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

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.

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

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

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

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

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