Indiana issued a compliance alert covering four updates to the Indiana franchise laws to take effect on July 1, 2020. The changes (i) add a duty to update FDD within 30 days of a material change (ii) grant the ability to select specific annual registration termination dates, (iii) clarify the exemption coverage; and (iv) clarify
FDD Item 19 Financial Performance Representations in the Age of COVID-19
With most non-essential businesses closed across the country, it is easy to forget we are two weeks away from the April 30th Franchise Disclosure Document (FDD) update deadline for franchisors with a calendar fiscal year end. Some franchise systems are delaying the preparation and issuance of an updated 2020 FDD and corresponding state renewal registrations.
(UPDATED) Are State Registration Deadlines Changing under COVID-19? Yes and No (a survey)
This was updated on April 15, 2020, to reflect changes issued by Illinois and Indiana.
This was updated on April 6, 2020, to reflect changes issued by Virginia.
This has been updated to reflect changes issued by Florida, Hawaii, Indiana, Minnesota, New York, and Washington.
Good things come to those who wait … except when
Did You Know? NASAA Releases New Instructions
On May 19, 2019, the North American Securities Administrators Association (NASAA) adopted new state cover sheets and state effective dates page for franchise disclosure documents. Beginning on January 1, 2020, the FDD must now include three specific cover sheets prepared in accordance with the instructions and samples promulgated by NASAA.
All of these new pages
NASAA’s Proposed FDD Cover Page Changes: Helpful or Misleading?
The North American Securities Administrators Association, Inc. (“NASAA”) is proposing to revise the instructions in the NASAA Franchise Registration and Disclosure Guidelines (the “Guidelines”) that outline policies and procedures regarding the preparation of a franchise disclosure document (“FDD”). Specifically, NASAA has set forth a proposal for public comment that replaces the “State Cover Page” to
(Almost) All Your Tricky FDD Drafting Questions Answered
Almost every year at the IFA Annual Legal Symposium in Washington D.C., a panel of distinguished franchise attorneys and state regulators will discuss best practices in drafting a franchise disclosure document in compliance with the FTC Franchise Rule. This year was no different and the workshop “Thorny FDD Disclosure Issues” offered
State Regulatory Roundup (ABA Franchise Forum Retrospective)
Each year the ABA Forum on Franchising Annual Meeting offers a regulatory roundup on state disclosure and registration issues consisting of a panel of franchise examiners from some of the most difficult registration states. This past year in Palm Desert regulators
Sign Me Up! How To Waive the Notary Requirement for International Franchisors
International franchisors inbound into the U.S. face a complex set of business decisions and legal regulations. Even seemingly simple tasks–like properly executing a franchise registration application–can become a time-consuming and expensive endeavor (especially where the franchisor does not have an authorized signatory in the U.S.). Knowing how and when to request waivers can save time
Required Maintenance: Upgrading and improving disclaimers and disclosures
If your brand standards require franchisees to upgrade and improve their locations, a recent federal case demonstrates how thoughtful disclaimers and disclosures can shut down a franchisee lawsuit in its early stages. 
In Devayatan, LLC v. Travelodge Hotels, Inc., a franchisor terminated a franchise agreement due to the franchisee’s alleged failure to improve and
Rhode Island amends franchise disclosure and advertising requirements
Franchisors offering and selling franchises in Rhode Island should take note of recent amendments to Rhode Island’s Franchise Investment Act:
Disclosure Requirements
Franchisors must now provide prospects with an FDD at least 14 calendar days before the execution of an agreement or the payment of any consideration related to the franchise. “Calendar days” include all