---
title: "Materially relevant facts to be told to franchisees"
url: "https://ailawframework.com/precedents/franchising-and-distribution/materially-relevant-facts"
type: "precedent"
site: "AI Law Framework"
id: "a34-materially-relevant-facts"
area_id: "A34"
kind: "checklist"
ai_level: "yellow"
version: 1
task_ids: ["A34-R20261018-3"]
law_stated_as_at: "2026-10-22"
---

# Materially relevant facts to be told to franchisees

> Checklist of the materially relevant facts and the 14-day written notice described on the ACCC information and document obligations page.

Canonical page: https://ailawframework.com/precedents/franchising-and-distribution/materially-relevant-facts  
Law stated as at: 2026-10-22

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

- Kind: Checklist. Steps or checks to work through and tick off.
- Practice area: [Franchising & Distribution](https://ailawframework.com/precedents/franchising-and-distribution.md)
- Jurisdictions: Australia, Commonwealth
- AI level: Yellow. You and the tool draft together, with you directing. You check every statement you rely on.
- Law stated as at: 2026-10-22
- Status: Maintained. Checked on 2026-10-22 against the authority it cites, for Australia and Commonwealth.

## When to use it

Use when a fact about the franchisor, its ownership, a proceeding, insolvency, intellectual property or financial details changes and franchisees or prospective franchisees may have to be told.

## Used for these tasks

- [Notify franchisees of a materially relevant fact within the Code deadline](https://ailawframework.com/practice/franchising-and-distribution/notify-franchisees-of-a-materially-relevant-fact-within-the-code-deadlin.md)

## How AI may be used

AI may record the fact and the date the franchisor's file shows it was known, and count 14 days, and the lawyer decides whether it is a materially relevant fact and settles any notice.

**AI may:**

- Enter the fact, the date it appears on the file, and whether it is already in the current disclosure document
- Count 14 days from the date the lawyer treats as awareness
- List prospective franchisees who have documents but have not yet signed

**AI must not:**

- Must not decide that a fact is materially relevant
- Must not draft the notice to franchisees
- Must not add a category of fact that is not on the page

**The lawyer checks:**

- The fact is one the page lists, or is in the code provision the lawyer has opened
- If it is not in the disclosure document, franchisees are told in writing within 14 days of awareness
- Prospective franchisees are told of new financial-detail facts as soon as possible, and are given updated documents before they sign
- The six-year record of the disclosure is kept

## Authorities

- [ACCC, Information and document obligations under the Franchising Code, materially relevant facts](https://www.accc.gov.au/business/industry-codes/franchising-code-of-conduct/information-and-document-obligations-under-the-franchising-code)

## Full text and drafting notes

The full text and the drafting notes are not part of this public page. Signed-in firm accounts can read them at https://ailawframework.com/precedents/franchising-and-distribution/materially-relevant-facts and through the signed-in MCP connector https://ailawframework.com/mcp/firm.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*