The Adequacy of Current Laws Governing Franchise Agreement in Jordan

Abstract

Purpose: This study examines the current laws and regulations governing franchise business in Jordan. The paper focuses on whether the current laws and regulations governing franchise agreement in Jordan is sufficient to govern the franchise agreement.

Design/methodology/approach: This study is qualitative. Eleven in-depth semi-structured interviews were conducted with the relevant parties involved in franchise agreements as well as legislatures. The analysis was thematically conducted and accordingly supported by sufficient excerpts.

Findings: The paper concludes that the existing laws governing franchise in Jordan are insufficient and fail to address comprehensively the legal aspects of franchise. Thus, there is a dire need for specific legal framework to govern franchise business in Jordan.

Research limitations: The research participants were franchisors, franchisees and parliamentarians in Jordan. Additionally, the data collection constrained by funds paucity and difficulties in securing appointments with the participants who were always busy and not available. Two of the participant answered the interview questions by filling up the questions instead of face to face and recorded interview.

Practical implications: The study suggests that the law in Jordan need to be developed and the franchise agreement need to be more specific and limited to certain provisions which should be provided by specific act for this purpose.

Originality/value: Even though franchise agreement literatures are aplenty, this study, however, is the first attempt at qualitatively exploring in-depth the sufficiency of the law governing franchise agreement in Jordan.

Paper type: Research Paper

Keywords: China insurance industry, Foreign fund, Challenge

DOI: 10.7176/JLPG/100-11

Publication date:August 31^st 2020