Legal advice has been sought by the Association of Optometrists after Boots Opticians decided to shift all its indemnity insurance across to the Federation of Ophthalmic and Dispensing Opticians.
The AOP has argued that Boots' requirement would not stand up in court.
AOP director of operations David Craig said: 'The AOP is advising Boots franchisees that it has taken legal advice about Boots' demand that their franchises should take out FODO insurance that advice suggests that the requirement will not stand up in court.'
The multiple advised all owned and franchise practices to take out their cover with FODO in a bid to bring more consistency to its arrangements last month (News 18.11.11).
'The AOP legal team is working to produce a guidance document for those affected which will be available soon. In the meantime they advise members not to take out FODO cover but to await the advice. The AOP will take legal action if necessary to protect the rights of its members,' Craig added.
A spokesperson for FODO made no comment to the latest development.
The AOP said last month that its insurance gave cover of £5m as opposed to FODO's £2m, but FODO has since announced a £5m limit from the beginning of 2012.
Boots was not able to comment but said last month: 'Our aim is to bring more consistency to the professional indemnity arrangements for both owned and franchise practices.'
