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Now you see it – now you don’t – the disappearing lotteries franchise Disclosure Document

11/24/2021

Now you see it – now you don’t – the disappearing lotteries franchise Disclosure Document

The Franchising Code which applies to the relationship between New South Wales Lotteries Pty Ltd/Tabcorp Holdings Ltd as the franchisor and Newsagents as franchisees requires the franchisor to produce a Disclosure Document and Key Fact Sheet each year.  
NANA has previously brought to the attention of Members that the franchisor was slow in posting the most recent updated Disclosure Document to Retailers Web.
To be clear, the franchisor is not required to make the Disclosure Document easily available to franchisees. Nor is it required to post it to Retailers Web. The franchisor has previously decided to make it conveniently available to franchisees through Retailers Web.
When the latest version of the Disclosure Document and the new Key Fact Sheet was posted to Retailers Web, NANA pointed out there appeared to be a couple of omissions from the posting as the Disclosure Document referred to attachments which were not included.
In response to NANA’s comments, New South Wales Lotteries Corporation Pty Ltd/Tabcorp Holdings Ltd have decided to take the Disclosure Document off Retailers Web. So, if an existing franchisee wants a copy, they will have to ask for it and then the franchisor has 14 days to supply it. This is totally legal, but it appears to NANA that the franchisor is being petty.
Under proposed changes to the Franchising Code, the lotteries franchisor will be required to post the Disclosure Document to a public register. So, eventually franchisees will have access without having to ask the lotteries franchisor for a copy.