News & Analysis as of

Disclosure Requirements Franchise Agreements

Davis Wright Tremaine LLP

Warns Franchisors Against Unfair Practices and Spotlights Risks in Franchising

The FTC administers the federal franchise sales law, which requires all franchisors engaged in franchise sales in the United States to deliver a franchise disclosure document (FDD) to their prospective franchise buyers unless...more

Lathrop GPM

Tennessee Federal Court Compels Arbitration in Fraudulent Inducement Dispute

Lathrop GPM on

A federal court in Tennessee recently compelled arbitration for parties in a franchise disclosure dispute. B&P Glass Mirror, LLC v. Clozetivity Franchising, LLC, 2023 WL 3484205 (M.D. Tenn. May 16, 2023). Plaintiff B&P...more

Seyfarth Shaw LLP

Ten Tips for Franchisors This FDD Renewal Season

Seyfarth Shaw LLP on

Federal law requires franchisors to update their franchise disclosure documents (“FDD”) within 120 days after their fiscal year end (“FYE”). State registrations must also be renewed annually. Here are ten best practices for...more

Venable LLP

Biz Opps Stung, Once Again, by the Beehive State

Venable LLP on

On March 23, Utah Governor Spencer Cox signed into law sweeping amendments to the state’s Business Opportunity Disclosure Act (BODA). The amendments expand the scope of the statute to cover a broad spectrum of business...more

Foley & Lardner LLP

FTC Considering Changes to Franchise Rule

Foley & Lardner LLP on

For the first time in over a decade, the Federal Trade Commission is considering changes to its Franchise Rule. The Rule represents an effort by the Commission to prevent unfair and deceptive practices by franchisors against...more

Lewitt Hackman

New Franchise Regulations on the Horizon?

Lewitt Hackman on

On September 16, 2020, Rohit Chopra, one of the five commissioners on the Federal Trade Commission (FTC), declared on Twitter that “[franchise] regulators must stop unfair, deceptive, and discriminatory practices that target...more

Lewitt Hackman

COVID-19: State FDD Renewal Changes

Lewitt Hackman on

In light of the COVID-19 pandemic, several states that require annual Franchise Disclosure Document (FDD) renewals made recent changes to their filing deadlines, fees and/or submission requirements, as set forth below....more

Lewitt Hackman

Full Disclosure: Periodic Review of FTC Franchise Rule

Lewitt Hackman on

The Federal Trade Commission (FTC) seeks public comment regarding its Trade Regulation Rule entitled, “Disclosure Requirements and Prohibitions Concerning Franchising” (the “Rule”)....more

Lewitt Hackman

FRANCHISEE 101: Rocky Road to FDD Disclosure

Lewitt Hackman on

An ice cream parlor franchisor in Ohio, Handel Enterprises, Inc., must defend claims that it violated the California Franchise Investment Law (CFIL) for failing to disclose its amended franchise disclosure document (FDD) to a...more

Dickinson Wright

Electronic Disclosure: The Canadian Franchise Association Proposes Changes to the Arthur Wishart Act

Dickinson Wright on

The Canadian Franchise Association (CFA) has proposed changes to modernize Ontario’s Arthur Wishart Act (Franchise Disclosure), 2000 (Act) by allowing franchise disclosure documents (FDD) to be delivered electronically. Such...more

Dickinson Wright

Franchise and Distribution News - July 2015

Dickinson Wright on

A VIEW FROM TWIN PEAKS - Quick. Define Twin Peaks. Other than the obviously now dated TV show, up until a couple of weeks ago, the only other definition of Twin Peaks was a restaurant chain that featured double entendre...more

Lewitt Hackman

FRANCHISOR 101: Disclosure Violations & Running the Risks of Rescission

Lewitt Hackman on

Despite a district court's recent decision in Braatz, LLC v. Red Mango FC, LLC, franchisors are well advised to comply with applicable disclosure requirements to a "T" to ensure new franchisees will not have an ongoing right...more

Jaburg Wilk

Thinking about Buying a Franchise?

Jaburg Wilk on

If you’re considering purchasing a franchise, you’re probably overwhelmed by the size of the Franchise Disclosure Document (or, as it’s colloquially called, the “FDD”) and firmly believe that the franchisor’s lawyer gets paid...more

Lewitt Hackman

Focused on Franchise Law - August 2013

Lewitt Hackman on

FRANCHISOR 101: CALIFORNIA REQUIREMENTS ON NEGOTIATED TERMS MAY CHANGE - The California Franchise Investment Law and the California Code of Regulations currently require franchisors registered in California to disclose...more

Baker Donelson

IFA Legal Symposium Report

Baker Donelson on

For our readers who did not attend the early May International Franchise Association Legal Symposium held in Washington, we pass along these observations...more

K&L Gates LLP

Franchising Update - Febuary, 2013

K&L Gates LLP on

This edition of our Franchising Update includes the following articles: - The recently announced review of the Franchising Code. - The Pie Face dispute – misleading information or inadequate due diligence. ...more

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