A Boost To Franchisor Entitlements Under Alberta's Expropriation Act

In its recent decision, Edmonton (City) v AW Holdings Corp, 2024 ABCA 92, Alberta's top court has upheld a decision by the province's Land and Property Rights Tribunal (LPRT), which dealt with the issue of whether a franchisor who neither owns title to, nor leases land, can be an owner through possession or occupation of that land, or have an interest in it, under provincial expropriation legislation.

The key point here was that the LPRT held, based on a very fact-specific analysis, that the franchisor's interest in the business operated by its franchisee on land leased by the franchisor's leasing corporation, pursuant to the franchise agreement was different and separate from an interest as a franchisee and as a sublessor. Based on its interest as a franchisor under its franchise agreement, the franchisor was entitled to control over the business activities of the franchisee and to income for the use of the franchise system, which was based on a right for