A franchise agreement grants the franchisee the right to use the franchisor's brand and operating model for a fee. Saudi law imposes specific disclosure and registration requirements before contracting, and overlooking them gives the other side rights you may not expect.
Drafting and reviewing franchise agreements for franchisors and franchisees · Preparing the statutory disclosure document · Registering the franchise agreement with the competent authority · Negotiating exclusivity, fees and renewal terms · Termination disputes and cross-claims · Protecting the brand within the franchise network.
Restaurant and café franchises · Retail and fashion franchises · Master franchise for a territory · Service and maintenance franchises · Foreign brands entering the Saudi market · Territorial exclusivity disputes · Termination and non-renewal · Claims for unpaid fees.
Always before signing — franchise agreements are typically drafted in the franchisor's favour, and what looks like a detail in the renewal or exclusivity clause becomes the main dispute later. Also on receiving a notice of non-renewal or termination.
Registration and disclosure go through the authority competent under the Franchise Law, while disputes are heard before the Commercial Court or through arbitration where the contract provides for it.
We focus on the three clauses that decide most disputes: the scope of territorial exclusivity, renewal terms and what happens if renewal is refused, and how ongoing fees are calculated. We review and negotiate them before signature, because amending them afterwards is close to impossible.
We act for both sides in different files, which means we know where each party places its protections. We use that on your behalf in negotiation, with fair and competitive fees set by the size of the network and the agreement.
The law requires specific disclosure and registration steps before contracting, and omitting them can affect the agreement's enforceability and the parties' rights.
Territorial exclusivity and renewal terms; ambiguity in either is the leading source of disputes once the outlet succeeds.
It depends on the contract terms and notice periods; a termination that breaches them can be challenged and damages claimed.
Yes, including master franchise structuring and local disclosure and registration requirements.
Send us your case details on WhatsApp and we will set out the right route and the expected fees before any commitment.
