franchise agreementfranchise agreement: in business law, a contract pursuant to...: in business law, a contract pursuant to which the owner of rights to conduct a business (called the franchisor) grants rights to another party (the franchisee) permitting the franchisee to carry on the business in a particular geographical region; the franchise agreementfranchise agreement: in business law, a contract pursuant to... will typically deal with matters such as what trade marks and other intellectual propertyintellectual property: a piece of work or a creation by th... of the franchisor the franchisee may use, the duration of the franchise right, the fee payable for the franchise and the rules and obligations covering the way in which the franchisee shall conduct the business.