CNPLaw LLP advised locally grown regional beauty on franchise and distribution agreement

Deals and cases


CNPLaw LLP advised locally grown regional beauty on franchise and distribution agreement

Date Published: 30 October 2017

The Lawyer Advising On The Transaction: Wong Pei-Ling.


CNPLaw LLP (“CNP”), formerly known as Colin Ng & Partners LLP, advised a locally grown regional beauty, perfumes and skincare retail company with operations in South East Asia on their franchise and distribution agreement with a luxury soap and beauty products company with flagship stores in Europe, Japan and the United States.


CNPLaw’s Franchise Arrangement Lawyer

Wong Pei Ling Senior Legal Associate at CNPLaw LLP image


    Pei-Ling has over 23 years of legal experience and has advised clients with Malaysian and Singaporean interests on their cross-border transactions, joint ventures, investments, commercial and technology agreements. Pei-Ling is recognised as a recommended lawyer for Banking and Finance by the Legal 500 Asia Pacific for 2021.

    Franchises may be built on a number of different business models. Companies with solid business models, or established services or products may wish to set up a franchise, as part of their business expansion. Similarly, small business owners may choose to purchase a franchise from an established business operator instead of starting a new business, given that an established business would have had the opportunity to build sufficient brand presence and customer base.

    At CNPLaw, we work very closely with our associate firms and network of partners from around the region when advising our clients on the terms of their franchise agreements, including advising on the regulations governing franchises in some foreign jurisdictions.

    We have recently advised a franchisor on the terms for the development and operation of a data centre franchise, in collaboration with a firm of franchise consultants engaged by the client.

    Every business involves an amalgam of various stakeholders, such as investors, shareholders and directors. Ideally, each of these stakeholders should have a common vision of what is best for the company. However, this is rarely the case when individual interests are factored into the equation.

    Stakeholder conflicts (regarding issues such as breaches of fiduciary dutiesderivative actionsshareholder oppressionmanagement deadlocksmanagement compensationdividend payments and buy-outs) can be a thorny issue and can leave a company crippled if not addressed promptly.

    Given the diversity of interests at play, we appreciate that a multi-faceted approach is usually the most cost-efficient method of resolving stakeholder conflicts. Therefore, we provide clients with ready access to an integrated team of lawyers (combining the experience of our corporate, dispute resolution and employment law practices where applicable) who will effectively engage the relevant stakeholders in discussions on how best to resolve their differences amicably.

    More often than not, clients are able to avoid costly protracted court proceedings and resolve stakeholder conflicts with discretion and expediency.