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ARTICLE · 04 NOVEMBER 2021

Franchising Comparative Guide - Indonesia & India

Nusantara Legal Partnership
Nusantara Legal Partnership
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Nusantara Legal Partnership

Nusantara Legal Partnership

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What is the legal definition of "franchise" pursuant to the relevant laws and regulations in your jurisdiction? Does your jurisdiction provide specific definition for "franchise"?

IndonesiaCorporate/Commercial Law

This comparative guide was prepared in collaboration with Advaya Legal, a full-service commercial law firm in Mumbai, India.

INDONESIA

A. DEFINITION AND SCOPE OF FRANCHISING

1. What is the legal definition of "franchise" pursuant to the relevant laws and regulations in your jurisdiction? Does your jurisdiction provide specific definition for "franchise"?

Franchise is defined as "a special right owned by an individual or entity over the unique characteristics of a certain business system, which has been proven to be successful to promote goods and/or services, and can be used by another party pursuant to a Franchise Agreement" (Art. 1 Point 1 of Minister of Trade ("MoT") Regulation No. 71 of 2019 on Franchising ("MoT Regulation 71/2019").

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