Log In / Register | Feb 7, 2012

When Is a License Really a Franchise?

The Federal Trade Commission Franchise Rule, 16 C.F.R. 436.1 et seq., governs, at a federal level, disclosures which a "franchisor" must provide to each prospective franchise. There are also numerous state laws which may apply in any given situation.

Super 8 Barred From Imposing New Loyalty Program Fees

Under the FTC Franchise Rule, a franchisor is required to disclose in Item 6 of its Franchise Disclosure Document (FDD) all recurring or occasional fees associated with operating a franchised outlet.

Federal Judge: Franchising Sounds Like Ponzi Scheme

Is franchising "a modified Ponzi scheme?" Last week, a federal judge said it might be.

Franchisors Ask New York for More Time on Unanticipated Rule

WASHINGTON – A trade association representing over a thousand franchising firms has urged the state of New York to postpone a newly created rule that requires national franchise chains to submit the entities of in-state franchise owner-operators and their annual transaction information for tax gathering purposes.