Cover of June 2015 issue of LexpertSupplied
Ontario lawmakers no doubt had the best of intentions when they began working on the Making Healthier Choices Act. The idea was to compel fast-food chains to post nutritional information about menu items, thereby encouraging patrons to opt for less fattening meals.
There was, however, a critical stumbling block within the draft. The original version of the legislation included a provision that designated franchisors as operators of the restaurants, responsible for following through on the new rules, even though it's the individual restaurant owners (or franchisees) who run the restaurants and make such day-to-day decisions.
"In essence, the government was making Mr. X responsible for the obligations of Mr. Y," which is unfair, says Larry Weinberg, a partner at Cassels Brock & Blackwell LLP and past chair of the Ontario Bar Association's franchise law section.
Lexpert contributor John Greenwood reports on the Making Healthier Choices Act at www.lexpert.ca/globe
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