86Notification obligation—franchisee

86 Notification obligation—franchisee

(1) The franchisee of a franchise agreement must notify the franchisor, in writing, whether the franchisee intends to: (a) renew the agreement; or (b) enter into a new franchise agreement with the franchisor; or (c) neither extend the agreement nor enter into a new franchise agreement with the franchisor. (2) If the term of the agreement is 12 months or longer, the franchisee’s notice must be given: (a) at least 12 months before the end of the term of the agreement; or (b) if the parties to the agreement agree on a later time—before that later time. (3) If the term of the agreement is less than 12 months, the franchisee’s notice must be given: (a) if the term of the agreement is 6 months or longer—at least 6 months before the end of the term of the agreement; and (b) if the term of the agreement is less than 6 months—at least 1 month before the end of the term of the agreement. (4) If the franchisee gives a notice to the franchisor that the franchisee intends to neither renew the agreement nor enter into a new franchise agreement with the franchisor, the notice must include the reasons for the franchisee’s intention.