Chicks cross the road at Nandos� Palapye outlet
Mpho Mokwape | Tuesday April 15, 2014 13:02
The decision comes after both parties reached an agreement to look at affidavits filed by Nandos Holdings and the respondent in the application, Ethel Gaompone. Nandos Holdings has moved to court to enforce its decision not to renew a franchise agreement with a local businesswoman, Gaompone.
The dispute erupted when the franchise agreement between the parties collapsed and a certain family requested to buy Gaompone out. Gaompone alleges the family is using underhand tactics to wrestle the franchise from her even though the agreement gives her the right to continue using the Nandos brand and its intellectual property.
The franchise saga dates back to February when Nandos Holdings filed an urgent application seeking to terminate the agreement, which they entered into with Gaompone in 2011.
Nandos Holdings had filed an urgent application requesting court to declare the franchise agreement entered into at Palapye on December 6, 2011 null as it elapsed the day the Nandos brand expired on March 24, 2014.
Nandos Holdings also wanted Gaompone to stop using the Nandos brand arguing that after the expiry date she had no right or option to renew the franchise agreement or retain any of the company’s intellectual property and branded items.
Gaompone has since filed an opposing affidavit.
She has sought a court notice seeking documents from Nandos Holdings and her company Jago Productions used in the application for the renewal of the sub-franchise agreement and the agreement entered between the two parties.
Gaompone said the application by Nandos Holdings and Ibrahim Khan, the business interest in the matter, was an attempt to intimidate her.
She says Nandos application has no merit as it failed to establish the rights to the Nandos brand.
She further contended that Nandos Holdings erred in proceedings against her in her personal capacity and not the company under which the franchise agreement is made.
Sidney Pilane represents Nandos Holdings while Gaompone is represented by Dutch Leburu.