OVERVIEW
1 What forms of business entities are relevant to the typical
franchisor?
Chapter 54 of the Russian Civil Code is dedicated to
franchising. According to that law, the parties to a franchising
contract may be any commercial entities (limited liability
companies, joint-stock companies, etc) or individual entrepreneurs.
Most commonly, the parties are limited liability companies. In
certain instances, joint-stock companies are used in complex
franchising transactions (such as joint-venture franchises).
2 What laws and agencies govern the formation of business
entities?
Chapter 54 of the Russian Civil Code contains 14 sections
specifically dealing with franchising, but other sections of the
Russian Civil Code also relate to franchising in that they regulate
the formation of legal persons and individual entrepreneurs and the
general principles of conduct of their business. There are also
regulations issued by various government bodies regulating
individual