ARTICLE · 10 NOVEMBER 1996
Distribution and/or Franchising
ItalyMedia, Telecoms, IT, Entertainment
Among the various legal instruments available in order to obtain the collaboration of third party undertakings for the distribution of commercial products on the market, franchising has always presented distinctive features and specific advantages.
The possible advantages of choosing a franchising solution are even further enhanced by Community regulations concerning competition law, first in case law (see the well-known Pronuptia decision), then in EEC legislation. In particular, the entry into force of the EEC Commission Regulation no. 4087/88 which exempts globally franchising contracts in accordance with Art. 85 of the Treaty of Rome, substantially weakening the rules prohibiting the contractual clauses aimed to restrict the free competition in the common market (e.g., prohibiting selective distribution, territorial exclusivity, price fixing of sale goods, obligations to sell exclusively to consumers or to buy exclusively from agreed suppliers, etc.) and thus making it in
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