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Postal Services Act, 1998 (Act No. 124 of 1998)

Regulations

Unreserved Postal Services Regulations, 2020

Reasons Document on Unreserved Postal Services Regulations, March 2020

2. Submissions received on the Draft Regulations and the Authority's response

2.1. Definitions

 

2.1.1. Franchisee and Agent
2.1.1.1. Submission received:
2.1.1.1.1. CAP proposes that the Authority insert the definitions of franchisee and agent as they are used in the Regulation.
2.1.1.1.2. CAP suggests that the Authority should consider the Consumer Protection Act as it defines the Franchise as a consumer and prescribes conditions under which the Franchisor-Franchisee relationship will succeed.
2.1.1.1.3. CAP further suggests that the definition of an Agent be extracted from the Notice in Respect of the Accounting Separation Regulations for Reserved Postal Services.
2.1.1.1.4. FASTWAY proposed a definition of an agent as "a third party with whom a registered operator has contracted for the purpose of the Agent performing services contemplated in the Unreserved Postal Services on behalf of the Registered Operator".

 

2.1.1.2. Authority’s Decision

After having considered the submissions, the Authority inserted the definition for a "franchisee" and "agent" in the Regulations to provide clarity to what these terms mean in these Regulations.

 

2.1.2. Franchise agreement
2.1.2.1. Submission received
2.1.2.1.1. CAP suggests that the definition of Franchise Agreement be inserted in order to harmonise the Regulations with the Consumer Protection Act and also to give guidance to what encompasses the full business details that the registered operator should provide as per Regulation 12(2) on Third Party Contracting in the Draft Regulations.

 

2.1.2.2. Authority’s Decision

The Authority decided to not include the definition of Franchise Agreement as it is not used in the Regulations. Further, the Authority does not have jurisdiction to regulate franchise agreements in the unreserved postal services sector.