Area development agreement in the food sector for a Spanish franchisor (2025)

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A well-known Spanish franchisor in the food sector has approached our firm with a proposal to expand its franchise network in Italy.

The client already initiated negotiations with a potential Italian candidate and wished to have legal assistance for all subsequent activities.

At first we had a number of meetings with the client to better understand the specifics of its franchise network, also in cooperation with a trusted franchise consulting firm. As a result, we suggested the client to implement an exclusive area development contract covering a small but significant portion of the Italian northern territory, with the possibility of subsequent expansion.

We then prepared, also in collaboration with the client’s Spanish law firm, a letter of intent, which was negotiated and signed by the Italian candidate.

We have then drafted the area development agreement, in English and Italian language, according to Italian franchise law, Italian general commercial law and Italian practice. Such draft was negotiated with the Italian candidate and its attorney. After a number of revised versions, the contract, was finally signed.

We also drafted the franchise disclosure document, according to Italian franchise law, in order to be used by the Italian area developer for the franchise agreements.

The final result was highly satisfactory for the Spanish franchisor, whose expansion in Italy was significantly boosted. Based on this work, the client subsequently contacted us for an expansion of the exclusive area granted to the developer and to draft a new version of the agreement.

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Avv. Valerio Pandolfini 

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