KUALA LUMPUR: Chocolate company Choco Loco (M) Sdn Bhd, its director and another individual claimed trial at the Sessions Court here to four counts of using the term "franchise" in its franchise agreement with two other companies without the approval of the franchise registrar.
Syaidatul Natasha Suhaimi, 38, who also stood for Choco Loco, and her husband, Mhd Hadi Asasa, 37, who is a former director of the company, were charged as summoned persons (OKS) before judge Siti Shakirah Mohtarudin.
They pleaded not guilty after the charges were read out by the court interpreter here on Monday (Nov 2).
For the charge against the company, Choco Loco, as the fanchisor, allegedly used the term "franchise" in an agreement between Choco Loco and Chocolate Cravings Sdn Bhd and Chocolate Rush Global Trading Sdn Bhd without the approval of the registrar under Section 8 of the Franchise Act 1998.
The offences were allegedly committed at a premises in Solaris Dutamas, Jalan Dutamas 1, near here, on June 1 and April 1, 2021.
The charges were framed under Section 37A (a) of the Franchise Act 1998, which carries a maximum fine of RM250,000 and for a second or subsequent offence, a maximum fine of RM500,000, if convicted.
For the charges against the couple, Syaidatul Natasha and Mhd Hadi, as the franchisor, were accused of the same offence in the agreements with Chocolate Cravings and Chocolate Rush Global, at the same place and time.
They were charged under Section 37A of the same Act and face a maximum RM100,000 fine or up to a year in prison, or both. For a second or subsequent offence, they can be fined up to RM250,000 or up to three years in prison, or both, if convicted.
Prosecuting officer Sallim Wahid from the Domestic Trade and Cost of Living Ministry (KPDN) appeared for the prosecution while the accused persons were represented by lawyer Muhammad Kausar Mohd Khairi.
The court fixed bail at RM8,000 in one surety for each of the accused. The case is set for mention on Dec 2.
