Mom's Touch to Launch 'Internal Dispute Resolution Committee' Within This Year

Photo by Mom's Touch

[Asia Economy Reporter Moon Hyewon] Mom's Touch announced on the 13th that it will establish an internal dispute resolution body involving external experts and strengthen win-win cooperation with franchisees.

The internal dispute resolution body of Mom's Touch is organized and operated based on the "Guidelines for the Establishment and Operation of Internal Autonomous Dispute Resolution Bodies by Franchise Headquarters" presented by the Fair Trade Commission (FTC), and is scheduled to officially launch within this year.

Mom's Touch has prepared an "Autonomous Agreement for Fair Transactions in the Food Service Franchise Business" to implement concrete actions for win-win cooperation with franchise owners, requested approval from the FTC, and signed the autonomous agreement approved by the FTC on June 25.

This autonomous agreement includes key provisions such as minimizing the designation of mandatory items, guaranteeing stable contract renewals for long-term stores, and the establishment and operation of an internal dispute resolution body. Since signing the agreement, specific implementation plans for win-win cooperation with franchise owners have been prepared.

Reflecting the voices of franchise owners nationwide who have expressed concerns over the recent prominence of disputes with franchisees, Mom's Touch plans to soon launch a "Preparatory Committee" to prevent conflict situations in advance and resolve disputes through voluntary consultation, accelerating the establishment of the internal dispute resolution body.

The internal dispute resolution body will be composed of a chairman selected as an external expert, franchise owner representative members, and franchise headquarters representative members, focusing on rapid mediation capability, expertise, and credibility in accordance with the FTC guidelines. The chairman will be a third party guaranteed independence, appointed for their expertise in franchise business and related laws as well as experience in franchise dispute mediation. The franchise owner representatives will be selected from owners who meet criteria such as franchise operation period, recommendation by franchise owner business associations, or recommendation by ten or more franchise business operators. The franchise headquarters representative will be an executive-level or higher official with decision-making authority for dispute resolution.

This content was produced with the assistance of AI translation services.