On Tuesday, October 20th, BC Bill 38, Franchises
Act (the "Act"), was read a third time and passed.
On Tuesday, November 17th, Bill 38 was given Royal
Assent. This means that British Columbia will become the sixth
province in Canada to have franchise legislation.
What this means for franchising in BC
The most important implication for franchisors with operations
in British Columbia will be the franchise disclosure requirements
stipulated under Section 5 of the Act. Much like the legislation in
Ontario and Alberta, the Act requires that a franchisor provide a
prospective franchisee with a disclosure document at least 14 days
prior to the earlier of:
(a) the signing, by the prospective franchisee, of the franchise
agreement or any other agreement relating to the franchise; and