agreement; or (d) enter into an agreement to: (i) enter into a franchise agreement; or (ii) renew or transfer a franchise agreement; or (iii) extend the term or scope of a franchise agreement; unless the franchisor has received from the franchisee or prospective franchisee (as the case requires): (e) a written statement that the franchisee or prospective franchisee has received, read and had a reasonable opportunity to understand the disclosure document and this Code; or (f) a written notice under subsection 23(4) or 24(4) (as the case requires).

Civil penalty: 600 penalty units.