by robert212  13/11/2012  979 Page Views
1 Comments  Commercial law, litigation, contracts, IP, property law
Hi guys,
I was just wondering if someone could assist me with the following query.......

We have a current contract with a franchisor permitting us to use the franchisor's branding for our chiro practice. We are currently looking at our options to get out of the franchise due to some disagreements that we have had. In the contract that we signed there was a restraint of trade clause that basically said that after termination of the agreement, none of the directors or staff could trade within 12 kms (we would lose a lot of clients having to move that far). The contract was signed by the two directors of the company, on behalf of the company however, at no stage were any guarantors signed by either of the directors. We will be looking to negotiate with the franchisor to hopefully leave on good terms. If things go pear shaped and the franchisor looks to enforce the restraint of trade clause, what liability would any liability extend to the directors if say we dissolved the company for which the agreement was signed in the first place?

Would appreciate any advice that you might have.

Kind regards,