Seal-A-Fridge Franchisor’s Behavior ‘Unconscionable’

Dynamic Business:

Franchisor Seal-A-Fridge Pty Ltd has been found to have engaged in unconscionable conduct towards its franchisees the Federal Court, Brisbane has found.

Seal-A-Fridge is the franchisor of a mobile refrigeration seal replacement business run by franchisees around Australia. The court declared that in 2001 and 2004 Seal-A-Fridge engaged in unconscionable conduct towards certain franchisees by demanding, and ultimately obtaining, payment of increases of up to 50 percent in the ongoing weekly fees for access to the national telephone number.

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