Franchise and Distribution Disputes - Jonathan Lea Network

Franchise and distribution relationships are built on trust, shared expectations, and clearly defined responsibilities. When something goes wrong, the impact can be significant—damaging revenue, reputations, and long-term growth. At The Jonathan Lea Network, we support businesses through these complex disputes with practical, strategic legal advice designed to protect your commercial interests and preserve valuable relationships wherever possible.

Whether you’re a franchisor, franchisee, supplier or distributor, we understand what’s at stake. Our experienced team is here to resolve disputes efficiently and constructively, while helping you stay focused on what matters most: your business.

Strategic Legal Support in Franchise and Distribution Disputes

Franchise and distribution disputes often involve more than just legal questions—they are commercial conflicts, typically involving high stakes, unequal bargaining positions, and long-standing partnerships. Our solicitors are not only legal experts but also commercially minded advisers who take a holistic view of your situation.

We assist with a wide range of disputes, including:

  • Breach of franchise or distribution agreements
    We help identify breaches, assess your contractual rights, and determine the best route forward, whether that involves negotiation, formal action or disengagement.
  • Territorial disputes and exclusivity conflicts
    Whether exclusivity has been breached or contested, we provide guidance on the legal enforceability of your rights and how to protect your commercial position.
  • Underperformance and failure to meet targets
    If a franchisee is underperforming or a distributor is not meeting agreed KPIs, we assist in resolving disputes, enforcing performance clauses, and safeguarding brand reputation.
  • Misuse of intellectual property and branding
    IP misuse can undermine brand integrity. We act quickly to stop unauthorised use of trade marks, know-how, and proprietary content, and enforce your rights robustly.
  • Post-termination restrictions and enforcement
    When a franchise or distribution agreement ends, we help enforce non-compete clauses, protect confidential information, and manage any continuing obligations or liabilities.
  • Disputes over advertising funds and marketing obligations
    We advise on claims relating to the use and transparency of advertising funds, as well as disputes around marketing contributions and brand promotion commitments.
  • Misrepresentation and lack of franchisor support
    Franchisees may feel misled about what was promised. We assess potential misrepresentation claims and advise on seeking redress or negotiating an exit.
  • Payment defaults and supply chain disruption
    Whether you are not being paid or are facing problems with supply delivery, we help you act promptly to recover debts, maintain supply chains, or restructure agreements.

Tailored Advice for Every Stage of the Relationship

Every dispute is unique. It may involve a long-standing trading relationship, cross-border elements, or internal issues such as investor pressure or network disruption. We take the time to understand not only the legal facts but also your commercial objectives and risk appetite. We advise:

  • Franchisees
    Whether you’re seeking to challenge unfair practices, defend against performance allegations, or explore options for exiting a franchise, we’ll help you navigate your rights confidently.
  • Franchisors
    We advise on enforcing brand standards, managing disputes across your franchise network, terminating relationships where necessary, and protecting long-term value.
  • Suppliers and distributors
    Our team works with suppliers and distributors to resolve contractual breaches, enforce exclusivity rights, and renegotiate unfavourable terms where appropriate.
  • Multi-unit operators and brand owners
    If you’re managing a group of franchise locations or dealing with disputes across territories, we can provide integrated support on UK and international matters.

We also advise on franchisee association issues, network-level disputes, and group actions where multiple parties are involved.

Resolving Disputes Efficiently and Cost-Effectively

While we are fully equipped to pursue or defend litigation when necessary, we prioritise early-stage, cost-effective resolution wherever possible. Our team regularly supports clients through:

  • Mediation – A voluntary, confidential process that allows both parties to reach a mutually acceptable outcome with the help of an independent mediator.
  • Arbitration – A more formal, binding process often used in international franchise and distribution contracts.
  • Negotiated settlement – We use skilled negotiation tactics to resolve disputes in a commercially sensible way, often before proceedings are issued.

By focusing on creative solutions and early intervention, we help reduce stress, preserve relationships, and keep legal costs proportionate.

Preventing Future Disputes

The best disputes are the ones that never happen. We also work proactively with clients to put the right frameworks in place that reduce the risk of conflict and protect your position. We can help you:

  • Review and strengthen franchise and distribution agreements
    Our solicitors assess the robustness of your existing agreements and highlight areas where clarity, enforceability or commercial balance can be improved.
  • Advise on operational manuals and compliance policies
    Manuals are often referenced in disputes. We help ensure your documentation supports your contract and meets legal expectations.
  • Draft and update IP, confidentiality and non-compete clauses
    Well-drafted clauses help avoid disputes and provide leverage if problems arise. We ensure your restrictions are enforceable and proportionate.
  • Train teams and stakeholders on dispute prevention
    We offer training sessions for franchisors, distributors and internal teams on managing performance, identifying red flags, and staying compliant.
  • Provide strategic input for growth or international expansion
    If you are scaling your network or moving into new markets, we can help develop a legally sound structure that supports long-term success.

Why Choose The Jonathan Lea Network?

Choosing the right legal team can make all the difference. At The Jonathan Lea Network, we provide:

Personal, collaborative service
We work as an extension of your business, taking the time to understand your values and priorities so our advice is always aligned with your goals.

Specialist expertise
Our lawyers combine experience in commercial contracts, intellectual property, and dispute resolution to provide integrated, commercially focused advice.

– Value for money
We offer clear, upfront fee structures, including fixed fees where possible, and always aim to deliver efficient, outcome-driven solutions.

Trusted by SMEs and national brands alike
From independent operators to well-known franchise networks, clients choose us because we blend legal rigour with practical sense and genuine care.

Speak to Our Expert Team

If you’re facing a franchise or distribution dispute—or you want to proactively strengthen your agreements and avoid problems down the line—our team is ready to help. We offer a free initial consultation to understand your situation and outline how we can assist.

📞 Call us on 01444 708 640
📧 Email: wewillhelp@jonathanlea.net
🗓️ Or use our contact form to request a callback

At The Jonathan Lea Network, we’ll help you move through conflict with confidence—and put the right legal foundations in place for a stronger, more secure future.

Injunctions & Emergency Remedies FAQs

What are common signs that a franchise or distribution relationship is heading toward a dispute?

Some early warning signs include persistent underperformance, late payments, breakdowns in communication, sudden changes in contractual terms, and dissatisfaction with marketing or operational support. If you notice these, it’s worth seeking legal advice early.

Can I exit a franchise agreement early if things aren’t working out?

It depends on the wording of your agreement. Many contain fixed terms and termination clauses. However, if there has been misrepresentation or a material breach, or if the contract is fundamentally unfair, there may be options to exit lawfully.

What should I do if a franchisor is not meeting their support obligations?

Document your concerns clearly and review the agreement for any express promises or implied duties around training, marketing or operational support. Our team can help you assess whether there has been a breach and advise on next steps.

Are post-termination restrictions (like non-compete clauses) enforceable?

These clauses can be enforceable if they are reasonable in scope, duration and geography. Courts will not uphold restrictions that go further than necessary to protect legitimate business interests. We can help assess whether your clauses are likely to hold up.

Do franchise or distribution disputes always end up in court?

Not at all. In fact, most disputes settle before court proceedings are issued. Mediation and negotiation are often quicker and cheaper. We’ll help you explore all dispute resolution options to find the most effective route for your business.

Our Areas of Experience

  • Acquisitions and disposals of freehold and leasehold properties, including agricultural land and buildings
  • Construction contracts
  • Development projects including planning agreements, options, conditional contracts and joint venture arrangements
  • Leasebacks and re-financings
  • Leasehold arrangements and landlord and tenant negotiations
  • Leasehold enfranchisement;Planning contracts including s.106 agreements
  • Residential site assembly and plot sale disposal
  • Short term licence to occupy agreements
  • Vacant property management, including property guardian contractual documentation

Our Partnership Disputes Team

What Our Clients Say

Google rating score: 4.9 / 5, based on 99 reviews

Request a Free No Obligation 20 Minute Call

This introductory call is to discuss your matter so we can provide a well-considered quote.

 

However, please be aware that the free 20 minute call is at our discretion. If you are more looking for advice and guidance on an initial call, we may instead offer a one-hour fixed fee appointment instead.

 

Our fixed fee appointments are between £200 – £300 + 20% VAT (£240 – £360 inclusive of VAT) depending on the seniority of the solicitor taking the call.

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