CFA and IFA Work Together to Advance Fair Franchising Legislation

<p><font face="Times New Roman">The Coalition of Franchisee Associations (CFA) is proud to announce that due to its collaborative efforts with the International Franchise Association (IFA), California AB525 passed unanimously out of the California Senate Judiciary Committee on Monday night. </font></p>
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<p><font face="Times New Roman">Earlier this week, the CFA and IFA jointly issued a letter to California legislative leaders outlining the results of their collaboration on California AB 525.&nbsp;</font><a href="http://thecfainc.com/Documents/UFBOR/IFACFAjointletter.pdf&quot; target="_blank"><span style="font-family: &quot;Times New Roman&quot;,&quot;serif&quot;;"><font color="#0072c6">Click here to&nbsp;read the joint letter on the CFA website</font></span></a><span style="font-family: &quot;Times New Roman&quot;,&quot;serif&quot;;">. </span></p>

<p><span style="font-family: &quot;Times New Roman&quot;,&quot;serif&quot;;">&ldquo;I would like to thank my fellow CFA executives, the leadership of the IFA and several others who have worked tirelessly over the past months to reach the compromise positions on AB 525,&rdquo; commented CFA Chairman Keith Miller. &ldquo;We also extend our thanks to Assembly Leader Holden, Assembly Speaker Atkins, Assembly member Wilk and Assembly member Dodd.&rdquo;</span></p>

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<p><span style="font-family: &quot;Times New Roman&quot;,&quot;serif&quot;;"><strong>Related links</strong>:</span></p>

<p><span style="font-family: &quot;Times New Roman&quot;,&quot;serif&quot;;">California&#39;s Senate Judiciary Committee hearing of July 14, 2015 on SB 525, California&#39;s Small Business Investment Protection Act, can be <a href="https://youtu.be/uYSdNLmT57E&quot; target="_blank">watched here</a> (20 min.).</span></p>

<center><iframe allowfullscreen="" frameborder="0" height="383" src="https://www.youtube.com/embed/uYSdNLmT57E?rel=0&quot; width="680"></iframe></center>

Comments

CFA and IFA walk into a bar in California

Wow. I almost can't believe this. I thought it was a joke but I saw the senate judiciary hearing video on line, and lo and behold, there they both were supporting a joint version of the bill!

Where is the link to the CA Senate session

I was looking for the video online of the Senate session couldn't find the actually video. Can you post the video link and the time stamp of when the AB 525 was? Don't want to watch whole senate procedure :)

Great Achievement!

CFA and IFA working together to acheive compromise on the bill is an outstanding acheivement.

It hasn't happened since 2007-08 in Rhode Island.

I have yet to see the final bill, but there seem to be some real protections for franchisees and that is good for franchising.

Congratulations to all.

California fair franchise legislation

Wow. This is pretty big news! What are the chances that this CFA-IFA deal becomes an actual law?

Dunkin' Brands objects to one clause in the legislation

In the video at the end of the hearing, Dunkin' Brands Lobbyist John Moffatt testified that Dunkin' Brands is concerned with the provision in the legislation that allows franchisees to monetize assets at termination.

A franchisee’s assets are theirs no matter what caused the exit. That is an important reason for the legislation in the first place: to protect a franchisees equity from being stripped away by the franchisor.

Dunkin’ Brands has it is own history of equity extraction from franchisees in termnation. It seems that they want to protect their ability to do so in California. The Dunkin’ Brands legal department happens to have some of the same players from that painful Steve Horn era.  Jack Laudermilk, and maybe others remain. I believe that their chief outside counsel on franchise matters remains to be Arthur Pressman, from Nixon Peabody.

Yes to Dunkin

True. They were the only Zor to publicly oppose the compromise :(