15 December 2014 – BERNAMA
KUALA LUMPUR, Dec 15 (Bernama) — Disputes between franchisors and franchisees are usually resolved through mediation as it will provide long term solutions, the Dewan Negara was told today.
Domestic Trade, Cooperatives and Consumerism Deputy Minister Datuk Seri Ahmad Bashah Md Hanipah said mediation was the more prudent approach in enforcing the Franchise Act 1998.
He said the act was a code of conduct for franchise business in Malaysia, protecting both the franchisors and franchisees from being exploited.
Replying to a question by Senator Datuk Ng Chiang Chin, Ahmad Bashah said if there were clear breaches or violations of the act, the ministry would issue a notice to the party concerned for a clarification and rectification before a compound is issued.