With the original adoption of the Federal Trade Commission Rule on franchising and the passage of a number of state registration and disclosure statutes more than 35 years ago, the rules relating to franchise disclosure are comparatively well defined. While the basic rules are well defined, the overlapping jurisdiction of state and federal regulation of franchising in the U.S. adds a complexity that requires an attention to detail. Even a minor administrative error can result in an enforcement action by a regulatory agency or a claim by the affected franchisee that they are entitled to rescission or the recovery of any losses they incur operating the franchise.
Adding to the complexity of franchisor disclosure obligations are the many prudential decisions that a franchisor must make in determining what goes into the disclosure document, such as what events are “material” requiring an amendment of the disclosure document and how does this impact ongoing sales and franchise relationships. The potentially costly effects of failing to meet disclosure obligations requires franchisors to put practical procedures in place to help them avoid the most common disclosure mistakes.
What This Webinar is Intended to Do:
This webinar is intended to provide basic practical assistance to those preparing, registering and delivering franchise disclosure documents. Some of the information is directed to all persons involved in the disclosure process and some of the information is intended for those persons that must make determinations about what disclosures must be made. The emphasis of the webinar will be on common disclosure errors and how to avoid them.
What This Webinar is Not Intended to Do:
This webinar is not a “how to prepare a franchise disclosure document”. Rather, it deals only with many of the critical topics in the disclosure process. Most of all, this webinar is not intended to be legal advice for the audience, to replace the need to use other material in the preparation of franchise disclosure documents or for competent legal advice from a lawyer experienced in franchise law.
Paul Fransway
Member
Dickinson Wright PLLC
Mr. Fransway concentrates his practice in franchise, distribution, trademark and unfair competition law. He serves as primary franchise counsel for a number of national franchisors, and he helps them comply with disclosure and registration requirements under the Federal Trade Commission and various state laws. He is also an expert in all aspects of franchise contract enforcement, including covenants not to compete, trademark infringement, and post-termination remedies, both in court and in arbitration.
To register for the webinar, click here.
