Whether you are a franchisor or a franchisee, the realities of
social media likely already affect you. Franchisors need to
determine whether, from a marketing perspective, it makes sense for
them to have profiles on forum such as Facebook, Twitter and
MySpace. Many already do, but depending on the nature of your
business, it is not always an ideal method of promotion.
If that type of online marketing suits the strategies of the
franchise system, then the next question to ask is whether
franchisees should be permitted to have their own social media
websites – for instance, a Facebook page for that particular
franchised location. The franchisor will need to decide
whether the benefits of widespread marketing on these popular
websites outweigh the costs of giving its franchisees that much
control over advertising the brand.
Accordingly, it is a good idea for franchisors to develop social
media policies, and for franchisees to ensure that those policies
are not too restrictive. If you are an existing franchisor or
franchisee, your franchise agreement likely already states that
franchisees cannot conduct any internet advertising without the
consent of the franchisor. While that may have made sense at
the time it was drafted and agreed to, the practical realities of
business today means that franchise law in Canada has to evolve to
reflect new technologies and marketing platforms.
As a result, franchisors should consider adding social media
policies to their standard agreements, and franchisees should
consider requesting them where they do not already exist, so that
the franchise system as a whole can benefit from this new world of
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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