The new Lithuanian Civil Code was adopted on 6 September 2000. Chapter XXXVII of the Civil Code (Articles 6.766 – 6.779) is devoted to franchising. The Chapter follows the Russian Civil Code closely, and thus starts by defining a franchise agreement (Article 6.766), continues by providing a written form requirement (Article 6.767) and by dealing with the remuneration under the franchise agreement (Article 6.769), the obligations of the right-holder (i.e. the franchisor) (Article 6.770), the obligations of the user (i.e. the franchisee) (Article 6.771), the limitations of the rights of the parties to stipulate terms (Article 6.772), the right-holder’s liability for claims filed against the user (Article 6.773), the user’s right to renew the contract (Article 6.774), amendments to the terms of the franchise agreement (Article 6.775), the termination of the franchise agreement (Article 6.776), the changing of contractual parties (Article 6.777), the consequences of a change in the right-holder’s firm name or trade (service) mark (Article 6.778) and the consequences of termination of an exclusive right (Article 6.779). The Chapter also deals with sub-franchises (Article 6.768).

It may be observed that although the Chapter does not deal with disclosure in any detailed manner, Article 6.770 does provide that the right-holder has the obligation to transfer technical and commercial documentation to the user, and provide other information necessary for the user to exercise the rights granted to him under the franchise agreement.

By using you agree to our use of cookies to enhance your experience.     I understand   Know more