Ultra Tune Australia Pty Limited - s.87B undertaking

Unconscionable conduct in relation to supplying a franchisee with a software package without disclosing it had a lock-out code, and asking the franchisee to sign a revised franchise agreement before supplying the password.

Undertakings given to:

• continue to provide the necessary passwords to franchisees supplied with the software package for the currency of their agreements;
• fully inform franchisees about the existence or effect of any conditions before supplying the new software package; and
• not place franchisees under unconscionable pressure when negotiating the terms of their franchise agreements, the need for a new or revised franchise agreement, and for the provision of any computer system.

The company also undertook to:

• institute a compliance program and a complaints handling system; and
• apply to become subject to the Franchising Code of Practice.