New amendments to California franchising law broaden its regulations on franchisors. California Assembly Bill 676, signed by Governor Newsom on September 29, 2022, amends the California Franchise Relations Act (“CFRA”) and the California Franchise Investment Law (“CFIL”), which apply to the termination, nonrenewal, and transfer of franchises. The law’s sponsor, Assembly-member Chris Holden, claims the
Franchising & Distribution Law Blog
Illinois the latest state to join NASAA online franchise filing platform FRED
Illinois is joining the online filing platform of the North American Securities Administrators Association (NASAA), allowing for franchise filings to be done online, as opposed to in hard copy, according to a Sept. 1, 2022, announcement.
The NASAA platform, called FRED, already allows franchisors to file their state filings for several other states requiring franchisors…
Five Trends to Watch in the Rapidly Evolving Energy Industry: Takeaways from the Petroleum Marketing Attorneys’ Meeting
As energy companies and convenience retailers continue to adapt in a transitioning energy industry, the 2022 Petroleum Marketing Attorneys’ Meeting highlighted important developments including those related to electric vehicles, privacy laws and antitrust considerations. The following are five key takeaways from the conference, which explores issues affecting energy companies and distributors.
Repurposing the motor fuel…
A Warning to Franchisors? FTC Reporting Tool Adds Franchise-Specific Complaint Section
Franchisors beware: The Federal Trade Commission is making it very easy for franchisees to file fraud complaints against you. In publicizing its fraud reporting tool – aptly named ReportFraud.FTC.gov – the FTC has fired another warning shot that it is ramping up enforcement efforts against you.
The new weapon in the FTC’s arsenal is directed…
FTC puts business opportunities on notice regarding promotional claims and content
The Federal Trade Commission has recently been sending “Notices of Penalty Offenses Concerning Money-Making Opportunities and Endorsements and Testimonials” to franchisors and companies selling other types of business opportunities. These notices from the federal consumer protection agency are seemingly coming from out of the blue and being served on registered agents similar to a lawsuit…
Beata Krakus featured as Top Franchise Legal Player
Greensfelder Officer Beata Krakus was recently featured by 1851 Franchise as a 2021 Top Franchise Legal Player. Check out the publication’s interview with Beata to find out what drew her to franchising, the most common mistake franchise brands make, and what she thinks is the biggest legal hurdle facing the franchising industry in 2022.
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…Franchise Attorneys and Regulators Talk COVID Item 19 Scenarios
With the COVID-19 pandemic affecting the performance of many businesses in 2020, franchisors are faced with a whole new set of considerations when preparing their 2021 franchise disclosure documents, including whether to include financial performance representations from 2020.
In a recent panel at the International Franchise Association’s Legal Symposium, Greensfelder franchise attorney Dawn Johnson and…
Key Takeaways on Hot Topics for Franchisors in 2021: FPRs, Advertising and Pandemic Struggles
Dawn Johnson, Beata Krakus, Susan Meyer, Abby Risner, and Leonard Vines recently attended two virtual franchise programs – the International Franchise Association Annual Convention and the American Bar Association Forum on Franchising.
Some hot issues discussed at the programs included:
Sound Advice for New Franchisors. Consistent with recommended advice…
Tips for Franchising with Native American Tribes
Greensfelder summer associate Kiran Jeevanjee contributed to this blog post.
Native American tribes occupy a unique position within the American legal system, and understanding these issues is vital for any franchisor considering a tribe as a potential franchisee. Federally recognized Native American tribes are classified as “domestic dependent nations” — meaning that the tribes are …
Financial Performance Representations in light of COVID-19
Although the full impact of COVID-19 remains unknown, many franchisors are looking to the future and new opportunities for franchise sales. Some franchises may be dramatically affected, either temporarily or permanently, and may have to significantly alter their business model to remain profitable. Others might actually benefit from the pandemic.
Under the Federal Trade Commission…