Franchise Contract – in Need of Regulation?

Franchise contracts have played a pivotal part in shaping the Polish economy, ever more so since the country’s transition into free-market economy. In 2020, before COVID-19, there were more than 1300 franchise chains in Poland – from small diners and repair shops to such giants as McDonald’s.

Unlike elsewhere across the EU (Italy, Holland, Latvia, Romania), let alone in franchise’s birthplace – the US, Polish franchise contracts (surprisingly, given their economic significance) are scarcely regulated and qualify as the so-called innominate contracts. This means that neither the language of the contract, nor the obligations of the parties are specifically regulated by statute. The existence and functioning of franchise contracts is based on the freedom of contract principle emanating from the Polish Civil Code. This means that the parties are free to structure them as they please, so long as the contract does not infringe on the appropriate legal relationship, or contradict the law and the community life rules.

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Unfair Competition – How To Deal With It? Part 3

Silhouettes on cube boxes

Advertising is said to drive commerce. It comes with the territory, as the real trick is not just to manufacture, but to sell at a profit. A well-planned and skilfully executed advertising campaign can add to a product’s or service’s success. While most entrepreneurs compete fairly and ethically, in terms of advertising as well as commerce, some may turn to cutting corners. We would like to share our observations about unfair advertising, which qualifies as tortious unfair competition.

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What Qualifies as Tortious Unfair Competition?

In this alert, we will comment on how to recognise and defend yourself against acts that the Unfair Competition Act (the Act) does not clearly define as unfair competition, but that obviously hurt your business.

The Unfair Competition Act contains a rather lengthy list of acts that are explicitly named unfair competition torts. They fall in several groups. The typical examples are using false or misleading markings, soliciting employees or clients, and unfair advertising. If your rival commits one of these, you may very likely have an evident claim based on the explicit language of the Act.

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Latest Legal Changes Concerning the Inventory of Telecommunications Infrastructure and Services

In the Polish telecommunications sector, the hot topic now is the implementation of the European Electronic Communications Code, which is two years overdue. In contrast, a significant amendment to the Act of 7 May 2010 on supporting the development of telecommunications services and networks (the Act) concerning reporting obligations on the inventory of telecommunications infrastructure and services has passed with little notice. The new rules became effective at the beginning of this year.

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Cross-Post from Employment Law Worldview – 2023 – A Year of Change for Czech Employers

This is a Cross-Post from Employment Law Worldview website. Please contact Jaroslav Tajbr with any questions.

This year the Czech Ministry of Labour and Social Affairs will introduce major changes to Czech employment law. The summary of new obligations and rights are published here.

Unfair Competition – How To Deal With It? Part 2

Building Block Tower

In the previous blog entry, we gave a taste of what unfair competition could be like in practice where taking advantage of rival-generated resources is concerned, and what to watch out for to defend your business.

In this part, we want to briefly discuss how to ensure your business’s compliance to protect yourself against unfair competition.

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Unfair Competition – How To Deal With It?

Amid today’s economic downturn concerns, competitive rivalry on the market is undoubtedly gaining momentum. The majority of entities compete on merits, though there are situations where current market situation may give rise to a number of problems previously either unknown or put aside by many entrepreneurs.

Some businesses may resort to unfair methods geared to take advantage of rival-generated resources. The typical objective of such actions is to cut in where other entities already are by the sweat of their brow.

There are several types of behaviour that may constitute an act of unfair competition, subject to potential legal action – parasitic competition, use of another’s confidential information, and unfair soliciting of another’s employees, to name a few.

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New Provisions Regarding Remote Work

Workplace dynamic has always spearheaded legislative change. Change is the only certainty in employment law. Since the global pandemic broke out, we have been witnessing tremendous economic and social changes, which may now make their way to the Polish Labour Code.

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EU Sanctions Against Russia

European Parliament

The EU first adopted restrictive measures against the Russian Federation back in 2014, in response to Russia’s annexation of Crimea and Sevastopol and the destabilisation of Ukraine. Since then, the EU has massively expanded the sanctions, following Russia’s military aggression against Ukraine and its decision to recognise the non-government-controlled areas of the Donetsk and Luhansk oblasts as independent entities in 2022.

As of 19 October 2022, the EU has adopted eight so called “packages” of sanctions, each of them tightening and strengthening the effectiveness of already existing sanctions by, in particular, adding new restrictive measures, broadening the scope of the existing measures and adding more individuals and entities to the EU sanctions list. These measures are mainly aimed at weakening Russia’s ability to wage a war; therefore, they primarily target areas such as the financial sector, energy and transport sectors or dual-use goods. To that end, the sanctions include individual measures, as well as trade restrictions – in particular export and import bans – or even restrictions on media and other measures.

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Polish Corporate Law Is About To Change – Holdings Law is Coming Into Force

The amendments to Polish corporate law are coming into force on 13 October 2022.

Unlike certain foreign legal frameworks, Polish law had, so far, only fragmentary provisions regulating relations between companies within the same group. The new law addresses this area and brings about fresh opportunities, obligations and challenges related to the operations of groups of companies in Poland. It offers closer control over subsidiaries by a parent, for a price of extended liability of a parent company and its officers.

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