The Western brands unable to leave Russia

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Marks and Spencer, Burger King, Marriott and Accor say they cannot shut outlets due to franchise deals.

4-min readThe invasion of Ukraine has led many Western brands to shun Russia, but some still have outlets open in the country and say they are not able to shut them.

The BBC understands the brands are locked into legal franchise agreements, making it difficult for them to remove their name from Russia's High Streets and shopping malls. Marriott told the BBC its hotels Russia were owned by third parties but said it would "continue to evaluate the ability for these hotels to remain open", suggesting it was looking into its franchise agreements.

Victoria Hobbs, a partner at Bird&Bird who deals with franchise disputes, told the BBC if a franchise owner was found to have links to Russian President Vladimir Putin or had been sanctioned, then from a UK perspective, a deal could be terminated.

In the meantime, the firms are trying to do what they can to help with the situation and all have announced support for Ukraine following Russia's invasion.

 

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The West created this problem for their own companies. Brilliant.

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