Franchising Cases In Malaysia

The Malaysian Franchise Act 1998 ("FA"), among others, provides for registration of the franchise agreement and the automatic renewal of franchise agreements at the end of the term. The penalties for contravention of the FA have been amended by prescribing different penalties for offences committed by a body corporate and that of non-body corporates such as natural persons or partnerships. This article analyses 2 court cases, which provide an insight into how Malaysian courts interpret the FA's provisions.

The FA is a complex regulation which, inter alia, provides for registration of the franchise agreement and the automatic renewal of franchise agreements at the end of the term.