Personalised Chocolates 4U franchisor misled and deceived franchisees: Federal Court

Posted: 04/12/2009 The Federal Court has declared that Personalised Chocolates 4U Pty Ltd and its sole director, Troy Patching, misled franchisees and engaged in conduct in breach of the Franchising Code of Conduct, following legal action by the Australian Competition and Consumer Commission. "The false and misleading statements made by Personalised Chocolates 4U were designed to entice work-from-home entrepreneurs to buy a franchise in circumstances where PC4U was unable to provide franchisees with promised software, training and support. This outcome reminds all franchise owners that their promotional material must be truthful and accurate and that it is illegal to accept payment for goods and services that cannot reasonably be provided" ACCC chairman Graeme Samuel said.